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The FindLaw Legal Dictionary -- free access to over 8260 definitions of legal terms. Search for a definition or browse our legal glossaries.



capital adj

[Latin capitalis, from caput head, a person's life (as forfeit)]
1 a : punishable by death [ murder]
b : involving execution [a case]
2 Medieval Latin capitalis chief, principal, from Latin caput head
: being the seat of government [the city]
3 : of or relating to capital
: of or relating to capital assets [a account] [whether the gain is or ordinary]
n 1 : accumulated assets (as money) invested or available for investment: as
a : goods (as equipment) used to produce other goods
b : property (as stocks) used to create income see also capital stock at stock

debt capital
: capital that is raised by borrowing (as by issuing bonds or securing loans)

equity capital
: capital (as retained earnings) that is free of debt
: paid-in capital in this entry

fixed capital
: capital that is invested on a long-term basis
: capital that is invested in fixed assets

legal capital
: stated capital in this entry

moneyed capital
: capital that consists of or represents money that is used or invested (as by a bank or investment company) for the purpose of making a profit on it as money see also moneyed corporation at corporation

paid-in capital
: equity capital that is received in exchange for an interest (as shares of stock) in the ownership of a business

risk capital
: venture capital in this entry

stat·ed capital
: the total par value or stated value of no par issues of outstanding capital stock called also legal capital

ven·ture capital
: the initial usually paid-in capital of a new enterprise involving risk but offering potential above-average profits called also risk capital

work·ing capital
: the capital available for use in the course of business activity:
a : current assets less current liabilities
b : all capital of a business except the fixed capital
2 : net worth
3 : a city serving as a seat of government [the state ]

Source: Merriam-Webster's Dictionary of Law ©1996. Merriam-Webster, Incorporated. Published under license with Merriam-Webster, Incorporated.

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