{"id":30833,"date":"2025-05-30T07:51:12","date_gmt":"2025-05-30T11:51:12","guid":{"rendered":"https:\/\/www.sage.com\/en-us\/blog\/?p=30833"},"modified":"2025-05-30T07:51:14","modified_gmt":"2025-05-30T11:51:14","slug":"balance-sheet-template","status":"publish","type":"post","link":"https:\/\/www.sage.com\/en-us\/blog\/balance-sheet-template\/","title":{"rendered":"Balance sheet template (download in Excel)"},"content":{"rendered":"<header class=\"entry-header has-dark-background-color entry-header--has-illustration entry-header--has-illustration--generic\">\n\t<div class=\"container\">\n\t\t<div class=\"entry-header__row row align-center\">\n\t\t\t<div class=\"col col-lg-7 col-xlg-6 entry-header__content\">\n\t\t\t\t\t\t\t<div class=\"component component-single-header\">\n\t\t\t\t\t\t\t\t\t\t<div class=\"entry-header__misc text--subtitle text--uppercase text--small\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-us\/blog\/category\/growth-customers\/\" class=\"entry-header__link\">Growth &amp; Customers<\/a>\t\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t<div class=\"entry-title-wrapper\">\n\t\t\t\t\t<h1 class=\"entry-title\">\n\t\t\t\t\t\tBalance sheet template (download in Excel)\t\t\t\t\t<\/h1>\n\t\t\t\t<\/div>\n\n\t\t\t\t\t\t\t\t\t<p class=\"entry-header__description\">\n\t\t\t\t\t\t\t\t\t\t\t<\/p>\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t<\/div>\n\t\t<div class=\"single-post-details container\">\n\t\t<div class=\"col\">\n\t\t\t<span class=\"posted-on \"><time class=\"entry-date published\" datetime=\"2025-05-30T07:51:12-04:00\">May 30, 2025<\/time><\/span><span class=\"reading-time\"> min read<\/span>\n\t\t<button\n\t\t\ttype=\"button\"\n\t\t\tclass=\"social-share-button button button--icon button--secondary js-social-share-button\"\n\t\t\tdata-share-title=\"Balance sheet template (download in Excel)\"\n\t\t\tdata-share-url=\"https:\/\/www.sage.com\/en-us\/blog\/balance-sheet-template\/\"\n\t\t\tdata-share-text=\"Please read this interesting article\"\n\t\t>\n\t\t\t<span class=\"social-share-button__share-label\">Share<\/span>\n\t\t\t<span class=\"social-share-button__copy-label\" hidden>Copy Link<\/span>\n\t\t\t<span class=\"social-share-button__copy-tooltip\" aria-hidden=\"true\" hidden>Copied<\/span>\n\t\t<\/button>\n\n\t\t\t\t<\/div>\n\t<\/div>\n\t<\/header>\n\n\n<div class=\"wp-block-post-author has-dark-background-color alignfull\">\n\t<div class=\"container\">\n\t\t<div class=\"col\">\n\t\t\t\t\t\t\t<div class=\"co-authors\">\n\t\t\t\t\t\n\t\t<div class=\"entry-author-wrapper\">\n\t\t\t<a class=\"entry-author\" href=\"https:\/\/www.sage.com\/en-us\/blog\/author\/yassirmalik\/\">\n\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"40\" height=\"40\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2024\/03\/Yassir-Malik.jpg\" class=\"entry-author__image\" alt=\"yassir-malik-profile-picture\" \/>\t\t\t\t<span class=\"entry-author__name\">Yassir Malik<\/span>\n\t\t\t<\/a>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t<\/div>\n<\/div>\n\n\n\n<p>A balance sheet is one of three essential financial statements that reveal your business&#8217;s financial status. It shows what your company owns, its debts, and shareholder equity.<\/p>\n\n\n\n<p>Along with the balance sheet, the <a href=\"https:\/\/www.sage.com\/en-us\/blog\/income-statement-template\/\" target=\"_blank\" rel=\"noreferrer noopener\">income <\/a>and <a href=\"https:\/\/www.sage.com\/en-us\/blog\/cash-flow-statement-template\/\" target=\"_blank\" rel=\"noreferrer noopener\">cash flow statements <\/a>make up the trio of core financial statements.<\/p>\n\n\n\n<p>This guide will explain what the balance sheet is and why it\u2019s essential for businesses of all sizes.<\/p>\n\n\n\n<p>We also provide a free balance sheet template in Excel for you to download, show you how to complete it, and explain what each section includes.<\/p>\n\n\n\n<p><strong>Here&#8217;s what we&#8217;ll cover:<\/strong><\/p>\n\n\n<?xml encoding=\"utf-8\" ?><div class=\"wp-block-yoast-seo-table-of-contents yoast-table-of-contents\"><ul><li><a href=\"#h-what-is-a-balance-sheet\" data-level=\"2\">What is a balance sheet?<\/a><\/li><li><a href=\"#h-why-is-a-balance-sheet-important\" data-level=\"2\">Why is a balance sheet important?<\/a><\/li><li><a href=\"#h-how-the-balance-sheet-works\" data-level=\"2\">How the balance sheet works<\/a><\/li><li><a href=\"#h-what-s-included-in-a-balance-sheet\" data-level=\"2\">What&rsquo;s included in a balance sheet?<\/a><\/li><li><a href=\"#h-balance-sheet-template-nbsp\" data-level=\"2\">Balance sheet template&nbsp;<\/a><\/li><li><a href=\"#h-how-to-complete-your-balance-sheet\" data-level=\"2\">How to complete your balance sheet<\/a><\/li><li><a href=\"#h-balance-sheet-example\" data-level=\"2\">Balance sheet example<\/a><\/li><li><a href=\"#h-what-are-the-limitations-of-a-balance-sheet\" data-level=\"2\">What are the limitations of a balance sheet?<\/a><\/li><li><a href=\"#h-faqs\" data-level=\"2\">FAQs<\/a><\/li><\/ul><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-what-is-a-balance-sheet\"><a><\/a>What is a balance sheet?<\/h2>\n\n\n\n<p>A balance sheet shows a company\u2019s financial position on a specific date, often at the end of an accounting period. <\/p>\n\n\n\n<p>This key financial statement is divided into 3 main sections:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Assets<\/li>\n\n\n\n<li>Liabilities<\/li>\n\n\n\n<li>Shareholders\u2019 equity<\/li>\n<\/ul>\n\n\n\n<p>The balance sheet is also called a \u201cstatement of financial position\u201d.<\/p>\n\n\n\n<p>Unlike other reports that track changes over time, it captures a single moment in your business finances.<\/p>\n\n\n\n<p>Its value lies in comparing it with past sheets to track shifts and patterns, but also in providing information about solvency, cash flow details, and credit risk.<\/p>\n\n\n\n<p>Businesses rely on the balance sheet for both internal planning and external reporting.<\/p>\n\n\n\n<p>It lists a company&#8217;s assets (what it owns), liabilities (what it owes), and equity (the owners&#8217; residual value after subtracting liabilities from assets).<\/p>\n\n\n\n<p>This breakdown helps you evaluate your company\u2019s liquidity and whether the business can cover long-term obligations.<\/p>\n\n\n\n<p>For example, a high equity value suggests stability, while heavy liabilities could signal risk.<\/p>\n\n\n\n<div class=\"single-cta gated-content\">\n\t<div class=\"single-cta__positioner\">\n\t\t<div class=\"single-cta__wrapper has-dark-background-color\">\n\t\t\t<div class=\"single-cta__content\">\n\t\t\t\t\t\t\t\t<h2 class=\"single-cta__title h3\">Balance Sheet template<\/h2>\n\n\t\t\t\t\t\t\t\t\t<div class=\"single-cta__description\">\n\t\t\t\t\t\t<p><!