What profit and loss statement means
A profit and loss statement shows income, costs and profit over a period, such as a month or a year.
Also called P and L, income statement.
Where it shows up in your business
A monthly P and L, even a simple one, shows whether prices and costs are on track while there is still time to adjust. Lenders and sureties will ask for it too.
Work it out
- Free calculator: Profit margin calculator
- Money: Money guides for contractors