Reviewed & updated by WordNExcel Team — Updated October 31, 2026
A balance sheet template helps you show what a business owns, what it owes and what is left for the owners on a single date. On this page you can download three free balance sheet templates in Excel: a standard balance sheet for a small business, a comparative balance sheet that puts two years side by side, and a personal balance sheet that works out your net worth.
Each file is a real, editable .xlsx spreadsheet built for this page. You type your figures in the input cells and the formulas add up the totals, check that assets equal liabilities plus equity, and calculate key ratios such as the current ratio, the quick ratio, working capital and debt to equity. Above the downloads there is also a free balance sheet ratio calculator, so you can check the health of a balance sheet in seconds without opening a file.
Balance Sheet Ratio Calculator
Runs in your browser; nothing is sent or saved. Ratios are general guides, not financial advice.
Free download: 3 templates (.xlsx). Works in Excel and Google Sheets. No sign-up needed.
What Is a Balance Sheet?
A balance sheet, also called a statement of financial position, is one of the three main financial statements, together with the profit and loss statement and the cash flow statement. It is a snapshot of a business at one moment, usually the last day of a month, quarter or year.
The balance sheet is built on one simple rule, called the accounting equation:
Assets = Liabilities + Owner's Equity
- Assets are everything the business owns or controls that has value: cash, money owed by customers, stock, equipment, vehicles and buildings.
- Liabilities are everything the business owes to others: supplier bills, loans, credit cards, taxes due and wages not yet paid.
- Owner's equity is what is left for the owners once all liabilities are paid. It includes the money the owners put in plus profits kept in the business, called retained earnings.
Because every transaction affects both sides, the two totals must always be equal. If they are not, there is a mistake somewhere in the figures, and our templates show a check cell that flags the difference straight away.
Download the Free Balance Sheet Templates
The three Excel files below cover a single-date business balance sheet, a two-year comparison and a personal net worth statement.
Balance Sheet Template
The standard template lists current assets, fixed assets, current liabilities, long-term liabilities and owner's equity in the usual order. Subtotals and grand totals are calculated for you, and a check cell shows zero when the sheet balances. A ratio block at the bottom works out the current ratio, quick ratio, working capital and debt to equity from the same figures. The sample data shows total assets of 78,500 balancing exactly with liabilities and equity.
Comparative Balance Sheet
A comparative balance sheet shows this year and last year in two columns, with the change in value and the percentage change for every line. It makes it easy to see where cash went, whether debt is going up or down and how equity has grown. Lenders and investors often ask for a comparative format because it tells a story over time, not just a single snapshot.
Personal Balance Sheet
The personal balance sheet is a net worth statement for individuals and families. List what you own, such as savings, retirement accounts, your home and car, and what you owe, such as a mortgage, car loan, student loan and credit cards. The sheet subtracts total liabilities from total assets to show your net worth. Updating it once or twice a year is a simple way to track your financial progress.
Main Sections of a Balance Sheet
Current Assets
Current assets are items that will turn into cash, or be used up, within one year. They are normally listed in order of liquidity, which means how quickly they become cash:
- Cash and bank balances
- Accounts receivable (money customers owe you)
- Inventory or stock
- Prepaid expenses such as insurance paid in advance
Fixed Assets
Fixed assets, also called non-current or long-term assets, are things the business keeps for more than a year: land, buildings, machinery, computers, furniture and vehicles. They are shown at cost less accumulated depreciation, which spreads the cost of the asset over its useful life.
Current Liabilities
Current liabilities are amounts due within one year, such as accounts payable to suppliers, credit card balances, taxes payable, wages payable and the part of any loan that must be repaid in the next twelve months.
Long-Term Liabilities
Long-term liabilities are debts due after more than a year, such as bank loans, equipment finance and mortgages on business property.
Owner's Equity
Equity includes owner's capital (the money invested), retained earnings (profits not paid out) and, for some businesses, share capital. Withdrawals or dividends reduce equity.
How to Fill In the Balance Sheet Template
- Choose the balance sheet date, normally the last day of your accounting period, and enter it at the top.
