Business operations concept · updated August 9, 2026
Overhead Rate
Overhead rate is the share of revenue consumed by costs not directly tied to a specific project, like rent, admin, and shared software.
Example
A business with $20,000 in monthly overhead against $100,000 in monthly revenue has a 20% overhead rate, separate from any individual project's direct costs.
Why it matters
A healthy gross margin on individual projects can still mask an unsustainable business if overhead is consuming too much of what's left.
Limits and cautions
Cutting overhead too aggressively can remove the shared infrastructure, like tooling or support staff, that makes individual projects run smoothly.
Relevance to Stelaah
Stelaah's financial reporting can separate direct project costs from shared overhead where that categorization is tracked.
This connection describes product intent, not a guarantee that every plan or workflow supports every related capability.