What type of financial statements should I keep?

If you own a small business in Texas, it is important to keep accurate financial statements. Financial statements are reports that show the financial position of a business. These financial statements provide an overview of the current financial position of your business, and they can help you to make better informed decisions. The four primary types of financial statements that should be kept are the income statement, balance sheet, statement of cash flows, and statement of changes in equity. The income statement shows the profit or loss of your business over a given period of time. The balance sheet provides a snapshot view of the assets, liabilities, and shareholder equity of your business as of a given date. The statement of cash flows shows the inflow and outflow of cash from your business. Finally, the statement of changes in equity shows the changes in the equity of your business over a given period. It is important to keep accurate and complete financial statements in order to make informed business decisions. In addition, financial statements are often required by banks when applying for financing or loans. They can also help save time and cost when preparing taxes and filing reports. Keeping up to date financial statements is essential to the success of your small business in Texas.

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What type of financial statements should I keep?

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