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In this extension, you will complete an “opening day balance sheet” to outline your business’s expected finances on its opening day.

A balance sheet shows your business’s financial position at a specific point in time.

It calculates “net worth.”

This is the value of your business based on cash and equipment you own.

An “opening day balance sheet” lists assets -- such as cash and property -- and liabilities -- or debts and expenses.

It finds how much a business is worth by subtracting liabilities from assets.

This shows “net worth,” also known as “owner’s equity.”

To complete your balance sheet, you will: Set up your spreadsheet, Add assets and liabilities, And use functions to calculate net worth.

To begin, make a copy of the starter project and rename it.

Then, add your business name.

Next, list “current assets.”

These are assets that change often while running your business, including cash; inventory; and prepaid expenses such as insurance premiums, website costs, or other item that you’ve paid for in advance.

Put additional assets in the “other” category.

Review your “total current assets.”

This is calculated by the SUM function, which adds together each asset to find total assets.

Then, list “fixed assets.”

The values of these assets don’t change, though equipment may depreciate over time.

This includes machinery and equipment, furniture and fixtures, improvements to a rented space, or real estate.

Review your “total fixed assets,” which are also calculated automatically.

List “other assets,” such as lease and utility deposits.

Also include things of value for your business, such as patents, trademarks, and special certifications.

Most new businesses will only list deposits.

Then, review the total of your current, fixed, and other assets.

Next, add liabilities.

Current liabilities include accounts, taxes, and debts you owe money on within one year.

Long-term liabilities include debts owed beyond one year, such as bank loans and payments to investors or shareholders.

Totals for current, long-term, and total liabilities are automatically calculated by the sum function.

Totaling your assets and liabilities automatically calculates your net worth, or owner equity.

This is how much your business is worth after subtracting liabilities from assets.

Don’t worry if this number is low, as your estimate is just a starting point.

Go to your business plan and add a link to your worksheet under your financing information section.

This important information will help when you talk with lenders or investors.

Now, it’s your turn: Make a copy of the opening day balance sheet and rename it, List your assets and liabilities, Review total assets, total liabilities, and net worth, And add a link to your spreadsheet in your business plan.

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Complete Your Opening Day Balance Sheet

Complete an Opening Day Balance Sheet to estimate your business’s financial positioning when you open.

Complete Your Personal Financial Statement

List financial assets to prepare for loan applications. Prepare financial details to meet with lenders and investors.

Estimate Cash Flow for Your Business

Project your business’s first-year cash flow. Use cash flow information to strategize your business.

Add a Projected Balance Sheet to Your Financial Plan

Project a balance sheet for your business. Determine what additional resources your business needs to succeed.

Complete a Breakeven Analysis

Determine when your business will break even. Analyze variable and fixed costs.

Write a Use of Capital Statement in Your Financial Plan

Explain to lenders and investors how additional funding will benefit your business. Show how you will use a loan or investment to grow your business.


Choose one or more of the extensions to continue estimating financing for your business plan.