You have probably heard about CAPEX and OPEX at some meeting and you may even know their meaning. However, can you understand how they are applied in your company? Can you say what is the financial impact of using each of them incorrectly in business?

These two concepts are related to the capital and operating expenses of a project and are fundamental when investing in technology for its long duration.

In order to be able to acquire new services and solutions in an economical and advantageous way, it is necessary to carry out the control and monitoring of business expenses and, therefore, to know exactly how CAPEX and OPEX work.

With that in mind, we have prepared this content with everything you need to know about the subject: not only the meaning of each of the terms, but also what are its main applications and how the Cloud can help. Don't miss out!

What is CAPEX and OPEX?
Although these two terms are often confused, the explanation for them is quite simple. See below:

CAPEX
CAPEX (Capital Expenditures) is the term used to refer to capital expenditures incurred by a company. This type of expenditure indicates investments in goods made.

See more about the MOS certification.

The main capital expenditures are those purchases designed to be used over a long period of time, such as new equipment. Usually, they are investments in tools that will improve the tasks performed on a daily basis and, thus, bring a financial return to the business.