An income statement (sometimes called a profit and loss statement) lists your revenues and expenses, and tells you the profit or loss of your business for a given period of time. You've may have seen a formal income statement for other businesses or have paid your accountant to prepare one for yours. Such statements are invaluable in business planning, and many lenders will request this information.
While you may wish to work with your accountant for formal statements, you can create one yourself by using this Income Statement (Profit and Loss) Worksheet as a starting point. Fill in your income and expenses and the spreadsheet automatically calculates all the subtotals and totals and computes your net income.
Although the template is an example of an income statement for a business that purchases inventory and processes it into a final product, you can customize it to reflect your business situation.
The file contains a Microsoft Excel (version 4.0 and above) spreadsheet template.
- The spreadsheet is a downloadable template: Download it once and use it again and again.
- The spreadsheet contains categories that are used by many businesses in preparing an income statement.
- The spreadsheet is completely customizable: You can quickly add or delete account titles or revise the format to suit your needs.
- The spreadsheet is easy to use. Just plug in your numbers and it will automatically calculate all the subtotals and totals and compute your net income.