-- wp:paragraph --><\/p>\n<p>Download a free, easy to use balance sheet template in Excel. <\/p>\n<p><!-- \/wp:paragraph --><\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t<a\n\t\t\t\t\t\thref=\"#gate-43207406-9ffa-4f1d-845b-914653b7ac30\"\n\t\t\t\t\t\tclass=\"single-cta__button button button--primary\"\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t>Download now<\/a>\n\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<img decoding=\"async\" width=\"453\" height=\"810\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-template-example-453x810.jpg\" class=\"single-cta__image\" alt=\"An example of a balance sheet\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-template-example-453x810.jpg 453w\" sizes=\"auto, (min-width: 48em) 33vw, 100vw\" \/>\t\t\t<\/div>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-why-is-a-balance-sheet-important\"><a><\/a>Why is a balance sheet important?<\/h2>\n\n\n\n<p>A balance sheet gives you a clear snapshot of your finances at a specific point in time.<\/p>\n\n\n\n<p>Here\u2019s why this report matters:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Lenders often use it to assess creditworthiness before approving funding<\/li>\n\n\n\n<li>You can spot financial vulnerabilities (like rising debt over time)<\/li>\n\n\n\n<li>Make informed decisions about operations, investments, and growth strategies&nbsp;<\/li>\n\n\n\n<li>Investors use it to assess your financial health before investing<\/li>\n\n\n\n<li>They\u2019re often required for regulatory purposes, tax filings, or audits<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-how-the-balance-sheet-works\"><a><\/a>How the balance sheet works<\/h2>\n\n\n\n<p>The balance sheet is a historical report that owners can use to make business decisions to keep the company on the right financial path.<\/p>\n\n\n\n<p>The sheet balances assets against liabilities and shareholders\u2019 equity and follows a simple formula:<\/p>\n\n\n\n<p><strong>Assets = Liabilities + Shareholders\u2019 Equity<\/strong><\/p>\n\n\n\n<p>The formula shows exactly how your business is funded.<\/p>\n\n\n\n<p>Every asset you own is paid for by either borrowing (liabilities) or using owner funds and profits (equity). This keeps the balance sheet even, with both sides matching up neatly.<\/p>\n\n\n\n<p>The balance sheet structure is easy to follow and understand, with assets first, followed by liabilities and shareholder equity.<\/p>\n\n\n\n<p>The key to keeping your balance sheet \u201cbalanced\u201d is your assets must always add up to the same total as liabilities and equity combined.<\/p>\n\n\n\n<p>You should note that balance sheets vary by business size and industry.<\/p>\n\n\n\n<p>For example, a small retailer might list basic assets like cash and inventory, while a manufacturer includes complex items like machinery depreciation.<\/p>\n\n\n\n<p>For public companies, accounting standards add another layer of complexity.<\/p>\n\n\n\n<p>GAAP (generally accepted accounting principles) requires specific formats, while <a href=\"https:\/\/www.ifrs.org\/\" target=\"_blank\" rel=\"noreferrer noopener\">IFRS (International Financial Reporting Standards)<\/a> might allow more flexibility.<\/p>\n\n\n\n<p>For US-based small and medium businesses, GAAP will be your go-to framework.<\/p>\n\n\n\n<p>Timing matters when you prepare a balance sheet, since it captures your finances on one specific day.<\/p>\n\n\n\n<p>If you run a business with seasonal shifts, such as a gift shop, prepare your balance sheet right after your busy period (January, for example) to see a clear picture of cash and inventory.<\/p>\n\n\n\n<figure data-wp-context=\"{&quot;imageId&quot;:&quot;6a1860b7875bc&quot;}\" data-wp-interactive=\"core\/image\" data-wp-key=\"6a1860b7875bc\" class=\"wp-block-image size-full wp-lightbox-container\"><img loading=\"lazy\" decoding=\"async\" width=\"1458\" height=\"1056\" data-wp-class--hide=\"state.isContentHidden\" data-wp-class--show=\"state.isContentVisible\" data-wp-init=\"callbacks.setButtonStyles\" data-wp-on--click=\"actions.showLightbox\" data-wp-on--load=\"callbacks.setButtonStyles\" data-wp-on-window--resize=\"callbacks.setButtonStyles\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-banner-1.jpg\" alt=\"A infographic of a balance sheet\" class=\"wp-image-30846\" srcset=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-banner-1.jpg 1458w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-banner-1-768x556.jpg 768w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-banner-1-1118x810.jpg 1118w\" sizes=\"auto, (max-width: 1458px) 100vw, 1458px\" \/><button\n\t\t\tclass=\"lightbox-trigger\"\n\t\t\ttype=\"button\"\n\t\t\taria-haspopup=\"dialog\"\n\t\t\taria-label=\"Enlarge\"\n\t\t\tdata-wp-init=\"callbacks.initTriggerButton\"\n\t\t\tdata-wp-on--click=\"actions.showLightbox\"\n\t\t\tdata-wp-style--right=\"state.imageButtonRight\"\n\t\t\tdata-wp-style--top=\"state.imageButtonTop\"\n\t\t>\n\t\t\t<svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"12\" height=\"12\" fill=\"none\" viewBox=\"0 0 12 12\">\n\t\t\t\t<path fill=\"#fff\" d=\"M2 0a2 2 0 0 0-2 2v2h1.5V2a.5.5 0 0 1 .5-.5h2V0H2Zm2 10.5H2a.5.5 0 0 1-.5-.5V8H0v2a2 2 0 0 0 2 2h2v-1.5ZM8 12v-1.5h2a.5.5 0 0 0 .5-.5V8H12v2a2 2 0 0 1-2 2H8Zm2-12a2 2 0 0 1 2 2v2h-1.5V2a.5.5 0 0 0-.5-.5H8V0h2Z\" \/>\n\t\t\t<\/svg>\n\t\t<\/button><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-what-s-included-in-a-balance-sheet\"><a><\/a>What\u2019s included in a balance sheet?<\/h2>\n\n\n\n<p>Let\u2019s break down the three main parts of the balance sheet, so you can see how it all fits together, especially if you\u2019re using a balance sheet template for small business.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-assets\"><a><\/a>Assets<\/h3>\n\n\n\n<p>Assets are everything your business owns that has value.<\/p>\n\n\n\n<p>They\u2019re split into 3 types: current, fixed, and other assets.<\/p>\n\n\n\n<p>You\u2019ll find these asset categories in any solid balance sheet template.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-current-assets\"><a><\/a>Current assets<\/h3>\n\n\n\n<p>Current assets represent short-term assets which you can use or convert to cash within a year.<\/p>\n\n\n\n<p>Common examples include cash, accounts receivable, inventory, and short-term investments.<\/p>\n\n\n\n<p>These assets power your daily operations. For a small or medium-sized business, this might be most of what you track.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-fixed-assets\"><a><\/a>Fixed assets<\/h3>\n\n\n\n<p>Fixed assets are also called non-current or long-term assets. <\/p>\n\n\n\n<p>They can include tangible items used over multiple years to run the business.