What is a Business Debt Schedule?
A Business Debt Schedule is a comprehensive list detailing all current debts owed by your business. It includes pertinent information for each debt, such as the lender's name, original amount borrowed, current balance, interest rate, monthly payment amounts, maturity dates, and any collateral securing the loans, if applicable.
Preparing to Fill Out the Business Debt Schedule
Before beginning the form, collect all necessary documents related to your business debts, including loan agreements, monthly statements, and other relevant financial records. The most recent balance sheet of your company is an excellent starting point.
Before beginning the form, collect all necessary documents related to your business debts, including loan agreements, monthly statements, and other relevant financial records. The most recent balance sheet of your company is an excellent starting point.
The debt schedule should accurately reflect the long-term liabilities as reported on the company's balance sheet.
Business credit or charge cards that are paid off monthly should not be included in the debt schedule.
Include all long-term liabilities with a term exceeding 12 months (i.e., those with a balance that will not be paid off within the next 12 months) in the debt schedule.
Sections of the Business Debt Schedule
1. Creditor's Name
List the name of each institution or individual to whom your business owes money.
2. Original Amount
Enter the original amount borrowed for each debt.
3. Original Date
Provide the original date the debt was borrowed.
4. Present Balance
Provide the current outstanding balance of each debt.
5. Interest Rate
Specify the interest rate of each loan. Indicate whether it's fixed or variable.
6. Maturity Date
State the due date for the final payment of each loan.
7. Monthly Payment
List the monthly payment amount for each debt.
7. Monthly Payment
List the monthly payment amount for each debt.
8. Security (Collateral)
Describe any assets pledged as security for each loan. If a loan is unsecured, note it accordingly.
8. Current/Delinquent
Please indicate if the debt is in current payment status or if it is past due (delinquent.)
Please indicate if the debt is in current payment status or if it is past due (delinquent.)
Tips for Completing the Business Debt Schedule
- Accuracy is Key: Ensure that all information is correct and current to prevent delays in the loan application process.
- Double-Check: Carefully review each section to confirm that no debts have been omitted and that there are no reporting errors.
- Ask for Help: If any part of the form is unclear, do not hesitate to seek assistance from your bookkeeper or tax professional.