What Is Sg&A Mean

What Is Sg&A Mean

What Is Sg&A Mean

oboloo’s Glossary

Sg&A (selling, general, and administrative expenses) is a metric used to measure the amount of money spent on necessary non-production activities within a business. This includes activities such as customer service, sales, rent, marketing, legal fees, accounting expenses, and more – anything that isn’t directly related to producing a product or service. In other words, it’s all the costs your company incurs that are not related to buying raw materials or manufacturing something. By closely monitoring Sg&A expenses, procurement professionals can make sure that their company is maintaining its bottom line without cutting corners on necessary overhead.