Accounting glossary — Bulgaria

Glossary of accounting terms in Bulgaria

This glossary explains the terms used in the Firmify accounting module in plain language, with the Bulgarian-specific context.

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A

Account — a category for classifying financial operations. Each account has a unique code in the National Chart of Accounts (e.g. 501 = Cash, 703 = Sales revenue). Firmify pre-fills the chart of accounts at setup.

Amortisation (depreciation) — the gradual reduction in value of long-term assets (machines, computers, vehicles). Each year the asset loses value, recorded as an expense.

Assets — everything the company owns and that has value: cash, bank balances, receivables from clients, equipment, real estate. Assets appear on the left/top side of the balance sheet.

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B

Balance sheet — a financial report showing assets, liabilities and equity at a specific point in time. Rule: Assets = Liabilities + Equity.

BULSTAT — identification number for natural persons engaged in independent economic activity. Different from the EIK of a company.

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C

Chart of accounts — the full list of accounts for a company. In Firmify → Accounts. Automatically populated at setup.

Credit — the right-hand side of a journal entry. Crediting increases liabilities and income; decreases assets and expenses.

Counterparty — any company or person with whom you have a financial relationship: clients and suppliers. In Firmify → Counterparties.

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