Your balance sheet is an ever-changing document on which you constantly write in new assets you acquire or new liabilities that your company undertakes. When updated frequently, your balance sheet will give potential lenders and investors the information they need to make informed decisions about lending you money or other resources. It shows your business assets, liabilities and net worth, and when compared to earlier versions, your current balance sheet even reflects your company's ability to collect and pay debts over time. This is extremely important to investors as your balance sheet indicates whether or not you will be able to pay investors back.