<\/p>\n\n\n\n<p>For example, property like your office building, equipment for production, or vehicles for deliveries.<\/p>\n\n\n\n<p>Fixed assets often lose value due to use or aging, and companies record this decline as depreciation over their useful life.<\/p>\n\n\n\n<p>If you\u2019re manually <a href=\"https:\/\/www.sage.com\/en-us\/products\/sage-fixed-assets\/\" target=\"_blank\" rel=\"noreferrer noopener\">tracking depreciation<\/a>, we can automate that, helping you stay accurate and saving you time.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-other-assets\"><a><\/a>Other assets<\/h3>\n\n\n\n<p>The other assets category captures anything not classified under current or fixed assets.<\/p>\n\n\n\n<p>It can include intangible assets like patents, trademarks, goodwill, or long-term investments that aren\u2019t expected to be liquidated in the near term.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-liabilities\"><a><\/a>Liabilities<\/h3>\n\n\n\n<p>Liabilities are your pending financial obligations, essentially anything your business owes to others.<\/p>\n\n\n\n<p>Just like assets, they\u2019re divided into current and long-term liabilities. <\/p>\n\n\n\n<p>Liabilities should be included in any free balance sheet template to help you keep debts organized.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-current-liabilities\"><a><\/a>Current liabilities<\/h3>\n\n\n\n<p>Current liabilities represent all debts that need to be paid off within 12 months.<\/p>\n\n\n\n<p>This includes short-term loans, unpaid bills to suppliers, or taxes you need to pay soon. By managing current liabilities, you can meet short-term commitments without hurting your cash flow.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-long-term-liabilities\"><a><\/a>Long-term liabilities<\/h3>\n\n\n\n<p>Long-term liabilities stretch out further than a year, such as mortgages and long-term loans.<\/p>\n\n\n\n<p>If you intend to grow your business or make capital investments, you\u2019ll want to actively monitor your long-term liabilities to control debts to ensure financial stability.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-equity\"><a><\/a>Equity<\/h3>\n\n\n\n<p>Equity reflects the ownership interest in the business after deducting all liabilities from assets.<\/p>\n\n\n\n<p>Equity includes money owners put in, like initial investments or stock sales.<\/p>\n\n\n\n<p>It also adds retained earnings, which are profits you\u2019ve kept instead of paying out.&nbsp;<\/p>\n\n\n\n<p>For growing businesses, equity is a key indicator of financial health and long-term value creation.<\/p>\n\n\n\n<p>If you\u2019re using a balance sheet template for a small business, it\u2019s often the bottom line.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-balance-sheet-template-nbsp\"><a><\/a>Balance sheet template&nbsp;<\/h2>\n\n\n\n<div class=\"single-cta gated-content\">\n\t<div class=\"single-cta__positioner\">\n\t\t<div class=\"single-cta__wrapper has-dark-background-color\">\n\t\t\t<div class=\"single-cta__content\">\n\t\t\t\t\t\t\t\t<h2 class=\"single-cta__title h3\">Balance Sheet template<\/h2>\n\n\t\t\t\t\t\t\t\t\t<div class=\"single-cta__description\">\n\t\t\t\t\t\t<p><!-- wp:paragraph --><\/p>\n<p>Download a free, easy to use balance sheet template in Excel. <\/p>\n<p><!-- \/wp:paragraph --><\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t<a\n\t\t\t\t\t\thref=\"#gate-43207406-9ffa-4f1d-845b-914653b7ac30\"\n\t\t\t\t\t\tclass=\"single-cta__button button button--primary\"\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t>Download now<\/a>\n\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<img decoding=\"async\" width=\"453\" height=\"810\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-template-example-453x810.jpg\" class=\"single-cta__image\" alt=\"An example of a balance sheet\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-template-example-453x810.jpg 453w\" sizes=\"auto, (min-width: 48em) 33vw, 100vw\" \/>\t\t\t<\/div>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-how-to-complete-your-balance-sheet\"><a><\/a>How to complete your balance sheet<\/h2>\n\n\n\n<p>A simple balance sheet template allows you to structure financial data in an orderly format.<\/p>\n\n\n\n<p>Whether you\u2019re closing the fiscal year or preparing for a lender review, accurate information is key.<\/p>\n\n\n\n<p>Our balance sheet template includes columns for 2024, 2025, and the change between them, so you can see how your numbers shift year-over-year.<\/p>\n\n\n\n<p>Comparing these lets you spot patterns, like ample cash reserves or a rising loan balance.<\/p>\n\n\n\n<p>For instance, if your inventory jumped from $10,000 to $15,000, you might be stocking up for expansion.<\/p>\n\n\n\n<p>This side-by-side view helps you plan smarter and catch issues early.<\/p>\n\n\n\n<p>Follow this simple step-by-step guide to complete the main sections of the balance sheet.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-step-1-gather-your-financial-records\"><a><\/a>Step 1: Gather your financial records<\/h3>\n\n\n\n<p>Start by collecting your financials for the specific date.<\/p>\n\n\n\n<p>You\u2019ll need your bank statements, accounts receivable report, inventory list, loan agreements, and owner investment records.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-step-2-fill-in-the-date-and-business-information\">Step 2: Fill in the date and business information<\/h3>\n\n\n\n<p>At the top of your balance sheet, enter your business name and the exact date of the report.<\/p>\n\n\n\n<p>A balance sheet shows a snapshot in time, so this date should reflect the end of the reporting period. It\u2019s usually month-end, quarter-end, or year-end.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-step-3-complete-the-assets-section\"><a><\/a>Step 3: Complete the assets section<\/h3>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-current-assets-0\">Current assets<\/h4>\n\n\n\n<p>List all assets your business expects to convert into cash within a year, including:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Cash and cash equivalents (funds in checking or savings accounts)<\/li>\n\n\n\n<li>Accounts receivable (outstanding customer invoices you expect to collect)<\/li>\n\n\n\n<li>Inventory (goods available for sale)<\/li>\n\n\n\n<li>Prepaid expenses (items like insurance or rent you\u2019ve paid in advance)<\/li>\n\n\n\n<li>Short-term investment<\/li>\n\n\n\n<li>Other current assets<\/li>\n<\/ul>\n\n\n\n<p>Add these up to get your total current assets.