What does undercapitalization mean?
Definitions for undercapitalization
un·der·cap·i·tal·iza·tion
This dictionary definitions page includes all the possible meanings, example usage and translations of the word undercapitalization.
Wiktionary
undercapitalizationnoun
Insufficient capitalization
Wikidata
Undercapitalization
Under-capitalization refers to any situation where a business cannot acquire the funds they need. An under-capitalized business may be one that cannot afford current operational expenses due to a lack of capital, which can trigger bankruptcy, may be one that is over-exposed to risk, or may be one that is financially sound but does not have the funds required to expand to meet market demand.
Numerology
Chaldean Numerology
The numerical value of undercapitalization in Chaldean Numerology is: 6
Pythagorean Numerology
The numerical value of undercapitalization in Pythagorean Numerology is: 2
Examples of undercapitalization in a Sentence
Fast forward five years, and two of those banks – Silicon Valley and Signature Bank – failed due to lack of liquidity and possible undercapitalization, their failures destabilized the financial system in the process and caused federal banking regulators to take measures (such as insuring all the deposits at the two failed banks) that will tempt banks to bet on even bigger risks in the future.
Translations for undercapitalization
From our Multilingual Translation Dictionary
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"undercapitalization." Definitions.net. STANDS4 LLC, 2024. Web. 31 Oct. 2024. <https://www.definitions.net/definition/undercapitalization>.
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