Assets, liabilities & equity · Specialist

Off-balance-sheet

ELI5

Informal description of obligations or arrangements not recognised on the face of the balance sheet under specified rules.

Used in conversation

“Counsel wants off-balance-sheet clarified before anyone signs.”

Pitch context

You will see “Off-balance-sheet” in financial models, budgets, board packs and investor materials when the discussion reaches assets, liabilities & equity.

Why it matters: In assets, liabilities & equity, different calculation boundaries, periods or accounting treatments can change the number and the decision.

Caution

Calculation, recognition and disclosure can vary by accounting framework, company policy and reporting context.

Sources & evidence · 4

Direct term-level sources and supporting source families.