Operating Expenses
Operating Expenses are the bucket that contains all General & Administrative (G&A), Sales & Marketing (S&M) and Research & Development (R&D) expenses. It is the bucket between Gross Profit and EBITDA on the Income Statement.
In the room
OpEx is where the synergy conversation lives. When an interviewer asks where a buyer would find cost savings in an acquisition, the answer is almost always in these three buckets — duplicate G&A, overlapping sales teams, consolidated R&D.