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Profit and loss statement template
Download profit and loss template for free
Looking to make accounting simple? We can help! Our profit and loss template and accounting software are incredible tools for businesses. Download the template and try FreshBooks for free!
What is a profit and loss template?
A profit and loss statement (sometimes called a P&L statement or income statement) is a financial report that summarizes your business’s revenues, expenses, and net profit (or loss) over a given period of time. It’s a useful report for tracking your profitability and assessing your overall financial performance, helping you to make better-informed business decisions.
Often, profit and loss statements from different periods are compared to see the ways the metrics change over time, helping you get a better idea of your business performance. Your profit and loss statement is usually accompanied by your balance sheet and cash flow statement, which are used together to get a more in-depth perspective on your business’s financial health.
How do I create a P&L statement?
Creating profit and loss statements is easy with the free template from FreshBooks! It can be broken down into 6 simple steps:
Choose a format
First, choose the P&L statement format that is most useful for you and your business’s needs.
Download the template
Next, download your free profit and loss statement template of choice in seconds from the FreshBooks website.
Enter revenue
You’ll be prompted to enter revenue information in the relevant field—keep your financial records on hand for this part.
Enter expenses
After entering revenue, you’ll input all relevant business operating expenses into the P&L report template.
Calculate net income
Simply subtract your business expenses from your business revenue to calculate your total net income.
Determine profitability
Finally, look at your bottom line. If your net income is positive, you’re profitable. If it’s negative, you’re currently unprofitable.
Download profit and loss template
Business owners depend on the outstanding templates from FreshBooks because they’re easy to use and simple to customize to their needs. Download the P&L report template in seconds, free of charge, in either spreadsheet or PDF format, and start using it to grow your business right away.
Profit and loss template
Profit and loss template
Revenue
Revenue (also called sales or income) refers to the money your business receives in exchange for goods or services you provide during a given time period.
Cost of goods sold
This section details your cost of goods sold, also called COGS. It includes expenses incurred for materials, labor, and overhead which directly contribute to the production of the goods your company sells.
Operating expenses
In this field, you enter any costs associated with running your business, such as cost of goods sold (COGS), property rental expenses, and other operating expenses.
Operating profit (loss)
Your profit/loss is your revenues minus your expenses. It will either be a positive number (indicating profitability for that period) or a negative number (indicating non-profitability).
Additional accounting templates
Business owners depend on the outstanding templates from FreshBooks because they’re easy to use and simple to customize to their needs. Download the P&L report template in seconds, free of charge, in either spreadsheet or PDF format, and start using it to grow your business right away.
Expense report template
This is a report containing categorized information on expenses incurred by the business, plus amounts, descriptions, and reimbursement details.
Expense report template
This is a report containing categorized information on expenses incurred by the business, plus amounts, descriptions, and reimbursement details.
Profit and loss template vs FreshBooks accounting software
What’s the difference between downloading our free profit and loss statement template and using FreshBooks accounting software? Accounting software is invaluable for streamlining your transactions and also helps you stay informed with easily generated reports on demand for any date range.
Here are some of the other advantages of using our all-in-one, cloud-based accounting solution:
| Features | Free accounting templates | FreshBooks accounting software |
|---|---|---|
Mobile access |  | |
Pre-designed templates | | |
Downloadable templates | | |
Automated data entry |  Manual Entry | |
Automated calculations | Manual formula creation | |
Reduced error risk | | |
Cloud data storage | Limited | |
Automatic report generation | | |
Scalability | Difficult | |
Automatic recurring reports | | |
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Try It FreeHelpful resources for your business
Ready to take your business to the next level? A quality profit and loss statement template is a great place to start. But there are even more resources that can help you make more data-driven decisions in your business, empowering you to organize your finances and move with confidence:
How to Make a Profit and Loss Report?
Monthly Financial Reports: What Are They And How to Read
10 Best Construction Estimating Software in 2025 (Free & Paid)
Frequently Asked Questions
Yes, income statements are the same as profit and loss statements. Both reports display revenues, expenses, and overall profitability (or non-profitability) for the business during a specific period of time. The only difference is in the name.
Your profit and loss statement must include all business revenues, relevant expenses, and the final statement of profit or loss (revenues minus expenses), which will be expressed as either a positive or negative number, depending on whether or not the business is profitable.
To create a profit and loss statement, first track your revenue for the time period, then subtract your expenses (cost of goods sold, overhead, etc.) from that number. This will result in either a positive or negative number, which is your profit or loss for that period.
The basic formula for your profit and loss statement is Revenue – Expenses = Net Profit (or Loss). You calculate profit/loss by subtracting all costs from revenue for a given time period.
It’s common to generate a profit and loss statement monthly, quarterly, and for each tax season. This helps you track your company’s overall financial performance more accurately throughout the year.
To calculate net revenue, you would first take your gross revenue and then subtract all expenses, including COGS, overhead expenses, and any other costs. This results in your net revenue, otherwise known as your net profit or loss.
FreshBooks accounting software automatically generates efficient, easy-to-interpret P&L statements. It does this regularly, ensuring you always have the most up-to-date snapshot of your company’s financial health.
