Total Owners Equity is the combined balance of a company’s assets less its liabilities. It represents the book value of the business and can be thought of as the residual amount of cash available to owners after all other claims on the business have been satisfied. This sum reflects the total amount of capital invested in the business by its owners, as well as any earnings retained. In other words, it’s everything that belongs to the owners who’ve given their time, money, and risk-taking efforts – their equity – to make the company a success.