Profit and Loss Template

Our free Profit and Loss template is suitable for use by both limited company and self-employed. It is simple to use and will show the whole years figures on one page. It is also known as an Income Statement.

For further details about profit and loss read our guide.

It is essential as a business to know how much profit you make and what your overheads are. By having all your figures on one spreadsheet, it is easy to spot the difference from month to month. Some businesses will have fluctuations at different times of the year, the template will help you see when they are. It will make it easier to plan for the future.

What is Included in the Profit and Loss Template

Sales – Up to four different categories for sales, an example of a computer company may use Hardware, repairs, software and maintenance. Using different categories helps to show the number of sales separated.

Cost of Sales or Cost of Goods Sold – It will include any product costs of an item that you sell and any other figures that relate directly to the sale of an item. An example of this might be that you sell a computer for 400.00 the cost was 250.00, and you hired a subcontractor for 50.00. The figure to enter for the cost of sales would be 300.00

Expenses – These are the general expenses of the business, including rent, wages, post, telephone and any other business expenditure.

How to use Profit and Loss Template UK

Basic Set-up

In the cell A1, write your business name as you want it to appear.

In the cell, D1 change the dates to fit your business year. If you are self-employed, you may be using the tax year so it would be from 6th April to 5th April. For registered companies, the tax year can be found by completing a business search on companies house.

In Cell B2 change this to the first month of the financial year.  To complete the other months, left-click on the bottom left corner of cell B2 and drag your mouse to the end of M2 and release.

Change sales 1 – 5 to categories that your business uses, you may use one category, in which case leave the remaining ones blank.

Profit and Loss Sales

Change Expenses 1 – 15 to the codes, for example, accounting, utilities, rent, stationery, wages and general office.

Profit and Loss Expenses

Save the profit and loss template again, and you now have a copy that can be used each year. When you start, save it as a new file, so you have a template and a file for each year.

You are now ready to start entering your figures.

How to read your Profit and Loss Template

After entering all the figures, the calculations will be completed. All the sales added for total sales. The cost of sales deducted from sales to give the Gross Profit. Expenses added together and deducted from the gross profit to give a Net profit or loss. Finally, in the last column, each line is added to provide a total figure for the year.

Profit and Loss Template Example

The below example is for a self-employed computer business called ABC Computing using the tax year 6th April to 5th April. Transactions at the end of the year 1st to 5th April will be added to March.

Total sales for April are 1500.00, cost of sales 250.00 leaving a gross profit of 1250.00. Total expenses 760.00 with a net profit of 490.00.

The total year to date figures is as follows Sales 9250.00, cost of sales, 1300.00, gross profit 7950.00, expenses 3856.00 making a net profit of 4094.00.

self employed profit and loss template example

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Return from Profit and Loss template to profit and loss statement.