The three statements

Almost everything a lender or grant funder asks for is one of these three. Parline builds all of them from your transactions automatically - you don’t assemble them by hand.

Balance Sheet - where you stand

The Balance Sheet is a snapshot on one date: everything you own on one side, everything you owe plus the owner’s stake on the other. The two sides always equal - that’s the “balance.”

Income Statement - did you make money

The Income Statement covers a period - a month, a quarter, a year. It starts with revenue, subtracts expenses, and ends with net income: your profit, or a loss if it’s negative.

Statement of Cash Flows - where the cash went

Profit and cash aren’t the same. You can be profitable and still short on cash because a customer hasn’t paid, or flush in a losing month because you took a loan. The Cash Flow statement follows the actual movement of cash.