A Profit and Loss (P&L) Report, also known as an Income Statement, is a financial statement that tells you how well a business did financially.
The report shows how much money a business makes (revenue) and how much it spends (expenses) during a certain period. If the business made more money than it spent, then it has a profit. But if the business spent more money than it made, then it has a loss.
The P&L Report is important because it helps business owners and other people interested in the business, like investors and lenders, see how well the business is doing financially. They can use this information to decide whether they want to invest in the business or loan it money.
The only way to get a reliable Report is to have reliable and well-done Bookkeeping. It can be done daily, monthly, or quarterly depending on your business’s size and/or complexity.
Don’t wait until Taxes Season to take care of your Business Books.
Patricia de Oliveira
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