Budgets, forecasts & scenarios · Core
Cost centre
Also called: cost center
ELI5
An organisational unit tracked primarily for costs rather than direct revenue.
Used in conversation
“Finance will reconcile cost centre before the board pack goes out.”
Pitch context
You will see “Cost centre” in financial models, budgets, board packs and investor materials when the discussion reaches budgets, forecasts & scenarios.
Why it matters: In budgets, forecasts & scenarios, different calculation boundaries, periods or accounting treatments can change the number and the decision.
Caution
Calculation, recognition and disclosure can vary by accounting framework, company policy and reporting context.
Sources & evidence · 5
Direct term-level sources and supporting source families.
- U.S. Small Business Administration — Write your business planDirect source · primary · checked 2026-08-16
- IFRS Foundation — IFRS GlossaryDirect source · primary · checked 2026-08-16
- Financial Accounting Standards Board — FASB Accounting Standards CodificationSupporting source family · primary · checked 2026-08-16
- U.S. Small Business Administration — Break-even pointSupporting source family · primary · checked 2026-08-16
- U.S. Securities and Exchange Commission — Non-GAAP Financial Measures — Compliance and Disclosure InterpretationsSupporting source family · primary · checked 2026-08-16