Your Business in 10 Events
I don't understand how what I approve ends up on a report.
"Most business activity can be mapped to ten event types. Once you see them, the reports stop surprising you."
Key concepts
Ten event types
From owner investments to rent payments — each has a predictable financial impact across the three statements.
How the statements connect
Every event touches the Balance Sheet, and many touch the P&L and Cash Flow. The connections are the whole story.
Run it yourself
The simulator below lets you build a complete set of statements one event at a time.
Try it: Business Events Simulator
See how each business event flows through all three financial statements in real-time.
Open SimulatorFlashcard deck
Tap a card to flip.
Knowledge check
Buying inventory on credit affects:
Invoicing a customer for goods not yet delivered creates:
Buying equipment hits the P&L:
Month-end invoices in your inbox that haven't been submitted to finance will understate costs for that period.
Questions to ask your finance team
- 1.Can you walk me through last month's P&L and tell me which lines are accruals vs. actual invoices?
- 2.What's our accounts receivable position? Who are the biggest balances and how old are they?
- 3.Are there costs in my budget that are capitalised rather than expensed?