Learn more about common financial (and startup) terms here. To learn more about Pilot, fill out the form below.
Depreciation is how a company writes off the value of fixed assets over their useful life. It can apply to tangible assets, such as office equipment, computers, and buildings.
The amount you’ll depreciate each year can depend on the depreciation method your business uses, how much the asset costs, its useful life, and whether there’s a residual or salvage value at the end.
Intangible assets, such as software licenses and intellectual property, are often amortized rather than depreciated, and they might not have a residual value at the end of their useful life.
Properly recording depreciation can help ensure your books accurately represent your company’s value over time and make understanding its financial health easier.
Signing up for Pilot is easy. We think once you experience truly stress-free financial processes, you won’t want to go back.