Are You Really Making Money? The Bookkeeping Reports That Show You the Truth
Running a business is hard work, but how do you really know if all that effort is paying off? It’s not just about checking your bank balance. To get a clear picture of your financial health, you need to regularly review a few key reports.
Here are three essential QuickBooks reports every small business owner should understand:
Profit & Loss Statement (P&L):
Shows your income, expenses, and bottom line over a set period. Are you consistently profitable, or just breaking even?Balance Sheet:
Offers a snapshot of what you own (assets), what you owe (liabilities), and what’s left (equity). It’s a key tool for understanding your business’s stability.Cash Flow Report:
Even profitable businesses can run into trouble if cash isn’t flowing properly. This report helps you track how money moves in and out of your business.
If you’re not reviewing these reports regularly, or if they don’t make sense when you do, it might be time to get some help. Clean, up-to-date books can give you clarity and confidence in your next move.
Need a second set of eyes on your numbers? We offer checkups, cleanups, and ongoing support tailored to small service businesses. Reach out today to learn more.
BookWise Bookkeeping
Phone 314-325-2478
info@bookwisestl.com