What is Net Worth Certificate
The net worth of an individual or an Enterprise is the total assets of the individual or Enterprise less total liabilities.Net worth certificate is a document that is compiled and certified usually by a Chartered Accountant taking into consideration all the assets and liabilities of the individual or Enterprise. A net worth certificate shows the financial health of an individual or enterprise. The net worth certificate is an indicator of financial wealth. A person while applying for VISA or bank loan application might need net worth certificate.
Who provides a net worth certificate?
- A Chartered Accountant (CA) can provide you a net worth certificate.
- In order to get a net worth, certificate the assessee is required to submit details of all documents, records, assets, and liabilities
- After determining the total net worth calculation, from the information provided, a chartered accountant will prepare a net worth certificate and certify it.
Documents required for preparing a net worth certificate?
- Details of all the Fixed assets
- Details of all the securities and Investments
- Details of all the Intangible assets
- Bank balance and Cash in hand
- Investments in shares/ mutual funds
- Capital involved in Business