A Sample Profit & Loss Statement are the most important document you can get when running a business, you need to keep a record of all of your results. It is a very simple document, but if you do not have one you need to get one for your business immediately.
You will want to review your profit and loss statement regularly and be aware of any changes that may affect your overall profit. You can purchase one from many sources including your local bank, accounting firms, and even a small search online should bring up several options. There are plenty of sites that sell these as a part of a package that also includes a financial statement.
These can be in many different types of formats. You can choose one that is simple, straightforward or very detailed. You can keep them in your file or even print them out to review them often. If you do not have a printer, you can also use the computer program to do it for you.
The first thing you will want to do is take your time and be certain you understand the rules on entering and interpreting them. One rule that is very important is to record the gross income and not the net income. Net income is the amount after you subtract the expenses.
If you do not know how to write an itemized statement for any specific item you should call on an accountant. Make sure you explain what each item is and how it affects your overall net income. This is important information to know before you enter any data.
Next you will want to look at your balance sheet and see what the dollar amounts for your income items are compared to your total assets. This is a very important calculation because it will determine what assets you can sell and what you can continue to invest in. You should be able to tell by looking at your balance sheet, whether or not you have sufficient funds to continue to operate your business.
If you find that you have several items in the profits that you are owed but do not have the money to pay them, you need to seek professional help. They can get them paid to you will never have to worry about missing payments again. Keep in mind that you may be in a situation where you owe someone money and you do not have the funds to pay them.
If you do not find any need for these statements then you can continue to use a standard profit and loss statement. You can find these from your accounting firm or can download them from many different sources including your local government. You can always use this information when you need to make a business decision and will always know if you are going to be profitable or not.