Financial Statements

Is your company using a cash or an accrual basis of accounting to manage cash flow? If you're not sure, read on to learn the difference and how each method can affect your business.

There are three main financial statements: the balance sheet, income statement and cash-flow statement. Each one presents a different side of a company’s financial performance. Business owners can put together the statements themselves through spreadsheets, accounting software, or with the help of a professional. Even if they leave the financial work to others, business owners may want to take the time to understand their statements to track progress and plan their next moves.