A balance sheet is a snapshot of what a company owns (assets), what it owes (liabilities) and what belongs to its shareholders (equity) on one date. In Equidam you enter it in the Balance Sheet block at the bottom of the Financials tab, ideally as of your valuation date. A few lines feed the valuation directly, and the full table is printed in your valuation report. Assets should equal liabilities plus equity, and Equidam warns you when they do not.
What goes in the balance sheet?
The block has two columns. Assets splits into Current Assets and Non-Current Assets. Liabilities and Equity splits into Current Liabilities, Non-Current Liabilities and Equity. Each section shows a subtotal, and the block ends with TOTAL ASSETS and TOTAL LIABILITIES AND EQUITY.
Use the most recent balance sheet from your accountant, or your own figures. The info icon next to each row opens a short definition and tips on where to find the number in your annual accounts.
Basic or Advanced: which input level should you use?
The Input Level selector switches between Basic and Advanced. Basic covers the essential items. Advanced adds the lines needed for full IFRS (International Financial Reporting Standards) reporting. Equidam saves your choice with the company.
Basic shows cash, non-operating cash, receivables, inventory, fixed assets, accounts payable, short-term borrowings, other current liabilities, debt, and the four equity lines: share capital, share premium, retained earnings and other reserves.
In Advanced, fixed assets is called Property, plant and equipment and accounts payable is called Trade and other payables. Advanced also adds other current assets, intangible assets, financial assets, deferred tax assets, current portion of long-term debt, accrued liabilities, long-term debt, deferred tax liabilities and other long-term liabilities.
In Basic, four rows are linked to your financial projections and cannot be typed on the balance sheet:
Trade and other receivables, Inventory and Accounts payable show the first column of the matching projection rows.
Debt shows the first column of Debt at the end of the year.
Click the pencil icon next to a linked row to jump to the projection cell and edit it there. In Advanced, you type receivables, inventory and payables on the balance sheet itself, and those values are stored separately from the projection rows. These Advanced values, and long-term debt, do not feed the valuation: the projection rows still drive receivables, inventory, payables and debt.
Does the balance sheet change your valuation?
Yes, but only some lines, and only once your questionnaire is complete. Until then Equidam values the company from an estimate, and balance sheet values are left out of that calculation.
Once the questionnaire is complete, these lines feed the valuation:
Cash and cash equivalents is added to the capital you are raising to form the starting cash of the first projected year. If projected cash later turns negative, the model treats the gap as an overdraft and charges interest on it in the following year.
Non-operating cash is added to the result of both DCF methods (DCF with long-term growth and DCF with multiples). DCF, discounted cash flow, values a company from its projected cash flows.
Deferred tax assets (Advanced only) offset cash taxes in every projected year with a positive pre-tax income, until they are used up. Projected losses add to them.
In Basic, receivables, inventory, payables and debt are projection rows, so they feed the valuation through your financial projections, not through the balance sheet.
The other lines, such as fixed assets, share capital or short-term borrowings, appear in the report but do not change the valuation range. The valuation reflects the data you entered: change an input that feeds it and the outcome changes.
What does the Balance Check warning mean?
The Balance Check warning appears when TOTAL ASSETS differs from TOTAL LIABILITIES AND EQUITY, and shows the difference. It is a warning, not a block: you can still save.
Non-operating cash is part of your cash, not an extra asset. Enter it inside Cash and cash equivalents as well, because the totals do not add it a second time.
Where does the balance sheet appear in the report?
When most balance sheet lines, such as cash, fixed assets or share capital, hold a value, the valuation report adds a Last Available Balance Sheet page to the appendix. It lists the lines of your chosen input level with total assets and total liabilities. Debt, long-term debt, share premium and other reserves are not checked, so a balance sheet with values only in those lines produces no page.
The Download Company Data export on the Reports page also includes a balance sheet section. Its Download Excel button is locked on the free plan.
Does Equidam calculate balance sheet ratios?
No. The valuation report prints the balance sheet table only, so you or an investor can work out ratios from it. Investors often use these:
Current ratio: current assets divided by current liabilities. It shows whether short-term assets cover short-term debts.
Debt to equity: total debt divided by total equity. It shows how much of the company is financed by lenders compared with shareholders.
Leverage ratio: total liabilities divided by total assets.
Limits
You can enter a balance sheet on any plan, once the 10-question estimate is done. The report page needs a generated valuation report, which is not available on the free plan.
The balance sheet records one date, the current year. There are no past or future balance sheets.
Import Data is available on every plan, including the free plan, but not to guest users. The Equidam Excel template it offers has a balance sheet section with nine older-style rows. Its Equity row fills a field that the current balance sheet does not show or total, so enter share capital, share premium, retained earnings and other reserves by hand. Files read by AI do not fill the balance sheet.
Common questions
Will switching to Advanced change my valuation?
Not by itself. The valuation keeps using the projection rows for receivables, inventory, payables and debt, so values typed on the Advanced balance sheet only change the report.
Does a balance sheet that does not balance stop me from saving?
No. The Balance Check warning shows the difference, but saving still works. Fix the gap before you generate a report, because the report prints both totals.
Why did my balance sheet not appear in my report?
The page is added only when one of the checked lines has a value. Debt, long-term debt, share premium or other reserves on their own do not count.