more-arw search

Q&A Forum

Creating an Income Statement with only 3 transactions per month

Alexis Huck's Profile

A friend of mine is trying to create an income statement for his business. The only income His business has coming in are distributions he receives from his joint venture business account. The only expense he has is a loan repayment and some bank fees. Those are the only transactions he has had the past couple years. Now, he is trying to get a loan for his business, but wants me to create an income statement. Do i just create a P&L using only those few transactions or an i over thinking things?

Answers

Maqsood Hassan
Title: Manager Tax
Company: Rafiq Spinning Mills (Pvt.) Limited
(Manager Tax, Rafiq Spinning Mills (Pvt.) Limited) |

As you mentioned, your friend wants to get LOAN FOR HIS BUSINESS. So, you must prepare INCOME STATEMENT because businesses obtain loans against their earnings. Or, he must obtain a list of requirements for the institute from whom he wants to obtain the loan.

1628 views
Topics

Get Free Membership

By signing up, you will receive emails from Proformative regarding Proformative programs, events, community news and activity. You can withdraw your consent at any time. Contact Us.

Business Exchange

Browse the Business Exchange to find information, resources and peer reviews to help you select the right solution for your business.

Learn more

Contribute to Community

If you’re interested in learning more about contributing to your Proformative community, we have many ways for you to get involved. Please email content@proformative.com to learn more about becoming a speaker or contributing to the blogs/Q&A Forum.