Accounting & Tax
83(b) Election
An 83(b) election allows individuals who receive stock as compensation to pay taxes on the value of the stock at the time it was granted rather than...
Resources
The Arbo Glossary
Welcome to the Arbo Glossary! This concise and comprehensive resource provides definitions and explanations of key accounting, finance, and startup terms.
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Accounting & Tax
Amortization
Amortization is the process of spreading the cost of an asset or loan over a period of time. It involves systematically allocating the expense rather...
Arbo Team
Jul 19, 2023
Accounting & Tax
C Corporation (C Corp)
A C corporation is a legal business entity structure commonly chosen by startup founders. It provides limited liability protection to shareholders...
Arbo Team
Jul 19, 2023
Accounting & Tax
Contribution Margin
The contribution margin is the difference between a company's revenue from sales and its variable costs directly associated with producing or...
Arbo Team
Jul 19, 2023
Accounting & Tax
Cost of Goods Sold (COGS)
The cost of goods sold represents the direct costs incurred by a company in producing or delivering its products or services. It includes expenses...
Arbo Team
Jul 19, 2023
Accounting & Tax
Deferred Revenue
Deferred revenue, also known as unearned revenue or customer deposits, refers to money received by a company for products or services that have not...
Arbo Team
Jul 19, 2023
Accounting & Tax
Delaware Annual Report
A Delaware annual report is a filing requirement for businesses incorporated in Delaware. It must be submitted to the Delaware Secretary of State by...
Arbo Team
Jul 19, 2023
Accounting & Tax
Depreciation
Depreciation is the accounting practice of allocating the cost of tangible assets (such as equipment, buildings, or vehicles) over their useful life.
Arbo Team
Jul 19, 2023
Accounting & Tax
Doing Business As (DBA)
Doing Business As (DBA) refers to a fictitious name or trade name that a business can use instead of its legal name or the name of its legal business...
Arbo Team
Jul 19, 2023
Accounting & Tax
EBITDA
Earnings Before Interest, Taxes, Depreciation, and Amortization. It is a financial metric that provides insight into a company's operating...
Arbo Team
Jul 19, 2023
Accounting & Tax
Form 6765
IRS Form 6765 is a tax form used to claim the Research & Development (R&D) tax credit
Arbo Team
Jul 19, 2023
Accounting & Tax
Form D
Form D is a filing with the Securities and Exchange Commission (SEC) required when a company offers and sells securities without registering the...
Arbo Team
Jul 19, 2023
Accounting & Tax
Form S-1
Form S-1 is a registration statement filed with the Securities and Exchange Commission (SEC) by companies planning to go public through an initial...
Arbo Team
Jul 19, 2023
Accounting & Tax
Form SS-4
IRS Form SS-4 is the application form used to obtain an Employer Identification Number (EIN) for a business
Arbo Team
Jul 19, 2023
Accounting & Tax
Generally Accepted Accounting Principles (GAAP)
GAAP refers to a set of standardized accounting principles and guidelines used to prepare financial statements
Arbo Team
Jul 19, 2023
Accounting & Tax
Gross Margin
Gross margin represents the percentage of revenue remaining after deducting the direct costs associated with producing goods or delivering services.
Arbo Team
Jul 19, 2023
Accounting & Tax
Limited Liability Company (LLC)
An LLC is a legal business entity that combines the benefits of limited liability protection with the flexibility of a partnership.
Arbo Team
Jul 19, 2023
Accounting & Tax
Net Profit
Net profit, also referred to as the bottom line, is the remaining profit after deducting all expenses, including operating costs, taxes, and...
Arbo Team
Jul 19, 2023
Accounting & Tax
Net Profit Margin
Net profit margin is the percentage of revenue that translates into net profit after deducting all expenses. It indicates the profitability and...
Arbo Team
Jul 19, 2023
Accounting & Tax
Quick Ratio
The quick ratio is a liquidity ratio that measures a company's ability to meet short-term financial obligations using its most liquid assets. SaaS...
Arbo Team
Jul 19, 2023
Accounting & Tax
S Corporation (S Corp)
An S Corporation (S Corp) is a business entity that elects to pass corporate income, losses, deductions, and credits through to its shareholders.
Arbo Team
Jul 19, 2023
Accounting & Tax
Delaware Franchise Tax
The Delaware Franchise Tax is a fee imposed on businesses incorporated in Delaware. It is unrelated to franchised businesses but applies to many...
Arbo Team
Jul 18, 2023
Accounting & Tax
Qualified Small Business Stock (QSBS)
QSBS refers to stock issued by a qualified small business that may qualify for certain tax benefits, such as excluding capital gains upon its sale,...
Arbo Team
Jul 18, 2023
Accounting & Tax
Annual Recurring Revenue (ARR)
Annual Recurring Revenue (ARR) is recurring revenue, as defined by your revenue recognition policy, calculated annually. ARR is the sum of...
Arbo Team
Jul 18, 2023
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