Finances Glossary

Decode the buzzwords of the finances space
THE LANGUAGE OF FINANCES
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Startup Glossary  | Finanshels

Glossary

Running a business in the UAE means navigating a financial vocabulary that can feel overwhelming — especially if accounting is not your background. This glossary has been built specifically for UAE business owners, startup founders, and entrepreneurs. Every definition is written in plain English, tied to UAE regulations, and linked to deeper guides where relevant. Bookmark this page. You will come back to it.

Marginal cost

Marginal cost is the additional cost incurred by a company for producing one additional unit of a good or service.

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Marginal cost calculation

To calculate marginal cost, you need to determine the change in total cost and the change in the quantity of goods or services produced.

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Markup

Markup is the amount added to the cost of a product to determine the selling price. It is calculated by dividing the difference between the selling price and the cost by the cost and expressing the result as a percentage.

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Markup calculation

To calculate the markup as a percentage, you would divide the markup by the cost and multiply the result by 100.

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Minimum Viable Product (MVP)

A minimum viable product (MVP) is a product with just enough features to be able to be used by early customers who can then provide feedback for future product development.

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Monthly Recurring Revenue (MRR)

Monthly Recurring Revenue (MRR) is a metric used to track the amount of predictable revenue that a company can expect to receive on a regular basis from its subscription-based business model.

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Month Over Month (MoM)

Month over Month (MoM) is a term used to compare the performance of a metric or business metric from one month to the same month in the previous year.

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Net Dollar Retention (NDR)

Net Dollar Retention (NDR) is a metric used to measure the overall health of a subscription-based business.

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Net Profit

Net profit, also known as net income or net earnings, is a company's total earnings or profit after all expenses, taxes, and other costs have been deducted from its total revenue.

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Net profit calculation

To calculate the net profit, you need to subtract the total expenses from the revenue.

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Net profit margin

The net profit margin is a financial ratio that measures the profitability of a company.

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Net profit margin

The net profit margin is a financial ratio that shows the percentage of revenue that is left over after all expenses have been accounted for.

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