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-noncurrent-fixed-assets\">Noncurrent (Fixed) assets<\/h4>\n\n\n\n<p>Next, list long-term assets your business uses over time. These typically include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Land and buildings<\/li>\n\n\n\n<li>Furniture and equipment<\/li>\n\n\n\n<li>Computers<\/li>\n\n\n\n<li>Vehicles<\/li>\n\n\n\n<li>Other fixed assets<\/li>\n\n\n\n<li>Accumulated depreciation (reduction in asset value over time)<\/li>\n<\/ul>\n\n\n\n<p>For each, include the original purchase cost and subtract accumulated depreciation to show net value. Add these values to get your total noncurrent assets.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-other-assets-0\">Other assets<\/h4>\n\n\n\n<p>Finally, for other assets, enter the rest of your assets that are neither current nor fixed, such as:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Trademarks and patents<\/li>\n\n\n\n<li>Goodwill<\/li>\n\n\n\n<li>Security deposits<\/li>\n\n\n\n<li>Investments<\/li>\n\n\n\n<li>Other assets<\/li>\n<\/ul>\n\n\n\n<p>Total assets are the sum of your current, noncurrent and other assets. Enter this figure at the bottom of the assets section.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-step-4-complete-the-liabilities-section\"><a><\/a>Step 4: Complete the liabilities section<\/h3>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-current-liabilities-0\">Current liabilities<\/h4>\n\n\n\n<p>These are obligations due within a year, including:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Accounts payable<\/li>\n\n\n\n<li>Sales tax payable<\/li>\n\n\n\n<li>Corporate taxes payable<\/li>\n\n\n\n<li>Accruals<\/li>\n\n\n\n<li>Payroll liabilities<\/li>\n\n\n\n<li>Other current liabilities<\/li>\n\n\n\n<li>Current portion of long-term loans and debt<\/li>\n<\/ul>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-long-term-liabilities-0\">Long-term liabilities<\/h4>\n\n\n\n<p>These are debts and obligations due beyond 1 year. Common examples include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Notes payable<\/li>\n\n\n\n<li>Mortgages<\/li>\n\n\n\n<li>Loans<\/li>\n\n\n\n<li>Other long-term debt<\/li>\n\n\n\n<li>Other long-term liabilities<\/li>\n<\/ul>\n\n\n\n<p>Add these to your current liabilities to get your total liabilities.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-step-5-complete-the-equity-section\"><a><\/a>Step 5: Complete the equity section<\/h3>\n\n\n\n<p>Equity is the value left in the business after subtracting liabilities from assets.<\/p>\n\n\n\n<p>It represents ownership in the business.<\/p>\n\n\n\n<p>Typical line items include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Capital stock (for corporations)<\/li>\n\n\n\n<li>Owner\/partner contribution (for sole proprietors, LLCs, and partnerships)<\/li>\n\n\n\n<li>Owner\/partner distribution (for sole proprietors, LLCs, and partnerships)<\/li>\n\n\n\n<li>Retained earnings<\/li>\n<\/ul>\n\n\n\n<p>Add these to calculate your total equity.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-step-6-confirm-everything-balances\"><a><\/a>Step 6: Confirm everything balances<\/h3>\n\n\n\n<p>If the two sides don\u2019t match, go back and verify the entries and calculations. Your assets should equal liabilities plus equity.<\/p>\n\n\n\n<p>Hence, the formula: <strong>Assets = Liabilities + Shareholders\u2019 Equity.<\/strong><\/p>\n\n\n\n<figure data-wp-context=\"{&quot;imageId&quot;:&quot;6a1860b78a1a4&quot;}\" data-wp-interactive=\"core\/image\" data-wp-key=\"6a1860b78a1a4\" class=\"wp-block-image size-large wp-lightbox-container\"><img loading=\"lazy\" decoding=\"async\" width=\"453\" height=\"810\" data-wp-class--hide=\"state.isContentHidden\" data-wp-class--show=\"state.isContentVisible\" data-wp-init=\"callbacks.setButtonStyles\" data-wp-on--click=\"actions.showLightbox\" data-wp-on--load=\"callbacks.setButtonStyles\" data-wp-on-window--resize=\"callbacks.setButtonStyles\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-template-example-453x810.jpg\" alt=\"An example of a balance sheet\" class=\"wp-image-30842\" srcset=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-template-example-453x810.jpg 453w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-template-example-429x768.jpg 429w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-template-example-768x1374.jpg 768w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-template-example-858x1536.jpg 858w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-template-example.jpg 1140w\" sizes=\"auto, (max-width: 453px) 100vw, 453px\" \/><button\n\t\t\tclass=\"lightbox-trigger\"\n\t\t\ttype=\"button\"\n\t\t\taria-haspopup=\"dialog\"\n\t\t\taria-label=\"Enlarge\"\n\t\t\tdata-wp-init=\"callbacks.initTriggerButton\"\n\t\t\tdata-wp-on--click=\"actions.showLightbox\"\n\t\t\tdata-wp-style--right=\"state.imageButtonRight\"\n\t\t\tdata-wp-style--top=\"state.imageButtonTop\"\n\t\t>\n\t\t\t<svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"12\" height=\"12\" fill=\"none\" viewBox=\"0 0 12 12\">\n\t\t\t\t<path fill=\"#fff\" d=\"M2 0a2 2 0 0 0-2 2v2h1.5V2a.5.5 0 0 1 .5-.5h2V0H2Zm2 10.5H2a.5.5 0 0 1-.5-.5V8H0v2a2 2 0 0 0 2 2h2v-1.5ZM8 12v-1.5h2a.5.5 0 0 0 .5-.5V8H12v2a2 2 0 0 1-2 2H8Zm2-12a2 2 0 0 1 2 2v2h-1.5V2a.5.5 0 0 0-.5-.5H8V0h2Z\" \/>\n\t\t\t<\/svg>\n\t\t<\/button><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-balance-sheet-example\"><a><\/a>Balance sheet example<\/h2>\n\n\n\n<p>Let\u2019s look at a hypothetical example from a fictional coffee shop, BrewCafe, to help you apply this formula to your business.<\/p>\n\n\n\n<p>The coffee shop owner puts together a balance sheet to check finances as of December 31, 2024.<\/p>\n\n\n\n<p>Below is the entry for their <strong>assets:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Current assets: <\/strong>They have $8,000 in cash from sales, $2,000 owed from a catering job, and $5,000 in inventory for coffee beans and cups, which add up to $15,000.<\/li>\n\n\n\n<li><strong>Fixed assets:<\/strong> The shop has a $30,000 espresso machine, now valued at $25,000 after $5,000 in accumulated depreciation, plus $10,000 in tables and chairs. That\u2019s $35,000 for fixed assets.<\/li>\n\n\n\n<li><strong>Other assets:<\/strong> They have a $1,000 lease deposit, making the sum of other assets&nbsp;$1,000.<\/li>\n<\/ul>\n\n\n\n<p>Total assets come to $15,000 + $35,000 + $1,000 = $51,000.<\/p>\n\n\n\n<p>The owner calculates the following for their <strong>liabilities:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Current liabilities:<\/strong> They owe their supplier $3,000 and have an outstanding loan of $1,000 due within three months as the current portion of a $16,000 equipment loan. Total current liabilities are $4,000.