In-House

AAA

DEFINITION of 'In-House'

Conducting an activity or operation within a company, instead of relying on outsourcing. A firm uses its own employees and time to keep a division or business activity, such as financing or brokering, in-house.

INVESTOPEDIA EXPLAINS 'In-House'

A firm may decided to in-house such activities as accounting, payroll or tech support. While it is common for some companies to outsource those divisions, a firm may maintain flexibility in those operations by keeping them in-house.

When dealing with customers, a firm may try to keep the entire transaction in-house. For example, in-house financing is a common practice in certain industries, using the firm's own resources to extend the customer's credit. For a brokerage, the firm may try to match a client's order with another customer, creating an in-house transaction. This allows the firm to benefit from both the buy- and sell-side commissions.

RELATED TERMS
  1. Inside Sales

    The sale of products or services by sales personnel who reach ...
  2. Outside Sales

    The sale of products or services by sales personnel who go out ...
  3. Knowledge Process Outsourcing - ...

    A form of outsourcing in which knowledge- and information-related ...
  4. Insourcing

    Assigning a project to a person or department within the company ...
  5. Eat Your Own Dog Food

    A colloquialism that describes a company using its own products ...
  6. Commission

    A service charge assessed by a broker or investment advisor in ...
Related Articles
  1. Globalization: Progress Or Profiteering?
    Economics

    Globalization: Progress Or Profiteering?

  2. Mutual Funds: Brand Names Vs. House ...
    Personal Finance

    Mutual Funds: Brand Names Vs. House ...

  3. What Are Economies Of Scale?
    Economics

    What Are Economies Of Scale?

  4. Sales Director Career Provides Daily ...
    Professionals

    Sales Director Career Provides Daily ...

comments powered by Disqus
Hot Definitions
  1. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  2. Odious Debt

    Money borrowed by one country from another country and then misappropriated by national rulers. A nation's debt becomes odious ...
  3. Takeover

    A corporate action where an acquiring company makes a bid for an acquiree. If the target company is publicly traded, the ...
  4. Harvest Strategy

    A strategy in which investment in a particular line of business is reduced or eliminated because the revenue brought in by ...
  5. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  6. Pareto Principle

    A principle, named after economist Vilfredo Pareto, that specifies an unequal relationship between inputs and outputs. The ...
Trading Center