Owner's equity

What the business is worth to you on paper: what you put in, minus what you took out, plus profit kept over the years.

In Solo Superstars

Manage contributions and draws under Accounting › Owner equity. The Balance sheet’s equity section shows the pieces; the year-end close folds the year’s draws into Owner’s Equity.

Example

Put in 20,000, took out 12,000, kept 15,000 of profit: equity 23,000.

Codes shown are the defaults a new workspace starts with. Yours may be renamed or renumbered — check Accounting › Chart of accounts. See the full default chart.

Also called

  • equity
  • net worth
  • capital

Related

  • 3000 Owner's Equity — The owner's overall stake in a sole proprietorship or single-member LLC. Contributions, draws and retained earnings roll into it over time.
  • Owner contribution — Money or assets you put into the business as the owner. Not revenue; it raises your equity.
  • Owner draw — Money you take out of the business for yourself. Not an expense and not salary; it reduces equity.
  • Retained earnings — Profit the business has kept over the years rather than paid out. Each year-end close moves net income here.
  • Equity section — The bottom of the Balance sheet: what the owner has put in, taken out, and kept as retained earnings.

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