Home (Start-up capital)
Home  
 
 
Home » Business » Start-up capital


 

Start-up capital

Business Start rateState bank

Start-up capital - The finance needed by a new business to pay for essential fixed and current assets before it can begin trading.

 


START-UP CAPITAL
The amount of money invested in a business by the owner or owners at the beginning of operations. Sometimes stated as the amount needed to begin operation. As opposed to an amount BORROWED, as a LOAN.
LONG-TERM LOSS ...

Start-up Capital
The amount of money invested in a business by owners at the beginning of operations, as opposed to any amounts borrowed.

Informal start-up capital provided to entrepreneurs who are starting companies by investors other than family members or close friends.
Annuitant ...

There are several sources available for start-up capital. The owner can finance it himself through his savings or an equity loan on his home or other assets.

Contributed capital represents the start-up capital and any subsequent investments made by shareholders to fund the company's operations.

However, if the original start-up capital was 50% debt (£50 million) and 50% equity (£50 million), if the firms assets of £100 million doubles as before and the company is liquidated, the investors do better.

Business angels fly in with start-up capital
See more articles mentioning "business angel" or search FT.com
Related Terms ...

GM contributed its plant in Fremont, which it had closed in 1982. Toyota provided US$100 million of start-up capital. The remaining capital was raised by NUMMI as an independent Californian corporation. The US Federal Trade
By Siri Terjesen ...

See also: Expense, Finished goods, Contingency, Long-term loss, Job

Business Start rateState bank

 
 rssRSS