Definition
Overhead refers to the ongoing business expenses not directly attributed to creating a product or service, such as rent, utilities, and administrative costs.
Related Services
Cost management, financial reporting, and operational consulting services help businesses identify and reduce overhead to improve profitability.
Problem and Application
High overhead costs can squeeze profit margins, so businesses must carefully manage these expenses to ensure operational efficiency.
Conclusion
Controlling overhead costs is crucial for maintaining profitability, as these expenses directly impact a company�s bottom line.
