Fixed Assets

Fixed assets are the long-term, essential items a business owns, like buildings and machinery, that are vital for operations and not quickly turned into cash.

Fixed assets, also known as tangible assets or property, plant, and equipment (PP&E), refer to long-term, physical assets owned by a business that are used in its operations to generate income, and are not expected to be converted into cash in the short term. Examples include buildings, machinery, vehicles, and land.

Fixed assets are the long-term money-makers of a business—stuff that's not meant to be turned into cash quickly, such as buildings, machinery, or vehicles, but plays a crucial role in making the business run smoothly and bring in money over time.