Balance sheet
The balance sheet sets the company’s assets against its liabilities and equity at a reference date; the totals of both sides are equal, because every asset has a source.
Definition
The structure follows availability: current assets before fixed assets, short-term before long-term liabilities. That order is why liquidity and indebtedness can be read off the balance sheet without arithmetic.
It is a snapshot, and it can be shaped: whoever pays invoices or runs down stock shortly before the reference date looks different. Comparison across years therefore says more than a single balance sheet.
The wording
The balance sheet presents the asset and financing position of the undertaking as at the balance sheet date. It is divided into assets and liabilities.
Where to read it
What the software must be able to do
Check the depth of structure under the Code of Obligations, the prior-year comparison in the same presentation, and file output. For the tax return the structure counts, not the layout.
Checked Aug 2026
More terms under Bookkeeping and retention: Accrual principle Accrued liabilities Annual accounts Association accounting Balance sheet total Book value Break-even point Business assets Business expenses Cash book Cash flow statement Cash receipts Contribution margin Cost centre Current assets Debit and credit Depreciation Double-entry bookkeeping Duty to keep accounts EBIT EBITDA Equity Equity ratio Financial year Fixed assets Fixed costs Foreign currency General ledger Gross profit Hidden reserves Income statement Inventory count Journal Journal entry Liabilities Liquidity Loss carry-forward Membership dues Net profit Opening balance sheet Overheads Pass-through item Prepaid expenses Provision Record-keeping ordinance Reserves Retained profit Simple accounts Swiss SME chart of accounts Tamper resistance Turnover Value adjustment Variable costs Volunteer-run structure Voucher Year-end closing modules