Overhead

A company incurs overheads to enable the business to function, manufacture, sell and create revenue but overheads do not contribute specifically to the production value chain. In other words, overheads have to be paid regardless of production. Overheads include rent, mortgage payments, insurance, utilities, Internet, office equipment and supplies, salaries, admin costs, external cleaners, accounting, auditing and legal fees, marketing/advertising, and machinery, equipment and vehicle maintenance.

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