This article is part of a series of Knowledge Base articles covering Custom Financial Statement Templates.
Site Administrators can customize Financial Statement Templates to display entries and sections that fit your unique needs. This article will cover how administrators create custom financial statement templates. Remember only site administrators can create or modify a custom templates.
This Knowledge Base Article is also available as a video:
Creating a Custom Financial Statement Template
1. Click on the Administration menu option at the top of the page, then click Financial Templates from the menu on the left. The template page will load. You will see a table that contains the two default system templates (one personal and one for companies) along with any other custom templates that have already been created.
2. To add a new financial statement template, click the add button
3. A pop up will appear, in the pop up:
- First choose the type of statement. You can choose from the two default types mentioned earlier, Company or Personal.
- Make sure there is a check mark in the active box, if you do not, the template you create will not be active in the system.
- Next to the active option is an option labeled Default. If you check this option, the template you are creating will be set as the default template when a user is adding a template to a loan record.
- Now, you will need to fill in the “Based On” Field. The drop down will list all the templates in your system, select one to act as the foundation on which you build your custom template. You can choose any existing custom template or one of the default templates to be the base of the template you are going to build.
- Once you make your selection, enter a name for the template. This is the name the user will see when adding a financial statement to a loan record. Try to make it descriptive.
- The description field is optional, but it can be useful to fill out if you plan on having a lot of custom templates.
- Once you finish entering a title and a description if you choose to, review what you have entered for accuracy then click Save.
4. Once you click save you will return to the table of existing templates. You should see the template you just created. Notice that the name is a hyperlink. Click on the name.
5. The pop up will appear again, with two new tabs labeled "Balance Sheet" and "Income Statement." We will review the Balance Sheet Tab first. Remember any changes you make here only affect the balance sheet of the template.
A Note on Personal Financial Statement Templates
The example used throughout this article shows a Company type template being created. If you are creating a Personal type template, the tab names in the template builder will be different. For a Personal statement the tabs you will see are "Personal Finances" and "Personal Cash Flow." Apart from that, all the steps and set up options are the same.
An Overview of the Balance Sheet Tab
- This tab is displaying the current layout of the Balance sheet. Each row represents an entry.
- Full length Gray rows separate sections of the Balance sheet. They are rows in which calculations occur, based on the data entered in the rows preceding it.
- Rows where only the label column is gray indicate that the end user will not be able to edit the label name in the spread. Any changes you make here only affect the balance sheet of the template.
- Let’s take a look at the columns. The first column we have is a column with buttons with an "X" on them. This allows you to delete the row.
- The first labeled column is the Label column. These are the row names the underwriter will see when they access the template.
- The second column is the group column. Every row needs to be assigned a group, and in some cases a sub group. The group the row is assigned to will always be listed first, any sub groups will be listed in the same column, after the main group with a slash. The group columns tells the template which rows to add up for certain totals.
- The next column is the Abbreviated Row Column. It does NOT affect calculations in the template. If a row has the abbreviated row option enabled, in the financial entry process when you switch from the full view to the abbreviated view, the row will still appear. It is very important to remember that any rows without the abbreviated view option enabled will still be part of the calculations in the template. They will just not be displayed in the abbreviated view of the sheet.
- Moving one column over we have the Negative Value Column. Enabling this feature means that the row will be subtracted when calculating the group total. For example if the row had the number 50 in it, and the negative row option was checked, the template will subtract 50 from the relevant total.
- The last column Is the Row Order Column. This column allows you to move rows up or down in their specific group and subgroup area. You cannot move rows outside of their group and sub group. To move a row, simply click the button with the direction you would like the row to move.
- You can click the button with the gear icon to see additional columns you can add to the table view. There are columns you may want to know about here. For example, the Row Type column. It is important for some of the calculations and formulas, if you ever need to find out the row type, this is how.
Adding rows and row options
- Any row label that is hyperlinked has some options you can change for it. To see said options click on the row name itself.
- A pop up will appear. For default rows, some of these options are already set. If you are adding a row, you will need to fill out the information yourself. We will cover the settings in the pop up below as we add a new row.
