Profit & Loss Statement

Contents

Overview

A profit and loss statement shows your company's financial performance by revealing how much money it made, how much it spent, and how much it earned as profit. 


It provides valuable information for business owners, investors, and other stakeholders to understand the company's financial health and make informed decisions. A profit and loss statement is usually required for filing at Companies House.

What is a profit & loss statement?

A profit and loss statement, also known as an income statement, is a financial report that shows your company's revenue, expenses, and profit over a specific period of time, such as a month or a year.


The statement starts with your company's revenue, which is the money it earns from sales. This is then subtracted by your company's expenses, which are the costs associated with running the business, such as rent, salaries, and supplies. The result is your company's net profit or loss.

Create a Profit & Loss Statement

To create a profit and loss statement, follow these steps: