Question

Specify several advantages of operating a small business when it comes to General and Administrative (G&A) expenses. Determine the single most important advantage that you believe would benefit the small-business owner the most. Explain your answer.

Answer 1

Mainly (G&A) General and Administration expenses is part of firm, company, society etc.

We are provided the definition of General and Administrative Expense –

The General and Administration expenses, which is incurred by a company for the management, financial expenses etc. for growing his business.

Generally we can say that the General and administration expenses will be incurred for increasing our business activities. Like grow our sale/turnover.

There are many type of expenses :-

• Consulting charges.
• Legal staff wages & benefits.
• Insurance.
• Audit fee paid to outside.
• Any type of Subscription etc.

If we will start a small business, then we have to incurred above mention expenses for the growing our business.

Come on the 2^nd point.

My friend started a very small business of real estate with approximately $ 15,000 and this time he is an owner of approximately $ 50,000.

He is growing with his business. He incurred many type expenses for growing his business.

• He paid consulting charges and consultants provided many type of new ideas, new type of structures for his business.
• He given many types of benefit to staff, labours, legal staff wages and benefits.
• Etc.

Then now he is the owner of approximately $ 50,000.

So, we can the General and Admistrative (G&A) expesnses is a important advantage to grow our business.