Financial statements for an early stage startup
Balance Sheet
Assets (things you own) = Liabilities (things you owe) + Owners equity (the net worth of the business from the owner’s perspective)
Current assets
Are resources owned by a company that are either available for immediate use as cash or are expected to be converted into cash within one year. These assets are crucial for the company’s short-term operational needs and financial health.
Current assets
Cash
0
0
0
0
Inventory
0
0
0
0
Total current assets
0
0
0
0
Non-current assets
Think of them as things the business plans to use for a while like:
Non-current assets
Land
0
0
0
0
Patents
0
0
0
0
Total non-current assets
0
0
0
0
Total assets
0
0
0
0
Current liabilities
Refer to all the debts or obligations that the company needs to pay within one year. For example a short-term loan or bills from suppliers that need to be paid within the next year. It’s a way of showing what the company owes in the short term.
Current liabilities
Rent payments
0
0
0
0
Payroll
0
0
0
0
Total current liabilities
0
0
0
0
Non-current liabilities
Are obligations that a company expects to pay after one year. these might include:
Non-current liabilities
Loans
0
0
0
0
Deferred tax liabilities
0
0
0
0
Total non-current liabilities
0
0
0
0
Owners equity
Is essentially the money that would be left if a company sold all of its assets and paid off all its debts. In other words, it’s what the owners or shareholders of the company actually “own”.
Owners equity
Share capital
0
0
0
0
Retained earnings
0
0
0
0
Total owners equity
0
0
0
0
Total liabilities and owners’ equity
0
0
0
0
Cash flow statement
The purpose of a cash flow statement is to provide a detailed picture of what happened to a business’s cash during a specified period It demonstrates an organization’s ability to operate based on how much cash is flowing into and out of the business.
Operating activities
Detail cash flow that’s generated once the company delivers its regular goods or services and includes both revenue and expenses.
Operating activities
Net Income
0
0
0
0
Depreciation and amortisation
0
0
0
0
Accounts receivables
0
0
0
0
Inventories
0
0
0
0
Other current and non current assets
0
0
0
0
Cash generated from operating activities
0
0
0
0
Investing activities
Comprise of cash flow from purchasing or selling assets using free cash, not debt; this is usually in the form of physical property, such as real estate or vehicles, and non-physical property, like patents
Investing activities
Payments for business acquisitions
0
0
0
0
Payments for intangible assets
0
0
0
0
Other
0
0
0
0
Cash used in investing activities
0
0
0
0
Financing activities
Detail cash flow from both debt and equity financing
Financing activities
Dividents
0
0
0
0
Repurchase of stock
0
0
0
0
Accounts receivables
0
0
0
0
Cash used in financing activities
0
0
0
0
Change in cash
0
0
0
0
End year available cash
0
0
0
0
Income / Profit and Loss Statement
Income / Profit and Loss Statement An income statement, also known as a profit and loss (P&L) statement, provides a comprehensive overview of a company’s financial performance
Revenue
Revenue: Also known as sales, it's the total amount of money generated from the sale of goods or services to customers.
Revenue
Sales Revenue
0
0
0
0
Less: Returns and Allowances
0
0
0
0
Net Sales
0
0
0
0
Cost of Sales
This is the direct costs attributable to the production of the goods sold by a company.
Cost of Sales
Direct Materials
0
0
0
0
Direct Labor
0
0
0
0
Overhead
0
0
0
0
Cost of Goods Sold (COGS):
0
0
0
0
Gross Profit
0
0
0
0
Gross Profit
The difference between revenue and cost of sales, indicating the profitability of the primary operations.
Operating Expenses
These are the costs associated with running the business, excluding the cost of producing the goods or services.
Operating Expenses
Sales and Marketing Expenses
0
0
0
0
General and Administrative Expenses
0
0
0
0
Salaries and Wages
0
0
0
0
Insurance and Miscellaneous
0
0
0
0
Total Operating Expenses
0
0
0
0