QuickBooks Tip: How to Run a Balance Sheet (and Why It Matters for Coaches & Service Pros)
If you're a business coach, consultant, or professional service provider, your expertise is your greatest asset—but managing your finances with clarity is what keeps your business sustainable. One key report to review regularly is your balance sheet.
Whether you're solo or leading a growing firm, understanding your financial position helps you make confident decisions, scale smarter, and communicate clearly with investors, partners, or even clients.
What Is a Balance Sheet?
A balance sheet shows the financial health of your business at a single point in time. It includes:
Assets: Cash, outstanding invoices (accounts receivable), equipment, software
Liabilities: Credit cards, business loans, taxes owed
Equity: The value of your business after debts are subtracted from assets
This snapshot is critical when planning for growth or managing risk.
How to Run a Balance Sheet in QuickBooks Online (QBO)
Log into your QuickBooks Online account
Click the Reports tab
Search and select “Balance Sheet”
Customize the date to Today or Last month (it shows the balance as of a specific date)
Click Run Report
Now you'll see where your business stands financially.
Why It’s Important for Coaches & Service-Based Businesses
✅ Understand where your cash is going (and growing)
✅ Track unpaid invoices and software/tool investments
✅ Evaluate your financial readiness for expansion or hiring
✅ Keep your business investor- and audit-ready
Common Mistakes to Avoid
❌ Ignoring the balance sheet until tax season
❌ Forgetting to update liabilities like deferred revenue
❌ Not reconciling your accounts before running reports
❌ Confusing profit with cash flow
FAQ
Q: I’m service-based—do I even need a balance sheet?
A: Yes. Even without inventory, you have assets, liabilities, and equity to track.
Q: How often should I check it?
A: Monthly or quarterly is ideal, especially if you're growing or planning big moves.
Q: Can QuickBooks help automate this?
A: Absolutely—QuickBooks Online updates your balance sheet in real time as you record transactions.
📅 Want help reading or cleaning up your balance sheet?
Book a call with Dr. Bryan Raya, QuickBooks ProAdvisor:
👉 https://calendly.com/dbr_bookkeeping/book-a-free-call-with-dbr
Let’s start Doing Business Right.
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