Is your P & L organized to optimize understanding?

Organization creates order from chaos and creates understanding from confusion. Apply the principle of organization to your Profit and Loss statement.

Here is an example of a common profit and loss statement, organized alphabetically, not logically.

By creating appropriate grouping, you can quickly see general trends in your business that are hard to see otherwise. This layout lets the financial statement user very quickly synthesize the information and see general trends in the business.

The advantage of grouping is that no detail is lost. You can look at a collapsed version of the report to see general trends, or an expanded version to see specific details.

You can gain better financial understanding of your business by organizing your Profit & Loss report!