by Small Business Accounting Software | Feb 24, 2026 | Terminologies
The use of borrowed funds to increase potential returns. While leverage can magnify profits, it also increases risk. Commonly assessed through debt ratios.
by Small Business Accounting Software | Feb 22, 2026 | Accounting Proram, Terminologies
Issued to increase the amount payable on an invoice, often due to under-billing or additional charges. Works as the opposite of a credit note. Ensures accuracy in payables and receivables.
by Small Business Accounting Software | Feb 21, 2026 | Chart of Accounts, Terminologies
Revenue earned by granting franchise rights. May include upfront fees and ongoing royalties. A key revenue account for franchisors.
by Small Business Accounting Software | Feb 21, 2026 | Assets, Chart of Accounts, Terminologies
A catch-all category for assets that do not fit neatly into other classifications, such as deposits or long-term advances. Often less liquid or unusual in nature. Used sparingly to avoid clutter.
by Small Business Accounting Software | Feb 21, 2026 | Chart of Accounts, Expenses, Terminologies
Similar to depreciation but applied to intangible assets like patents or software. It spreads cost over the asset’s useful life. Ensures compliance with accrual accounting.