<\/li>\n\n\n\n<li><strong>Long-term liabilities:<\/strong> The remaining $15,000 of the equipment loan, payable over four years, is listed here. Total long-term liabilities are $15,000.<\/li>\n<\/ul>\n\n\n\n<p>Total liabilities are $4,000 + $15,000 = $19,000.<\/p>\n\n\n\n<p>Then finally, they calculate their <strong>equity.<\/strong><\/p>\n\n\n\n<p>The owner started with $20,000 in owner contributions and has $12,000 in profits saved up. That\u2019s $20,000 in <strong>capital<\/strong> plus $12,000 in <strong>retained earnings<\/strong>, equaling $32,000.<\/p>\n\n\n\n<p>Following the formula:&nbsp; Assets = Liabilities + Equity, the result is<\/p>\n\n\n\n<p>$19,000 + $32,000 = $51,000<\/p>\n\n\n\n<p>Their assets are $51,000 and the sum of their liabilities and equity also equals the same. Hence, the balance sheet balances.<\/p>\n\n\n\n<p>It may help to keep this example in mind when using your own numbers. Take your balance sheet template, add your details, and you\u2019ll have a clear view of your business&#8217;s financial health at a given time.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-what-are-the-limitations-of-a-balance-sheet\"><a><\/a>What are the limitations of a balance sheet?<\/h2>\n\n\n\n<p>Like any financial tool, a balance sheet has its limitations:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>It reflects a single point in time and doesn\u2019t show trends or changes over a period.<\/li>\n\n\n\n<li>Most assets are listed at their original purchase price, not current market value, so they may be over- or undervalued.<\/li>\n\n\n\n<li>Short-term issues might go unnoticed without reviewing other statements, like the income statement and cash flow statement.<\/li>\n\n\n\n<li>Some figures, such as accumulated depreciation and allowances for doubtful accounts, rely on estimates, which can vary depending on who prepares them.<\/li>\n<\/ul>\n\n\n\n<p>In short, a balance sheet is useful, but it\u2019s only one piece of the puzzle. <\/p>\n\n\n\n<p>Use it alongside other statements for a clearer view of your business\u2019s financial health.<\/p>\n\n\n\n<figure data-wp-context=\"{&quot;imageId&quot;:&quot;6a1860b78b07c&quot;}\" data-wp-interactive=\"core\/image\" data-wp-key=\"6a1860b78b07c\" class=\"wp-block-image size-full wp-lightbox-container\"><img loading=\"lazy\" decoding=\"async\" width=\"1458\" height=\"706\" data-wp-class--hide=\"state.isContentHidden\" data-wp-class--show=\"state.isContentVisible\" data-wp-init=\"callbacks.setButtonStyles\" data-wp-on--click=\"actions.showLightbox\" data-wp-on--load=\"callbacks.setButtonStyles\" data-wp-on-window--resize=\"callbacks.setButtonStyles\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-banner-2.jpg\" alt=\"Illustration of a person filing papers in a large cabinet next to text listing the three core financial statements for a company: income statement, cash flow statement, and balance sheet.\" class=\"wp-image-30845\" srcset=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-banner-2.jpg 1458w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-banner-2-768x372.jpg 768w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-banner-2-1440x697.jpg 1440w\" sizes=\"auto, (max-width: 1458px) 100vw, 1458px\" \/><button\n\t\t\tclass=\"lightbox-trigger\"\n\t\t\ttype=\"button\"\n\t\t\taria-haspopup=\"dialog\"\n\t\t\taria-label=\"Enlarge\"\n\t\t\tdata-wp-init=\"callbacks.initTriggerButton\"\n\t\t\tdata-wp-on--click=\"actions.showLightbox\"\n\t\t\tdata-wp-style--right=\"state.imageButtonRight\"\n\t\t\tdata-wp-style--top=\"state.imageButtonTop\"\n\t\t>\n\t\t\t<svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"12\" height=\"12\" fill=\"none\" viewBox=\"0 0 12 12\">\n\t\t\t\t<path fill=\"#fff\" d=\"M2 0a2 2 0 0 0-2 2v2h1.5V2a.5.5 0 0 1 .5-.5h2V0H2Zm2 10.5H2a.5.5 0 0 1-.5-.5V8H0v2a2 2 0 0 0 2 2h2v-1.5ZM8 12v-1.5h2a.5.5 0 0 0 .5-.5V8H12v2a2 2 0 0 1-2 2H8Zm2-12a2 2 0 0 1 2 2v2h-1.5V2a.5.5 0 0 0-.5-.5H8V0h2Z\" \/>\n\t\t\t<\/svg>\n\t\t<\/button><\/figure>\n\n\n<div class=\"wp-block-sage-spacer\" aria-hidden=\"true\" style=\"height: var(--spacing-xmedium); clear: both;\"><\/div>\n\n\n<p>To streamline financial reporting and make balance sheet preparation faster and more accurate, many businesses use <a href=\"https:\/\/www.sage.com\/en-us\/accounting-software\/\" target=\"_blank\" rel=\"noreferrer noopener\">accounting software<\/a>. <\/p>\n\n\n\n<p>It can help automate calculations, reduce errors, and organize your data in a way that makes it easy to complete essential statements like your balance sheet, income statement, and cash flow report.\u00a0<\/p>\n\n\n\n<div class=\"single-cta gated-content\">\n\t<div class=\"single-cta__positioner\">\n\t\t<div class=\"single-cta__wrapper has-dark-background-color\">\n\t\t\t<div class=\"single-cta__content\">\n\t\t\t\t\t\t\t\t<h2 class=\"single-cta__title h3\">Balance Sheet template<\/h2>\n\n\t\t\t\t\t\t\t\t\t<div class=\"single-cta__description\">\n\t\t\t\t\t\t<p><!-- wp:paragraph --><\/p>\n<p>Download a free, easy to use balance sheet template in Excel. <\/p>\n<p><!-- \/wp:paragraph --><\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t<a\n\t\t\t\t\t\thref=\"#gate-43207406-9ffa-4f1d-845b-914653b7ac30\"\n\t\t\t\t\t\tclass=\"single-cta__button button button--primary\"\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t>Download now<\/a>\n\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<img decoding=\"async\" width=\"453\" height=\"810\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-template-example-453x810.jpg\" class=\"single-cta__image\" alt=\"An example of a balance sheet\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/05\/balance-sheet-template-example-453x810.jpg 453w\" sizes=\"auto, (min-width: 48em) 33vw, 100vw\" \/>\t\t\t<\/div>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-faqs\"><a><\/a>FAQs<\/h2>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-do-all-businesses-have-to-produce-a-balance-sheet\"><a><\/a>Do all businesses have to produce a balance sheet?<\/h3>\n\n\n\n<p>Not every business is required to create a balance sheet.<\/p>\n\n\n\n<p>If you\u2019re a sole proprietor or part of a small partnership, there\u2019s no legal mandate to produce one.<\/p>\n\n\n\n<p>For publicly traded ones, it\u2019s different.<\/p>\n\n\n\n<p>They must file balance sheets with the <a href=\"https:\/\/www.sec.gov\/about\/divisions-offices\/division-corporation-finance\/financial-reporting-manual\/frm-topic-1\" target=\"_blank\" rel=\"noreferrer noopener\">SEC (Securities and Exchange Commission)<\/a> quarterly and annually under US regulations.