Whether you need to secure a small loan from a bank or are seeking investors for your corporation, you need to provide accurate financial statements for your business. At Steward Ingram & Cooper PLLC, we offer monthly and quarterly financial statement preparation to Raleigh businesses so you can access your financial data when you need it.

In addition to financial statement preparation we also offer financial statement reviews, audits, and compilation.

Business Financial Statement Generation

There are four main financial statements you need to determine your financial health, plan for the future, and satisfy creditors, stockholders, and potential investors. 

Balance Sheet

Your balance sheet is an overall snapshot of your business’s financial status. This sheet determines your assets, liabilities, and total net worth and shows your ability to pay debts and collect revenue.

  • Assets include cash or items that can be converted into cash including property, inventory, equipment, accounts receivable;
  • Liabilities are obligations to creditors, including loans, money owed on equipment, and accounts payable. 
  • Net worth is the amount your business is worth after liabilities are subtracted from assets. 

Cash Flow Statement

The cash flow sheet statement shows how liquid assets, such as cash is generated and used during a period of time and looks at how it flows in and out of the business. Investors and lenders often take a very close look at cash flow since they can see what kind of operating costs and financial activities are involved in the business. 

Income Statement

The income statement, also called a profit and loss statement, shows exactly how much profit your business makes after subtracting from revenues, all expenses, including payroll, rent, utilities, equipment, and inventory costs. Some income statements provide a closer look at revenue and expenses, allowing the business owner to see what services or goods have a high or low profit margin and where they can possibly trim expenses to increase profitability.  

Equity Statement

Equity is the net worth of the corporation, and how much each shareholder or owner would receive in the event all assets were liquidated and divided up in accordance to the percent owned in the company. The equity statement shows changes in company equity from one period to the next. Publicly owned corporations use these to provide data such as stock sales to the general public, their financial standing, and sources of financing. 

Why Are Financial Statements for Businesses Important?

Whether you have a sole proprietorship or a thriving corporation, you should regularly run your financial statements or have a CPA firm generate them for you. 

Understanding Financial Health

You should always have a clear understanding of your business’s financial health and know how easily you can weather a downturn in your business or whether you are ready to scale to the next level. Your financial statements show trends, such as times of high and low revenue through the year as well as your ability to come up with cash quickly in the event of an emergency. All of this information can be put to work to help you create budgets, plan for the future, and improve your operations. 

Secure a Loan

When you need cash or capital for your business, you will most likely need to take out a loan, especially if you have a small business. Banks and lenders will want to see your financial statements to determine if you will be able to pay back the loan and if you are a good risk. 

Reach Investors

Similar to banks, investors or potential shareholders will want to see your financial reports to understand their investment potential.

Protect Your Business During an Audit

If your business is ever audited, having a history of accurate financial data and reports can improve the results, speed up the process, and provide the IRS or other government agencies with a more favorable opinion on your company. 

Why Choose Steward Ingram & Cooper PLLC

Since 2000, businesses in Raleigh, Durham, and surrounding areas have relied on our CPA firm to provide comprehensive accounting and bookkeeping services, including generating financial statements. By outsourcing this task to our team, you can feel confident in the accuracy of your statements and have access to a financial partner who can sit down with you and help you decipher the information and what it means for your business. 

We work with all types of organizations, including sole proprietors, limited liability companies, partnerships, close corporations, and trusts so you can feel confident that regardless of your company, you’ll get the accurate data you need completed using Generally Accepted Accounting Principles.