- Enter the closing balance of each bank account and cash on hand.
- Enter accounts receivable from your invoicing records and the value of stock from your latest count.
- List fixed assets at cost and subtract accumulated depreciation.
- Enter supplier bills, credit cards, taxes and wages owed as current liabilities.
- Enter the remaining balance of each loan, splitting the part due within a year into current liabilities.
- Enter owner's capital and retained earnings.
- Check that the check cell shows zero. If it does not, look for a missing item or a figure entered on the wrong side.
Balance Sheet Ratios Explained
The ratio block and the calculator above use four common measures. They help owners, lenders and investors understand whether a business can pay its bills and how much it relies on borrowed money.
Current Ratio
The current ratio divides current assets by current liabilities. A result above 1 means current assets are larger than the bills due within the year. Many lenders like to see a figure comfortably above 1, but a good level depends on the industry.
Quick Ratio
The quick ratio, or acid test, is stricter. It removes inventory from current assets before dividing by current liabilities, because stock can take time to sell. It shows whether the business could pay its short-term bills from cash and receivables alone.
Working Capital
Working capital is current assets minus current liabilities. Positive working capital means the business has a cushion to run day-to-day operations. Negative working capital can be a warning sign that cash may run short.
Debt to Equity
Debt to equity divides total liabilities by total owner's equity. A lower figure means the business is funded more by its owners than by lenders. A high figure means more risk, because interest and loan payments must be made whatever happens to sales.
Balance Sheet Example
In the sample file, a small trading business has current assets of 41,500, including inventory of 9,500, and fixed assets of 37,000, giving total assets of 78,500. Current liabilities are 14,000 and long-term liabilities are 20,000, so total liabilities are 34,000. Owner's equity is 44,500, made up of 30,000 owner's capital and 14,500 retained earnings. Liabilities plus equity equal 78,500, so the sheet balances.
From these figures, the current ratio is 2.96, the quick ratio is 2.29, working capital is 27,500 and debt to equity is 0.76. Type the same numbers into the calculator above to see the results.
Tips for an Accurate Balance Sheet
- Prepare the balance sheet on the same date each period so comparisons are fair.
- Reconcile every bank account before you enter cash balances.
- Count stock or use your inventory records for an up-to-date value.
- Record depreciation regularly instead of once a year.
- Keep supporting schedules for receivables, payables and loans.
- Compare the balance sheet with your profit and loss statement: the profit for the period should match the change in retained earnings, after any withdrawals.
- Ask an accountant to review your figures before you send them to a bank or investor.
Who Uses a Balance Sheet?
- Business owners use it to see whether the business is growing in value and can pay its debts.
- Banks and lenders review it before approving a loan or overdraft.
- Investors use it to judge the strength and risk of a company.
- Suppliers may ask for it before offering credit terms.
- Individuals use a personal balance sheet for mortgage applications and long-term financial planning.
Related Templates
You can also check these important templates like the profit and loss statement templates for tracking income and expenses, and the cash flow projection templates for planning cash in and out.
You may also like the break-even analysis templates and the checkbook register templates.
Frequently Asked Questions
What is a balance sheet template?
It is a ready-made spreadsheet that lists assets, liabilities and owner's equity and adds up the totals for you, so you can prepare a balance sheet quickly.
Why must a balance sheet balance?
Every transaction affects both sides of the accounting equation, so total assets must always equal total liabilities plus owner's equity. A difference means there is an error.
How often should I prepare a balance sheet?
Most small businesses prepare one at the end of each month or quarter and always at year-end.
What is the difference between a balance sheet and a profit and loss statement?
A balance sheet shows financial position on one date. A profit and loss statement shows income, expenses and profit over a period.
What is a good current ratio?
A current ratio above 1 means current assets cover current liabilities. The right level depends on your industry, so compare with similar businesses.
Can I use the templates in Google Sheets?
Yes. Upload the .xlsx files to Google Drive and open them with Google Sheets. The formulas keep working.