<\/p>\n\n\n\n<p>Private companies, including many SMEs, aren\u2019t obligated to, but using a balance sheet can still provide the information you need to understand your financial position.<\/p>\n\n\n\n<p>It all depends on your needs and external expectations.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-what-is-the-difference-between-a-balance-sheet-and-an-income-statement\"><a><\/a>What is the difference between a balance sheet and an income statement?<\/h3>\n\n\n\n<p>The balance sheet and the income statement are two core financial statements for a company. <a><\/a><\/p>\n\n\n\n<p>But, they have different purposes and present different types of financial information.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-balance-sheet\">Balance sheet<\/h3>\n\n\n\n<p>A balance sheet shows your financial position at a specific point in time.<\/p>\n\n\n\n<p>It lists what your business owns, what it owes, along with the equity held by shareholders.<\/p>\n\n\n\n<p>The balance sheet provides critical information on a company\u2019s liquidity, solvency, and capital structure and is vital for assessing the company&#8217;s financial stability and capability to handle its obligations.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-income-statement\">Income statement<\/h3>\n\n\n\n<p>An income statement, on the other hand, tracks your revenues and expenses over a period such as a quarter or a year.<\/p>\n\n\n\n<p>The primary purpose of the income statement is to showcase how the revenues are transformed into net income (or net loss) by deducting all expenses from the total revenue.<\/p>\n\n\n\n<p>This includes operating expenses, cost of goods sold, taxes, and other expenses.<\/p>\n\n\n\n<p>On a basic level, it tells you whether the business made a profit or a loss during that time.<\/p>\n\n\n\n<p>Together, the income statement and balance sheet provide a comprehensive view of a company&#8217;s financial health, each from a different perspective but both are essential for a complete financial analysis.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-what-are-the-uses-of-a-balance-sheet\"><a><\/a>What are the uses of a balance sheet?<\/h3>\n\n\n\n<p>A balance sheet helps owners, investors, and lenders understand how stable and solvent a business is.<\/p>\n\n\n\n<p>It shows whether the company has enough assets to cover its liabilities, how much debt it holds, and how much value has been built over time.<\/p>\n\n\n\n<p>It also supports decisions around financing, investment, and growth.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-when-is-a-balance-sheet-prepared\">When is a balance sheet prepared?<\/h3>\n\n\n\n<p>Balance sheets are usually prepared at the end of a financial period.<\/p>\n\n\n\n<p>Depending on the size of the business and its reporting needs, they might be prepared monthly, quarterly, or annually.<\/p>\n\n\n\n<p>Some businesses also prepare one when applying for loans or attracting new investors.<\/p>\n\n\n<div class=\"single-cta\">\n\t<div class=\"single-cta__positioner\">\n\t\t<div class=\"single-cta__wrapper has-dark-background-color\">\n\t\t\t<div class=\"single-cta__content\">\n\t\t\t\t\t\t\t\t<h2 class=\"single-cta__title h3\">Subscribe to our Sage Advice Newsletter<\/h2>\n\n\t\t\t\t\t\t\t\t\t<div class=\"single-cta__description\">\n\t\t\t\t\t\t<p>Get our latest business advice delivered directly to your inbox.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t<a\n\t\t\t\t\t\thref=\"#gate-ab515c6e-7e90-4c2f-a67e-113872516e8b\"\n\t\t\t\t\t\tclass=\"single-cta__button button button--primary\"\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t>Subscribe<\/a>\n\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<img decoding=\"async\" width=\"1440\" height=\"810\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2022\/04\/GettyImages-1073797282-1440x810.jpg\" class=\"single-cta__image\" alt=\"Working from home with tea in hand\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2022\/04\/GettyImages-1073797282-1440x810.jpg 1440w\" sizes=\"auto, (min-width: 48em) 33vw, 100vw\" \/>\t\t\t<\/div>\n<\/div>\n\n<section class=\"more-topics alignfull has-grey-light-background-color wp-block-sage-post-topics\">\n\t<div class=\"container\">\n\t\t<div class=\"row\">\n\t\t\t<div class=\"col col-12 col-lg-4\">\n\t\t\t\t<h3 class=\"more-topics__title h2\">Browse more topics from this article<\/h3>\n\t\t\t<\/div>\n\t\t\t<div class=\"col col-12 col-lg-8\">\n\t\t\t\t<ul class=\"post-tags__list\">\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-us\/blog\/hub\/accountants\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tAccountants\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-us\/blog\/hub\/accounting-101\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tAccounting 101\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-us\/blog\/hub\/boss-your-business\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tBoss your business\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-us\/blog\/hub\/business-intelligence\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tBusiness intelligence\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-us\/blog\/hub\/cash-flow\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tCash Flow\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-us\/blog\/hub\/fixed-assets\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tFixed Assets\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-us\/blog\/hub\/growing-a-business\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tGrowing a business\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-us\/blog\/hub\/small-business\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tSmall business\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-us\/blog\/hub\/starting-a-business\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tStarting a business\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-us\/blog\/hub\/staying-competitive\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tStay competitive\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-us\/blog\/hub\/tax\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tTax\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t<\/ul>\n\t\t\t<\/div>\n\t\t<\/div>\n\t<\/div>\n<\/section>\n\n<div class=\"alignfull wp-block-sage-related-posts\">\n\t<section class=\"related-posts card-grid has-dark-background-color\">\n\t<div class=\"container\">\n\t\t\t\t\t<div class=\"row\">\n\t\t\t\t<div class=\"col\">\n\t\t\t\t\t<h2 class=\"related-posts__heading related-posts__heading--featured h1\">Explore more wisdom<\/h2>\n\t\t\t\t<\/div>\n\t\t\t<\/div>\n\n\t\t\t<div class=\"row