The Owners Equity Statement is an important document that provides a picture of a company’s financial health. It shows the changes in the owners’ equity during a given period of time and serves as an important tool for analyzing how well the business is growing. This statement is composed of two categories – Capital, which is the money invested by the members in the business, and Retained Earnings, which are the earnings not distributed to the members over the years. Together, these two elements represent the total value of the business. By understanding an Owners Equity Statement, business owners can make important decisions about their operations and plan for future growth.