Capital
Capital (Definition)
Capital refers to financial resources available for use in the production of further assets.
Key aspects of capital include:
- Can be in the form of money, assets, or other resources
- Essential for business operations and growth
- Can be obtained through various means such as investments, loans, or retained earnings
- Often classified as working capital, debt capital, or equity capital
- Plays a crucial role in determining a companys financial health and capacity for growth
- Can be used to purchase assets, fund operations, or invest in new opportunities
- Proper management of capital is essential for long-term business success
Effective use and management of capital are crucial for a companys financial stability and growth potential.