What is a Profit and Loss Statement and why do I need it?

A profit & loss statement (P&L aka income statement) is a financial report that shows your total income, total expenses and net income for a specified time period. This statement will tell you if your business is making more $$ then it’s spends (profiting) or vice versa (producing a loss). It will allow you to get answers to the following questions: - do I have enough income to cover expenses? - do I make enough to pay myself? - what income stream is making me the most money? (Focus on that) - where am I spending the most money? (Cut costs) + so much more! Q: So, when should I start generating a P&L for my business? A: As soon as you start spending and/or earning money! Need assistance drawing up a profit and loss statement for your business? Contact us