operating costs

Ongoing business expenditures

Operating costs are the ongoing expenses required to run a business or maintain an asset.

These include rent, utilities, wages, supplies, and routine maintenance—the regular outlays that keep operations functioning.

Distinguished from capital expenditures, which are one-time purchases of major assets.

The restaurant's operating costs doubled after they expanded their hours.

Related

salaries · supplies · maintenance · insurance · repairs · burn rate · in the red · belt tightening · taxation · depreciation · amortization · taxes · rent · bottom line · financial planning · number crunching · margins · breakeven

Categories
Opposites
expenditure type in business accounting

operating costscapital expenditures

Spending on lasting assets

capital investments · fixed assets · long-term investments · infrastructure investments · capital improvements

financial flow direction

operating costsoperating income

Earnings from core operations

revenue · income · earnings · operating profit · receipts

Family

cost, operate, costs, operation, cooperation, operator, cooperative, cooperate, operating

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