: These reveal how profitable the business has been over time and help identify declining margins or disproportionate overhead. buying a small business

: Often prepared by a CPA, this report adjusts for one-time expenses, personal owner "add-backs," and accounting errors to show the business's true earning power. : A snapshot of assets, liabilities, and owner

: Federal, state, and local returns are the most reliable documents for verifying reported income and expenses. : A snapshot of assets