Categories: Report Templates

Annual Report Template

An annual report template is a detailed, understandable report which reflects a business’s current financial health and professional achievements during a year. It is mainly prepared to achieve certain objectives which are essentials for the success of a business. A professional annual report is basically a marketing tactic, which professionals use not only to satisfy stakeholders but also to attract new investors. The idea behind publishing an annual report is to exhibit a positive and favorable impression on the public to create brand loyalty and goodwill. It is a perfect way to share financial information of a business in such a way that excites the reader into getting more and more details about how well a business is running. In public, these annual reports are also known as financial reports, full year reports, performance reports and audited reports.

Significant of An Annual Report

An annual report is a professional report which shares information about how a company has completed a financial year and what the achievements were. The requirement to prepare and publish an annual report is for limited public companies. Whereas, all other companies and sole proprietorships are not required to publish their annual report, but if they wish, they can. The companies’ ordinance or act requires them to publish an annual report, to provide audited information to the company’s stakeholders, including customers, shareholders, employees and the public. This is a very vital step as far as transparency in business documentation is required. Stakeholders have the right to know what is going on in a company where they have common interests. Remember, on the basis of this report, the company and its shareholders make significant business decisions.

Essential Components of an Annual Report

An annual report is a very informative report which is read by real human beings. Therefore, it must be perfect and complete in all respects. Before publishing an annual report, the business management should ensure 100% accuracy and transparency is taken into account. For a professional report, the following essential components should be taken into consideration;

• Report of company’s CEO.

• Report of company’s chairperson.

• Auditor’s report.

• Mission statement.

• Statement of director’s responsibility.

Financial Statements Included in an Annual Report

There are certain financial statements which should be included in an annual report, in order to be eligible for a report as an annual report. These financial statements are given below for your ease;

• Balance sheet

• Income statement

• Cash flow statement

• Auditor’s report on financial statements

• Statements of retained earnings

• Notes to the financial statements

• Accounting policies

Details of An Annual Report

The annual report is considered to be incomplete if any component and/or statement is missing, which we mentioned above. The best method to make an annual report in the proper format is to take help from an annual report template. An annual report template is always prepared with a view that it should meet all the requirements of business people. To prepare a perfect report format, necessary care should be taken by management. The selection of content along with statistics should be accurate and as per the requirements. Nevertheless, a management can add more content if they feel something is missing or wrong. Therefore, use professional annual report templates to make a well-formatted annual report for your business.