Definition, Meaning & Synonyms
overheads
noun
/ˈoʊ.vər.hedz/
Definition
Overheads refer to the ongoing expenses or costs that a business incurs to operate, which are not directly tied to producing a product or service.
Examples
- For small businesses, keeping overheads low is crucial for profitability.
- The company struggled with high overheads, which impacted its cash flow.
Meaning
Overheads are the costs of running a business that are not directly linked to production. This can include rent, utilities, salaries of non-production employees, and other administrative expenses.
Synonyms
- expenses
- indirect costs
- burden
- overhead costs
