Glossary
Current liabilities
Current liabilities are what you must pay within a year or less, such as suppliers, wages, tax due and this year instalments.
What it means for a shop owner
If they exceed your current assets you will struggle to pay on time. Keep a date for every payment. Do not delay staff wages to cover a supplier.
A worked example
You owe suppliers 3000, wages 2500 and tax 500. Current liabilities are 6000.
Related
Try it in your shop, free, no card.
The free plan: the whole shop for one branch, an offline cashier with stock, debts and accounting, with a daily limit on invoices, expenses and purchase orders. What it includes