OFinance glossary

Opex (Operating Expenses)

Quick definition

The costs required for day-to-day operations.

Overview

Opex (operating expenses) are the costs required to keep a business running day to day, such as salaries, rent and utilities.

Common uses

  • Cash flow management
  • Cost analysis
  • Budget planning

Examples of use in small businesses

  • Controlling operating costs
  • Optimising spending
  • Forecasting cash flow
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