Streamline Your Processes with the Airbnb Invoice Template for Quality Assurance

Airbnb invoice template for Quality Assurance

If you've been asked to produce a balance sheet for your rental, property business, or maybe your Airbnb business, then you've come to the right place. We have created a balance sheet, template built specifically for rental property or Airbnb Businesses, I'm going to walk you through how to use this template and also, the template is free to download and you can download that by going to the link in the description of the video below and then follow along as we walk through it. But first of all my name is Adam Hoeksema, I'm the co-founder of projection hub and over the last decade we've helped about 50,000 entrepreneurs create Financial Projections for various potential investors and lenders as they're getting their business off the ground. And so if you do need a full set of projections, we also have a number of financial projection templates, including template specifically for rental property businesses and one specifically for Airbnb businesses. So I'll link to those in the description of the video below as well so you can go grab those. So with that, let's dive in. Okay, so one of the things that we did with our balance sheet template and what we noticed with others is that a lot of times, they just have the balance sheet template and they will have different categories like cash and accounts receivable and then just a slot for you to put a number in there, they don't give you really any context or tell you what is supposed to go in there or what's not supposed to go in there. And so what we did is we kind of broke this template up into two pieces. So we've got this first tab is our input tab where we asked a number of questions in plain English to try to help you know what to put in that field. And then from your answers we're going to go ahead and produce the balance sheet on the next Tab and so you'll have kind of the deliverable at that point. So with that, I'm going to dive in here. We want to fill out all of the Answers to all these questions are, how much cash do we have In company bank accounts? let's say we've got ten thousand dollars. We've got customer, How much do are Customers currently owe us. Maybe you've got one person that's behind on rent, so fifteen hundred dollars. How much did you pay for the inventory that you currently have on hand? So in this example, let's say it's an Airbnb and maybe you have some consumables like some food that you buy in bulk for your different units and maybe paper toweling, toilet paper, and that sort of thing that you you're buying in bulk and you have an inventory. So maybe we've got 500 bucks. Inventory and what dollar amount of expenses if you paid for upfront, that you haven't used yet. So this could be deposits on utilities. For example, might be a good example in your situation, but for this case, I think we're just going to leave this at zero. If you have any other assets, you could sell for cash. So this would be stocks or bonds that you could easily sell the next 12 months. We'll leave that a zero as well. All right, so fixed assets. Do you have any Machinery or equipment? let's say no Machinery or equipment that the business owns. Furniture fixtures. Okay. You have if you have a couple properties and you furnish them so maybe you own twenty thousand dollars worth of furniture. How much do you pay for improvements to a space that you're leasing? So this is probably going to be 0 in this case unless maybe you are leasing an Airbnb or leasing a unit and then you are renting that out to Airbnb tenants. But I think in most cases you'll probably own the property yourself and so we'll leave this at zero. How much do you pay for land and buildings that you currently own? So this would be the rental properties or the Airbnb units. Let's say we've got two of them and in total, they add up to 500,000. And actually I should have looked one line farther, this I guess is really a line for like if you own an office building or maybe raw land that you plan to build on in the future. So we're going to leave that at zero and then here we have how much did you pay for the homes Condos Etc. That you currently own and rent out to tenants? So this is where we want to put that 500,000. Then what dollar amount have your assets depreciated since you purchased them, if you don't know what your depreciation amount should be one, 1) might need to talk to an accountant. 2) you can learn more about depreciation calculations here but let's just say, you know, that our property has depreciated by 50,000. Maybe that's what we looked at our last tax return. And we saw that, that's what we have listed. So put that in there, intangible assets, patents trademarks copyrights, probably not going to have anything, so, leave that at zero. Customer deposits. Now, you might hold customer deposits for rental properties. So let's say, we're holding two months rent for two different customers. how about 6,000? I think good will probably going to be 0 again for this as well, and we don't have any other assets so there's your assets. Now jumping to liabilities. What do we owe suppliers vendors contractors? Maybe five thousand dollars. Do we have any unpaid taxes? No. Short-term loans, so maybe credit cards. Say we owe four thousand on the credit card. And then this would be how much you have to pay in the next 12 months on any longer Term Loans. So this would be if you have a mortgage on those two properties that it's what is the principal amount that you can have to pay on those mortgages over the next 12 months, that's what you want to put in here. And let's just say that's going to be 15,000 and we're going to this at zero. All right? And long-term debt. So this is where we would have our mortgage perhaps for these property rentals. So let's say, we had two assets two buildings with 500,000. Let's say we've got four hundred thousand worth of of Mortgage Debt on them. And then, lastly here, how much have we invested into the business? Say we put in maybe 100,000 to get started, to be able to buy the two properties and get started. And then, lastly, what is the retained earnings? So this is the cumulative profit of the business. If you have been doing your bookkeeping or might be able to talk to your tax accountant about what is the retained earnings of business. If you don't know, then this should be what is the Profit that you have made each year. So you should go back to your previous years and add up all the cumulative profit or loss that you've had and all your previous year. So let's say made 10,000 dollars profit total. Maybe we've been doing this just for a year and then so far this year we've made Five thousand dollars profit. All right, so that's all the answers. Now says, moment of truth. Let's see if it balances. I can almost assure you, it will not balance. And that's kind of the point. This video is that filling out a balance sheet is tricky. It often doesn't balance, I'm going to show you here. So it filled everything out based on what we entered and we come down to the bottom and ope, it does not balance. So there is a link to a video here. If you get this message that your balance sheet does not balance. Watch this video, I'm not going to go into it in detail here but there are some Different things that some tips on troubleshooting and why your balance sheet might not balance, but at the end of the day, a balance sheet, the assets total assets, should equal, or must equal your total liabilities and equity. And so right here, we've got four hundred eighty eight thousand total assets, and 524 thousand in total liabilities and equity. And if those are not balanced perfectly, then the balance sheet doesn't balance. And so a lot of times what people end up doing is they take the retained earnings and use that as like a plug number just make retained earnings whenever it needs to be in order to get the balance sheet to balance. That maybe what you end up doing, but watch the tips in the video to figure out why your balance sheets not bouncing, hopefully that will be helpful. If you have any questions don't hesitate to reach out to us at support@ projectionhub.com or leave a comment in the video comment section below and we'll try to help out. All right, thanks.