equity capital

noun

: capital (such as stock or surplus earnings) that is free of debt

especially : capital received for an interest in the ownership of a business

Examples of equity capital in a Sentence

Recent Examples on the Web

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According to the Federal Deposit Insurance Corporation, equity capital, which is the most loss sustaining type of capital. rose 3.5% in the third quarter of 2024 to $81.6 billion. —

Mayra Rodriguez Valladares, Forbes, 7 Jan. 2025 The company is a retail investment firm that invests equity capital to support growth opportunities. —

Gabrielle Fonrouge, CNBC, 7 Jan. 2025 The company completed various financing transactions, including a private equity investment and a rights offering, raising $95.0 million in new equity capital. —

Quartz Bot, Quartz, 9 Dec. 2024 Venture Debt For companies that have already raised equity capital but need additional funding without further dilution, venture debt is another option. —

True Tamplin, Forbes, 12 Sep. 2024 See all Example Sentences for equity capital

Word History

First Known Use

1942, in the meaning defined above

Time Traveler

The first known use of equity capital was in 1942

See more words from the same year

Cite this Entry

Style

“Equity capital.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/equity%20capital. Accessed 13 Feb. 2025.

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