LFinance glossary

Liabilities

Quick definition

A company's debts and obligations.

Overview

Liabilities are all of a company's debts and financial obligations, shown on the balance sheet and representing its external sources of financing.

Common uses

Assessing financial health
Managing obligations
Balance sheet analysis

Examples of use in small businesses

Tracking long-term debt
Preparing financial statements
Measuring solvency

← Back to glossary

FREE FOREVER PLAN

Start Managing Your Finances for Free

Join 2,500+ businesses using Trezy. Our free plan gives you real financial visibility — upgrade anytime for advanced features like AI forecasting and multi-bank sync.

Free forever plan

No credit card required

Ready in under 5 minutes

Get Started Free

or see pricing