Balance sheet

A balance sheet is a snapshot of your business on a particular date. It lists all of your business's assets and liabilities and works out your net assets. A balance sheet can also help you work out your working capital (money needed to fund day-to-day operations) and business liquidity (how quickly you are able to pay your current debts), which can give you a good indication of the financial health of your business. See Finance for more information on managing and seeking finance.

On your balance sheet, list all your balance sheet items with the dollar amount for the next three years. For each year list the items and total the figures under the headings Total assets and Total liabilities. Use the outline below as your starting point for your balance sheet for each year.

Balance sheet per year

  • Current assets
    • Cash
    • Petty cash
    • Inventory
    • Pre-paid expenses
  • Fixed assets
    • Leasehold
    • Property & land
    • Renovations/improvements
    • Furniture & fitout
    • Vehicles
    • Equipment/tools
    • Computer equipment
  • Total assets (Add up all current assets and fixed assets)
  • Current/short-term liabilities
    • Credit cards payable
    • Accounts payable
    • Interest payable
    • Accrued wages
    • Income tax
  • Long-term liabilities
    • Loans
  • Total liabilities (Add up all short-term and long-term liabilities)
  • Net assets (Calculate Total assets minus Total liabilities)

Whether you've already started or intending to start you'll need to fill in actual or estimated figures against each item. If using estimated costs, you'll need to label them clearly. When preparing a balance sheet, ensure you also clearly state whether your figures are GST inclusive or exclusive.

Download our Balance sheet template to access an alternative version of this template.





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