The debts that a business owes to other parties, such as loans, accounts payable, and unpaid taxes, are referred to as liabilities. Equity represents the portion of a company’s assets that belongs to the owners or shareholders. The first section of a Simple Balance Sheet Template is the assets section. This section lists all of the assets that a company owns, along with their current market value. The most typical kinds of assets are:
- Cash: This includes any money that a company has in its bank accounts, as well as any cash on hand.
- Accounts Receivable: This includes any money that a company is owed by its customers, but has not yet been paid.
- Inventory: This includes any products or materials that a company has in stock.
- Equipment: This includes any machinery, tools, or other equipment that a company uses in its operations.
- Property: This includes any buildings or land that a company owns.
The second section of a simple balance sheet template is the liabilities and equity section. This section lists all of the liabilities that a company owes, as well as its equity. The most common types of liabilities include:
- Accounts Payable: This includes any money that a company owes to its suppliers or vendors.
- Loans: This includes any money that a company has borrowed from a bank or other lender.
- Taxes Payable: This includes any taxes that a company owes to the government.
- Accrued Expenses: This includes any expenses that a company has incurred but has not yet paid, such as salaries or rent.
Printable Simple Balance Sheet Template in PDF and Word
A balance sheet is a vital financial statement that provides an overview of the company’s financial position. However, creating a balance sheet can be daunting for many small business owners. This is where buying a simple balance sheet template from Templatediy can come in handy.
With Templatediy’s easy-to-use and customizable templates, you can create your own accurate and professional-looking balance sheets without having to spend hours on end trying to figure out complex accounting equations.