Financial Statement Preparation in San Diego, California

Whether you’re a small business owner, a shareholder in a large company, or one-half of a partnership, you know that documentation plays a critical role in presenting your organization to the outside world. The following four are essential types of business financial statements:

1. Balance sheet. This statement illuminates a company’s financial position, including assets, liabilities, and equity, at a particular point in time.
2. Income statement. Also called a profit and loss statement, an income statement acts as a report that shows a business’s financial performance over a set period of time. It includes data on revenues, expenses, profits, and losses.
3. Cash flow statement. This statement is particularly useful for highlighting a company’s liquidity and cash management, revealing the inflows and outflows of cash over a specific period.
4. Statement of changes in equity. Also called a statement of retained earnings, this report reveals the changes in a company’s equity over a specific period of time, including additions and deductions from the start to the end of a period.

Each of these four statements offers essential and valuable insights about a business’s financial performance and potential. When poorly executed, they can result in an incomplete picture that damages your ability to fully leverage your company’s potential.

As a leading financial solutions group in San Diego, Gildark Financial Solutions Group offers a range of invaluable financial statement preparation, bookkeeping, and accounting services. These offerings include the following:

• Collecting financial data. Our professional accountants will collect and organize financial data from bank statements, invoices, accounting systems, and more to ensure all relevant data is included.
• Preparing balance sheets. We’ll organize and present your company’s assets, liabilities, and equity to demonstrate its financial standing over a given period, providing a clear and accurate picture to stakeholders.
• Generating income statements. Our accountants will generate income statements that include your company’s revenues and expenses, profits, and losses within a specific time frame to shed light on its operational and financial performance.
• Creating cash flow statements. We will prepare cash flow statements that include the inflow and outflow of investing, financing, and operating activities to highlight your company’s liquidity, as well as cash management capabilities.
• Preparing statements of changes in equity. We will generate statements that document changes in your company’s equity through retained earnings, paid dividends, and investments to demonstrate how the owners’ equity has changed over time.
• Ensuring compliance with accounting standards. We prepare all financial statements in compliance with guidelines laid down by the Generally Accepted Accounting Principles (GAAP) and other regulatory bodies to ensure credibility and accuracy.
• Reviewing and analyzing financial statements. Our professional accountants can help identify trends, vulnerabilities, and leverage points through a thorough analysis and review of your prepared financial statements, providing you with actionable information.
• Creating financial reports. We will create customized reports that are tailored to the needs of your investors, management, and other stakeholders so that you have everything you need to enhance decision-making and strategic business planning.

Although not an exhaustive list, these services highlight the many ways that professional financial statement preparation can take your company to the next level and, ultimately, help you achieve your financial goals.

If this is your first time considering professional financial statement preparation, you probably have a lot of questions. Don’t worry — Gildark Financial Solutions Group is here to help. The best way to find answers is by reaching out to our accounting firm, but in the meantime, check out the answers to some of our most frequently asked questions.

Who typically requests financial statements?
In most cases, a company’s financial statements are requested by stakeholders. These could include management, regulatory authorities, creditors, investors, and any stakeholder who may need to assess a company’s financial performance, health, or compliance status.

How can financial statements improve my company’s efficiency?
Financial statements can be insightful in various ways. Not only do they shed light on resource allocation and financial performance, but they also help stakeholders identify potential areas for cost reduction or operational changes. Ultimately, these statements support strategic planning, better decision-making, and more effective budgeting.

Which type of financial statement do I need?
The type of financial statement you need depends on the type of information you’re trying to convey. A balance sheet can provide a glimpse into a company’s financial position; an income statement conveys profitability over a specific period; a cash flow statement reveals a company’s cash movement. Lastly, a statement of changes in equity establishes a company’s changes in equity. If you’re still unsure which type of statement you need, your best option is to speak with a professional accountant.