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.
by Small Business Accounting Software | Feb 20, 2026 | Assets, Chart of Accounts, Terminologies
Payments made in advance for goods or services to be received in the future, such as insurance or rent. They are assets until the benefit is realized. Expense recognition occurs gradually over the benefit period.
by Small Business Accounting Software | Feb 20, 2026 | Assets, Chart of Accounts, Terminologies
The value of goods held for sale or raw materials used in production. It is a current asset expected to be converted into cash through sales. Proper tracking avoids stockouts and overstocking.
