Accounts Payable

A record of the money you owe to the people and businesses that helped you create your product or service. https://getsling.com/blog/business-terms/

Refers to the amounts owed by a business to its vendors, suppliers, or other creditors for goods or services purchased on credit. It is considered a liability on the company’s balance sheet and represents a short-term obligation that must be paid within a certain timeframe, typically 30 to 90 days. Accounts payable can include invoices, bills, or other forms of documentation specifying the terms of the transaction, such as the amount owed, due date, and payment method. Managing accounts payable is an important part of a business’s financial management, as it can impact cash flow, credit rating, and supplier relationships.

An example of accounts payable in business coaching could be the payment due to a third-party vendor for an online coaching platform or scheduling software used to manage client bookings and appointments. The vendor may invoice the coach for the cost of the subscription on a monthly or annual basis, and the coach would be responsible for paying the amount owed within the payment terms specified in the contract. Managing accounts payable efficiently can help the coach maintain a positive business relationship with the vendor and avoid late payment penalties or damage to their credit rating.

Accounts Payable DEFINITION:

1. The money a company owes to its suppliers and vendors for goods and services received but not yet paid for. 2.The amount of money a business owes to its suppliers or creditors for goods or services purchased on credit.

Accounts Payable QUOTE:

1. "Accounts payable: the grown-up version of owing your friend $5 for lunch, but with more zeros and less forgiveness." 2. "Accounts payable is like the stack of bills on your kitchen counter - the longer you avoid it, the scarier it gets."