Anything of value owned by a business, such as cash, equipment, or receivables.
For example, a flooring company's assets include $40,000 in cash, $85,000 in equipment, $20,000 in vehicle value, and $35,000 in outstanding customer invoices — all of which are listed on its balance sheet.
Why it matters: Assets are the building blocks of a business's value, used to generate revenue, secure financing, and provide operational capability.
.avif)
.svg){kind=small}