Is your balance sheet in need of a make over? This balance sheet template comes complete with common balance sheet line items. It’s simply easier to start with more than you need and delete the items not applicable to your business. Plus, you’ll find notes containing helpful tips on many of line items. To top it all off you can use this balance sheet template to perform a vertical analysis.

Balance Sheet Template

System Requirements & Download

This comparative balance sheet template is set up to show a two-year period along with a vertical analysis of each year. The vertical analysis is based on total assets – the most common denominator used in a vertical analysis of the balance sheet. The purpose of a vertical analysis is to perform a proportional analysis of each individual line item relative another line item. One way to add more insight to such an analysis is to test the proportions of each balance sheet line item over time to show trends, outliers, or potential errors. The balance sheet provided here is a template that has been constructed with common line items included within each balance sheet component (i.e., current assets, current liabilities, long-term, equity, etc); items can be added or removed as needed. When rows are added or deleted, the dynamic summations should automatically update to include all items within an individual section of the balance sheet regardless of where the item was added or removed. As an additional aid, we’ve added a “check figure” to the bottom of the template that will show whether the balance sheet balances appropriately. We’ve also included notes on certain line items to give more information for that line.

More Information on the Balance Sheet Vertical Analysis Template

The Balance Sheet, also known as the statement of financial position, reflects the assets, liabilities, and equity of an entity. Commonly used to check Working Capital – business owners and/or investors often spend substantial time analyzing the balance sheet as many performance measures including the overall financial stability of an entity can be evaluated using this statement.

The easiest way to understand a balance sheet is to understand that:

• A balance sheet represents a snapshot in time; unlike an income statement which is accumulates transactions (or activity) over a time, the balance sheet presents information as of a specific date. For example, the line item cash is the amount of cash the company has  on the date the balance sheet is presented.
• Generally, a balance sheet will show separate classifications for current assets and current liabilities, such balance sheets are referred to as a classified balance sheet (a classified balance sheet is what has been used in the template on this site)

Current Assets – Generally speaking, a period of 1 year is used to decide the classification of an asset as current. Deviation is permitted if the entities operating cycle is greater than 1 year; however, if the operating cycle is not clear use 1 year.

Current Liabilities – As with Current Assets, the 1 year time period is used. Items included within current liabilities are amounts known or estimated that will need expenditure to satisfy such obligations.

Long-term – Assets and liabilities not meeting the definition of current should be reflected as long-term (i.e., outside of the current classification).

Features Included in this Template

This balance sheet template includes the following features designed to increase efficiency and enhance professionalism:

• Dynamic formulas utilizing the offset function
• Conditional formatting for data entry – notice at the top of the picture above, the pink highlights, this is data that needs to be completed.
• Check figure at the bottom of the balance sheet to ensure it actually balances; if it doesn’t it will turn red and show you the difference.
• Setup to print on a single page; print settings may need to be adjusted if data is added.

Balance Sheet Vertical Analysis (clean)

Looking for a balance sheet vertical analysis without alternating row highlighting? Download this version:

Balance Sheet Vertical Analysis (Quarterly)

Download this balance sheet with columns setup to perform a vertical analysis using quarter end data. Note, this template is setup as an example. The facts and circumstances surrounding individual transactions will dictate how and where those transactions are classified.

Other Helpful Templates

Download a income statement template here.

Download a statement of cash flow template – this template helps in the creation of a statement of cash flows.

Evaluate your financials with this EBITDA & financial leverage template.

On October 17, 2015   /   Accounting, Analysis, Audit, Business Tools, Downloads, Financial Statements