A company should prepare a balance sheet at least once a year as part of its annual financial reporting process. In many countries, this is a legal requirement for companies to file financial statements with regulatory authorities. Additionally, some companies may choose to prepare interim balance sheets, such as quarterly or monthly, to monitor their financial performance and make informed decisions.
It is important for companies to keep their balance sheets up to date and accurate to provide stakeholders with a clear understanding of the company’s financial position. Keeping regular and timely balance sheets can help management identify trends and potential issues early, enabling them to take corrective action if necessary.