A Comprehensive Guide to Common Business Abbreviations

Let’s face it—business lingo can sometimes feel like an entirely different language. While terms like SEO and B2B might become second nature in your day-to-day work, they can quickly become overwhelming when sharing across departments. Despite the challenge, clear and effective communication is essential for ensuring everyone stays on the same page.

We’re here to make it simple for you, breaking down some of the most common business abbreviations into easy to understand terms. Keep this cheat sheet handy!

Abbreviation	Meaning	Description
2FA	2 factor authorisation	A security process requiring two forms of identification, typically password and a code or device.
ACC/ACCT	Account	Refers to the bank or contact account.
API	Application program interface	A tool that allows different software applications to communicate and share data with each other.
AP	Accounts Payable	The money a company owes to its suppliers or vendors.
AR	Accounts Receivable	The money a company is owed by its customers.
ASAP	As soon as possible	To be completed at the soonest time possible
B2B	Business to business	Transactions/sales to businesses, such as wholesalers and retailers, or manufacturers and suppliers.
B2C	Business to customer	Transactions/sales direct to customers.
BID	Break it down	To break down a project or task into steps or components
BOM	Bill of materials	The 'recipe' or list of components required for an assembly.
BRB	Be right back	Suggests the user is away for a short time.
COB	Close of business	End of the business day.
COGS	Cost of goods sold	the direct costs of producing goods or services sold by a business, including materials and labour.
CPA	Certified public accountant	A professional designation for qualified accountants who provide financial expertise in areas like auditing, tax, and financial planning.
CPU	Cost per Unit	Cost price for one unit of product.
CRM	Customer relationship management	Refers to software solutions that help companies manage and enhance their interactions with customers.
CTA	Call to action	A prompt encouraging users to take a specific desired action, such as "Sign up now" or "Learn more."
CTR	Click through rate	Measures the percentage of people who click on a link or ad compared to the number of people who see it, indicating its effectiveness.
DM/PM	Direct/personal message	To message the individual directly, not including others already in the thread.
EOD/EOM/EOW/EOY	End of - Day/Month/Week/Year	Refers to a specific timeframe.
ETA	Estimated time of arrival	Commonly used to indicate when someone or something is expected to reach a specific destination.
FIFO	First in, first out	Products should be used or sold in the order that they were recevied from the supplier.
FTE	Full time equivalent	A unit that measures the workload of an employee, representing the hours worked by one full-time worker.
HR	Human resources	The person or team responsible for managing employee-related functions, including recruitment, training, payroll and workplace policies.
IAM	In a meeting	The person is not currently avaiable as they are in a meeting.
IMO	In my opinion	Informal communications may use this to express personal views or perspectives.
KPI	Key performance indicators	Measurable metrics used to evaluate progress toward specific business objectives.
L&D	Learning and development	Upskilling of your team.
LMK	Let me know	A request to keep the person updated.
LWOP	Leave without pay	Leave that is not paid.
MoM	Month over month	A measure used to compare data or performance changes between consecutive months.
MTD	Month to date	The period starting from the first day of the current month up to the current date.
NRN	No reply neccesary	No response is expected.
NWR	Not work related	Indicating content unrelated to professional matters.
OOO	Out of office	Indicating someone is unavailable for work-related communication, typically due to leave or travel.
OTP	On the phone/over the phone	The user is on the phone and cannot respond immediately, or this may refer to a discussion that took or will take place over the phone.
P&L	Profit and loss	A statement that summarises a business's revenues, costs, and expenses over a specific period.
P-card	Purchase card	A company-issued credit card used to streamline and manage small or routine business purchases.
PM	Project manager	The individual overseeing planning, execution, and completion of projects, ensuring goals are met on time and within budget
POC	Point of contact	Designated person or team responsible for communication and coordination between parties.
POD	Proof of delivery	A document signed to confirm good have been delievered.
PPC	Pay per click	A digital advertising model where advertisers pay a fee each time their ad is clicked.
PR	Public relations	Involves managing a company's communication and image to build positive relationships with the public and stakeholders.
PTO	Paid time off	Refers to paid sick days, vacation days, and personal days.
QA	Quality assurance	The process of ensuring that products or services meet specified standards of quality.
RE	Regarding	Communications refer to the topic indicated
ROI	Return on investment	Measures the profitability of an investment by comparing the gain or loss relative to its cost.
SaaS	Software as a service	A cloud-based software delivery model where users access applications via the internet on a subscription basis.
SEO	Search engine optimisation	Optimising a website to improve its visibility and ranking on search engine results pages.
SMART	Specific, measurable, achievable, relevant, time	A goal-setting framework ensuring objectives are trackable.
SOH	Stock on hand	The quantity and value of inventory currently available in stock.
SME (option 1)	Small to medium enterprise	Refers to the business size.
SME (option 2)	Subject matter expert	Depending on context this may also refer to a person knowledgeable on the topic.
SWOT	Strengths, weaknesses, opportunities and threats	A strategic analysis tool used to identify a business's position.
TLDR	Too long didn't read	A concise summary of lengthy content, highlighting key points for quick understanding.
UX	User experience	Design and optimisation of a user's interaction with a product or service.
WOM	Word of mouth	The organic sharing of information or recommendations about a product, service, or brand between people, often influencing decisions.

If you’re wanting help navigating your business software, we’d love to hear from you. Reach out to us today and discover how our friendly, knowledgeable team can support you on your path to success.