- To add a new row click the green add button, a pop up will appear.
- In the pop up, the first field is the group type. It allows you to select which group the row should be a part of on the balance sheet. If the group you select requires a sub group selection, a sub group field where you can make your selection will appear after you choose the group.
- Depending on the Group Type field selected you may see another field called Row Type. This field will provide a listing of fields that were part of the default template that may have been removed. It will pre populate with the group type name but you may override it with a different name if you would like. This is used to re-associate a row so that calculations can be handled properly and consolidated statements can be built correctly, this is something that needs to be considered if renaming the field. Row Type fields can only be used once and will become unavailable for selection within that same Group Type dropdown.
- The next field is the Row Label. This is where you can change the Label or name of the row. Any changes you make here will be reflected on the balance sheet.
- Next up is the RMA mapping field. This allows you to select if a specific RMA calculation should be shown on this specific line. They are displayed in alphabetic order and can be assigned to multiple rows as the system doesn’t prevent that. RMA is an external company, this field allows you to include comparison data from RMA on your balance sheet. RMA data still needs to be imported for this to work.
There are three options that you can choose to enable. You can enable any of these options by clicking the box next to it. You will see a checkmark appear indicating you have enabled the option. You can enable as many or as few of these as you wish.
- The first is the Abbreviated Row option. If this is enabled the row will appear both in full view, and the abbreviated view during the data entry process of the entity’s financials.
- The next option is the Negative Row option. When enabled, any data in this row will be subtracted from the related total. The data should be entered as a positive value, but will be subtracted from any relevant calculations. For example if the row has the negative row option enabled and the row value is 50. 50 will be subtracted from related calculations
- The last option is the Label Editable Option. Enabling this allows users to edit the row label directly in the Balance Sheet as they enter their data. If this option is unchecked the end user will not be able to edit the label. When unchecked, you will notice only the label column turn gray in the template setup. This means that the Label editable option is not checked and end users will not be able to change the row label. The gray helps you see immediately whether the row label is set to editable or not.
- When you finish making your selections click the green save button. You will return to the Edit Financial Statement Template pop up.
Creating a Custom Financial Statement Template Continued
6. Once you have finished customizing the Balance Sheet, review the rows, columns and options associated with each row to ensure the balance sheet will display what you need it to display. Once you are satisfied that the balance sheet is set up to meet your needs, click on the Income Statement tab to continue.
7. The Income Statement tab functions exactly the same way as the Balance Sheet tab. The layout, settings and options are the same. You can add rows, make edits, rearrange their order following exactly the same steps and instructions as the Balance Sheet Tab that we just learned above. Customize the layout and settings of the Income Statement to meet your needs. Remember any changes you make here only affect the income statement of the template. Once you have finished, review any changes you have made for accuracy, then press save. The pop up will disappear, and you should see the template you just created in the table of available templates, ready for use.
Balance Sheet Changes
A few changes that you should note:
- There are two new subtotaling rows in the balance sheet Total Non-Current Assets and Total Non-Current Liabilities.
- We have updated some labels to ensure consistency. Short Term has been replaced with Current, and Long Term has been replaced with Non-current. We had previously been using the terms interchangeably, this update should ensure consistency across the platform.
Income Statement Changes
A few changes you should note:
- The sales rows have been updated. The total sales row has been updated to Total Revenue, and you can now include a breakdown of where the revenue comes from by adding rows as needed.
- We have added two additional calculation rows. EBIT (Earnings before interest and taxes) and EBITDA (earnings before interest, taxes, depreciation and amortization.) These calculations cannot be removed from the Income statement.
- The next difference is the COGS (cost of goods sold) breakdown. If we take a look at a Financial statement before the update, We can see that the COGS breakdown is in its own tab. Entries made in the COGS tab are linked to the income statement tab.
- Now let’s take a look at it after the update. The COGS data is now included directly in the statement itself. Notice there is no COGS tab anymore, but if we look at the statement, there is a new Cost of Good section where you can add the COGS data.