Opening balance sheet

An opening balance sheet contains the beginning balances at the start of a reporting period. These balances are usually carried forward from the ending balance sheet for the immediately preceding reporting period. If a business has just begun, then the opening balance sheet will contain no account balances at all, or perhaps the equity contributions (and offsetting cash balances) of investors.

Opening balance sheet information is also needed for a budget that formulates balance sheets for future periods, so that ending balances from the last actual period are incorporated into the ongoing balance sheet calculations.