Define: Trade Creditors

UK Accounting Glossary

Definition: Trade Creditors


Quick Summary of Trade Creditors


Persons who supply goods or services to a business in the normal course of trade and allow a period of credit before payment must be made.



What is the dictionary definition of Trade Creditors?

Dictionary Definition


Suppliers who are owed payment for raw materials or a product’s component parts by the manufacturer. In business accounting applications, trade creditors and the amounts owed are listed in the company’s balance sheet as liabilities.


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Full Definition of Trade Creditors


trade creditor is a supplier who has sent your business goods or supplied them with services, who you haven’t yet paid.

The amount that goes on your business’s balance sheet for trade creditors is the sum of all its unpaid invoices from suppliers, as at that point in time.


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Trade Creditors FAQ's


Are trade creditors assets or liabilities?

Current liabilities are normally settled from the amounts available in current assets. The main element of this is normally “trade creditors” – amounts owed by a business to its suppliers for goods and services supplied. A trade creditor is the opposite of a trade debtor.


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https://payrollheaven.com/define/trade-creditors/
Modern Language Association (MLA):
Trade Creditors. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. September 16, 2019 https://payrollheaven.com/define/trade-creditors/.
Chicago Manual of Style (CMS):
Trade Creditors. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/trade-creditors/ (accessed: September 16, 2019).
American Psychological Association (APA):
Trade Creditors. PayrollHeaven.com. Retrieved September 16, 2019, from PayrollHeaven.com website: https://payrollheaven.com/define/trade-creditors/

Definition Sources


Definitions for Trade Creditors are sourced/syndicated from:


This glossary post was last updated: 23rd December 2018.