related-posts__featured\">\n\t\t\t\t<div class=\"col card-grid__item\">\n\t\t\t\t\t<article\n\t\tclass=\"card-post related-post related-post-0 post-29487 post type-post status-publish format-standard has-post-thumbnail hentry category-money-matters category-strategy-legal-operations tag-accounting-101 tag-boss-your-business tag-business-continuity tag-business-intelligence tag-cash-flow tag-sage-accounting tag-small-business tag-starting-a-business business_type-small-business business_type-growing-business card-post--is-clickable\"\n>\n\t<div class=\"card-post__media-wrapper\">\n\t\t<figure class=\"card-post__media\">\n\t\t\t\t\t\t\t<img decoding=\"async\" width=\"1214\" height=\"810\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2024\/10\/BrandShoot-LND_June2024_Financial-Services_0474-1214x810.jpg\" class=\"card-post__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2024\/10\/BrandShoot-LND_June2024_Financial-Services_0474-684x384.jpg 684w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2024\/10\/BrandShoot-LND_June2024_Financial-Services_0474-768x512.jpg 768w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2024\/10\/BrandShoot-LND_June2024_Financial-Services_0474-1214x810.jpg 1214w\" sizes=\"auto, (min-width: 48em) 250px, (min-width: 30em) 100vw, 100vw\" \/>\t\t\t\n\t\t\t\n\t\t\t\t\t<\/figure>\n\t<\/div>\n\n\t<div class=\"card-post__content\">\n\t\t\t\t\t<div class=\"card-post__label\">Recommended<\/div>\n\t\t\n\t\t\t\t\t<div class=\"card-post__meta\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"posted-on \"><time class=\"entry-date published\" datetime=\"2026-05-22T12:03:36-04:00\">May 22, 2026<\/time><\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"reading-time\">8 min read<\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\n\t\t<p class=\"card-post__title h3\">\n\t\t\t\t\t\t\t<a\n\t\t\t\t\tclass=\"card-post__title-link\"\n\t\t\t\t\thref=\"https:\/\/www.sage.com\/en-us\/blog\/accounts-payable-vs-notes-payable\/\"\n\t\t\t\t>\n\t\t\t\n\t\t\tNotes payable vs accounts payable: Differences and examples\n\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t<\/p>\n\n\t\t\n\t\t\t\t\t<p class=\"card-post__description\">\n\t\t\t\tAre you part of your business\u2019s accounting team? Understanding the difference between notes payable and accounts payable is key to effectively managing what your business owes. \t\t\t<\/p>\n\t\t\n\t\t\t<\/div>\n\n\t<\/article>\n\t\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t\n\t\t\t\t\t<div class=\"row related-posts__non-featured\">\n\t\t\t\t<div class=\"col col-12\">\n\t\t\t\t\t<h2 class=\"related-posts__heading related-posts__heading--more h4\">More on this Topic<\/h2>\n\t\t\t\t<\/div>\n\n\t\t\t\t\n\t\t\t\t\t<div class=\"col col-6 col-lg-3 card-grid__item\">\n\t\t\t\t\t\t<article\n\t\tclass=\"card-post related-post related-post-1 post-29712 post type-post status-publish format-standard has-post-thumbnail hentry category-strategy-legal-operations category-trends-insights tag-accounting-101 tag-boss-your-business tag-business-intelligence tag-business-strategy tag-cash-flow tag-productivity tag-small-business tag-starting-a-business business_type-small-business business_type-growing-business\"\n>\n\t\t\t<a\n\t\t\tclass=\"card-post__link\"\n\t\t\thref=\"https:\/\/www.sage.com\/en-us\/blog\/accounts-payable-outsourcing\/\"\n\t\t\t\t\t>\n\t\t\t<figure class=\"card-post__media\">\n\t\t\t\t\t\t\t<img decoding=\"async\" width=\"684\" height=\"384\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2023\/09\/GettyImages-549776535-684x384.jpg\" class=\"card-post__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2023\/09\/GettyImages-549776535-684x384.jpg 684w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2023\/09\/GettyImages-549776535-768x512.jpg 768w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2023\/09\/GettyImages-549776535-1215x810.jpg 1215w\" sizes=\"auto, (min-width: 48em) 250px, (min-width: 30em) 100vw, 100vw\" \/>\t\t\t\n\t\t\t\n\t\t\t\t\t<\/figure>\n\n\t\t\n\t\t\t\t\t<div class=\"card-post__meta\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"posted-on \"><time class=\"entry-date published\" datetime=\"2026-05-22T10:58:35-04:00\">May 22, 2026<\/time><\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"reading-time\">14 min read<\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\n\t\t<p class=\"card-post__title h5\">\n\t\t\tIs accounts payable outsourcing right for your business?\t\t<\/p>\n\n\t\t\t<\/a>\n\t\n\t\n\t\t\n\t\n\t<\/article>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t<div class=\"col col-6 col-lg-3 card-grid__item\">\n\t\t\t\t\t\t<article\n\t\tclass=\"card-post related-post related-post-2 post-36557 post type-post status-publish format-standard has-post-thumbnail hentry category-money-matters category-strategy-legal-operations tag-accounting-101 tag-boss-your-business tag-business-strategy tag-cash-flow tag-cloud-financial-management tag-cloud-technology tag-growing-a-business tag-sage-accounting tag-small-business tag-starting-a-business tag-technology business_type-small-business business_type-growing-business\"\n>\n\t\t\t<a\n\t\t\tclass=\"card-post__link\"\n\t\t\thref=\"https:\/\/www.sage.com\/en-us\/blog\/cloud-vs-desktop-accounting\/\"\n\t\t\t\t\t>\n\t\t\t<figure class=\"card-post__media\">\n\t\t\t\t\t\t\t<img decoding=\"async\" width=\"684\" height=\"384\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2023\/09\/GettyImages-1338373163-684x384.jpg\" class=\"card-post__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2023\/09\/GettyImages-1338373163-684x384.jpg 684w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2023\/09\/GettyImages-1338373163-768x512.jpg 768w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2023\/09\/GettyImages-1338373163-1215x810.jpg 1215w\" sizes=\"auto, (min-width: 48em) 250px, (min-width: 30em) 100vw, 100vw\" \/>\t\t\t\n\t\t\t\n\t\t\t\t\t<\/figure>\n\n\t\t\n\t\t\t\t\t<div class=\"card-post__meta\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"posted-on \"><time class=\"entry-date published\" datetime=\"2026-05-20T07:46:54-04:00\">May 20, 2026<\/time><\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"reading-time\">9 min read<\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\n\t\t<p class=\"card-post__title h5\">\n\t\t\tCloud versus desktop accounting: Which is right for you?