OSE_1303_part1_Layout 1 2/7/13 4:10 PM Page 34
BUSINESS ADVISOR
physician-owners were to sell interest, or if a government agency
needed information about your facility. Thankfully, understanding a
balance sheet (which you can usually obtain with a click of a button
on your financial software, such as Quickbooks) is as simple as
understanding its 3 most crucial components (see "Sample
(Balanced) Balance Sheet" to follow along).
1
Assets. Your assets comprise all the stuff that you have and adds
value, or that you own outright. Instead of listing each item indi-
vidually, monetary values are grouped into categories and subcategories. These items aren't necessarily what you have on hand — and
some of them might not even be tangible.
For example, if you've prepaid your rent or, more likely, your quarterly insurance, that money is counted as an asset. Marketing that
you've prepaid but that won't hit the streets until a later date? Also an
asset. In fact, even your good reputation in the community — accreditation, a low infection rate and a top surgeon — can be assessed for
monetary value and added to the assets side of your balance sheet.
Another asset is cash, which includes what's in the bank for operating capital, and even your petty cash account. No matter how woefully small an amount, it still counts. Money owed to you (better known
as "accounts receivable"), the equipment you own, land, inventory?
All assets.
They're typically classified on the balance sheet as current assets;
3 4
O U T PAT I E N T S U R G E R Y M A G A Z I N E O N L I N E | F E B R U A R Y 2013
