ACCOUNTING GLOSSARY
A/R
Accounts Receivable
Amounts customers owe for goods or services already delivered.
What does A/R mean?
Amounts customers owe for goods or services already delivered. Professionals may calculate, document or apply this concept differently depending on the transaction, accounting method, lender policy and governing documents. Borrowers should confirm the precise definition used in any term sheet or agreement.
A/R in context
A carrier invoices $80,000 of completed loads, creating $80,000 in receivables.
Why it matters in financing
A/R can influence how a lender, investor or advisor evaluates risk, pricing, structure, repayment capacity or transaction economics. It should be considered together with the complete financial picture rather than used alone.
Related accounting terms
Educational information only. This definition is general, may not match a particular lender or contract, and is not financial, accounting, tax or legal advice.