\t\t<\/p>\n\n\t\t\t<\/a>\n\t\n\t\n\t\t\n\t\n\t<\/article>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t<div class=\"col col-6 col-lg-3 card-grid__item\">\n\t\t\t\t\t\t<article\n\t\tclass=\"card-post related-post related-post-3 post-36553 post type-post status-publish format-standard has-post-thumbnail hentry category-growth-customers category-money-matters category-strategy-legal-operations tag-boss-your-business tag-business-strategy tag-growing-a-business tag-starting-a-business business_type-small-business\"\n>\n\t\t\t<a\n\t\t\tclass=\"card-post__link\"\n\t\t\thref=\"https:\/\/www.sage.com\/en-us\/blog\/how-to-start-a-waste-management-business\/\"\n\t\t\t\t\t>\n\t\t\t<figure class=\"card-post__media\">\n\t\t\t\t\t\t\t<img decoding=\"async\" width=\"684\" height=\"384\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/08\/Mar2025_GB-Trucking-Logistics_0392-684x384.jpeg\" class=\"card-post__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/08\/Mar2025_GB-Trucking-Logistics_0392-684x384.jpeg 684w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/08\/Mar2025_GB-Trucking-Logistics_0392-768x512.jpeg 768w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2025\/08\/Mar2025_GB-Trucking-Logistics_0392-1214x810.jpeg 1214w\" sizes=\"auto, (min-width: 48em) 250px, (min-width: 30em) 100vw, 100vw\" \/>\t\t\t\n\t\t\t\n\t\t\t\t\t<\/figure>\n\n\t\t\n\t\t\t\t\t<div class=\"card-post__meta\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"posted-on \"><time class=\"entry-date published\" datetime=\"2026-05-20T07:24:32-04:00\">May 20, 2026<\/time><\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"reading-time\">18 min read<\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\n\t\t<p class=\"card-post__title h5\">\n\t\t\tHow to start a waste management business\t\t<\/p>\n\n\t\t\t<\/a>\n\t\n\t\n\t\t\n\t\n\t<\/article>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t<div class=\"col col-6 col-lg-3 card-grid__item\">\n\t\t\t\t\t\t<article\n\t\tclass=\"card-post related-post related-post-4 post-36550 post type-post status-publish format-standard has-post-thumbnail hentry category-money-matters category-strategy-legal-operations tag-boss-your-business tag-business-strategy tag-growing-a-business tag-starting-a-business business_type-small-business business_type-growing-business industry-financial-services\"\n>\n\t\t\t<a\n\t\t\tclass=\"card-post__link\"\n\t\t\thref=\"https:\/\/www.sage.com\/en-us\/blog\/insurance-agency-business-plan\/\"\n\t\t\t\t\t>\n\t\t\t<figure class=\"card-post__media\">\n\t\t\t\t\t\t\t<img decoding=\"async\" width=\"684\" height=\"384\" src=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2024\/10\/BrandShoot-LND_June2024_Financial-Services_0905-684x384.jpg\" class=\"card-post__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2024\/10\/BrandShoot-LND_June2024_Financial-Services_0905-684x384.jpg 684w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2024\/10\/BrandShoot-LND_June2024_Financial-Services_0905-768x512.jpg 768w, https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2024\/10\/BrandShoot-LND_June2024_Financial-Services_0905-1214x810.jpg 1214w\" sizes=\"auto, (min-width: 48em) 250px, (min-width: 30em) 100vw, 100vw\" \/>\t\t\t\n\t\t\t\n\t\t\t\t\t<\/figure>\n\n\t\t\n\t\t\t\t\t<div class=\"card-post__meta\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"posted-on \"><time class=\"entry-date published\" datetime=\"2026-05-20T06:56:21-04:00\">May 20, 2026<\/time><\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"reading-time\">13 min read<\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\n\t\t<p class=\"card-post__title h5\">\n\t\t\tHow to write an insurance agency business plan\t\t<\/p>\n\n\t\t\t<\/a>\n\t\n\t\n\t\t\n\t\n\t<\/article>\n\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t\t<\/div>\n<\/section>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Download a free balance sheet template in Excel. We show you how to complete it and explain what each section includes. <\/p>\n","protected":false},"author":1774,"featured_media":20242,"menu_order":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_sage_video":false,"post_featured_image_hide":false,"sage_hide_published_date":false,"sage_hide_read_time":false,"sage_hide_share_buttons":false,"footnotes":""},"categories":[46,44],"tags":[2,110,195,4,299,382,153,34,152,155,118],"business_type":[40,41],"lilypad":[],"context":[],"industry":[],"persona":[98,96,97,95],"imagine_tag":[222,209,468,230,231],"coauthors":[509],"class_list":["post-30833","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-growth-customers","category-strategy-legal-operations","tag-accountants","tag-accounting-101","tag-boss-your-business","tag-business-intelligence","tag-cash-flow","tag-fixed-assets","tag-growing-a-business","tag-small-business","tag-starting-a-business","tag-staying-competitive","tag-tax","business_type-small-business","business_type-growing-business"],"sage_meta":{"region":"en-us","author_name":"Yassir Malik","featured_image":"https:\/\/www.sage.com\/en-us\/blog\/wp-content\/uploads\/sites\/2\/2023\/09\/GettyImages-586970671.jpg","imagine_tags":{"222":"Accountants","209":"Accounting","468":"Grow your business","230":"Small business","231":"Start up business"}},"distributor_meta":false,"distributor_terms":false,"distributor_media":false,"distributor_original_site_name":"Sage Advice US","distributor_original_site_url":"https:\/\/www.sage.com\/en-us\/blog","push-errors":false,"_links":{"self":[{"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/posts\/30833","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/users\/1774"}],"replies":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/comments?post=30833"}],"version-history":[{"count":0,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/posts\/30833\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/media\/20242"}],"wp:attachment":[{"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/media?parent=30833"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/categories?post=30833"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/tags?post=30833"},{"taxonomy":"business_type","embeddable":true,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/business_type?post=30833"},{"taxonomy":"lilypad","embeddable":true,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/lilypad?post=30833"},{"taxonomy":"context","embeddable":true,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/context?post=30833"},{"taxonomy":"industry","embeddable":true,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/industry?post=30833"},{"taxonomy":"persona","embeddable":true,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/persona?post=30833"},{"taxonomy":"imagine_tag","embeddable":true,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/imagine_tag?post=30833"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.sage.com\/en-us\/blog\/api\/wp\/v2\/coauthors?post=30833"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}