Explanation
The P&L statement is crucial for assessing:
- Profitability over a period
- Expense management
- Revenue trends
It usually covers monthly, quarterly, or annual periods and helps identify where the business can cut costs or expand revenues.
Practical Example of a P&L Statement
If a construction company reports £500,000 in revenue and £420,000 in expenses over one year, it records a net profit of £80,000.
How Bizcap Can Help:
If your P&L shows tight margins, Bizcap can provide funding to invest in growth areas or buffer cash flow while you optimise expenses.