Sometimes companies in financial sectors can generate income from investment capital which HMRC doesn’t classify as sales and distribution of goods or services they are two very different terms with different connotations. Though the definition of turnover sounds like revenue, it’s not. As these terms are often used interchangeably, you need to know their meaning and distinctions so your company can grow more effectively.
The difference between revenue and turnover is one of the most common conversations with business owners. Revenue refers to the amount of money received by selling goods or services, which will use for different purposes such as investing back into your business and making more profits from it.” In contrast, revenue only reflects what was earned by selling goods/services.
Revenue vs turnover: Turnover refers to how much money comes into an organisation in total during a certain time.
