capital,adj.1. Of or relating to economic or financial capital <capital market>.2. Punishable by execution; in-volving the death penalty <a capital offense>. [Cases: Sentencing and

Punishment  1610. C.J.S. Criminal Law §§ 1529–1530, 1606–1607.]

capital,n.1. Money or assets invested, or available for investment, in a business. 2. The total assets of a business, esp. those that help generate profits. 3. The total amount or value of a corporation’s stock; corporate equity. See capital stock under STOCK. [Cases: Corporations

61.C.J.S. Corporations § 130.] actual capital.Funds generated by the sale of stock. See capital stock (1) under STOCK. authorized capital.See nominal capital. circulating capital.See floating capital.

debt capital.Funds raised by issuing bonds.

equity capital.Funds provided by a company’s owners in exchange for evidence of ownership,

such as stock. [Cases: Corporations  60. C.J.S. Corporations §§ 122–125.] fixed capital. 1. The amount of money invested in fixed assets, such as land and machinery. 2.

Fixed assets.

floating capital. 1. Funds not allocated to a particular class of the corporation’s capital stock. 2. Funds not pre-sently invested or committed; esp., money retained for the purpose of meeting current expenditures. — Also termed circulating capital.

impaired capital.Corporate funds consisting of assets that are less than the sum of the

corporation’s legal capital and its liabilities.

legal capital.An amount equal to the aggregate “par” or stated value of all outstanding shares of a corporation, or, in the case of stock without par value, an amount set by the board of directors. • A minority of states require this amount to remain in the corporation to protect creditors. — Also termed stated capital. [Cases: Corporations  60. C.J.S. Corporations §§ 122–125.] moneyed capital.Money that is invested with the intent of making a profit.

nominal capital.The minimum value of the shares that a company is authorized by its

association documents to issue. — Also termed authorized capital.

paid-in capital.The money paid for the capital stock of a corporation. [Cases: Corporations

16, 60. C.J.S. Corporations §§ 41–43, 122–125.] proprietary capital.Money that represents the initial investment in a sole proprietorship.

risk capital. 1. Money or property invested in a business venture, esp. one in which the

investor has no managerial control. 2. See venture capital.

stated capital. 1. See legal capital. 2. The total equity of a corporation as it appears on the

balance sheet. subscribed capital.The total value of stock for which there are subscriptions (contracts of


venture capital.Funds invested in a new enterprise that has high risk and the potential for a

high return. — Also termed risk capital. See SEED MONEY.

working capital.Current assets (such as cash, inventory, and accounts receivable) less current liabilities. • Working capital measures liquidity and the ability to discharge short-term obligations. [Cases: Corporations  152. C.J.S. Corporations §§ 295–299.] [Blacks Law 8th]