Financial capital is a term that can refer to the money exchanged between entrepreneurs and investors during a business deal. Entrepreneurs need to raise capital for their startups while investors can provide them with the needed capital (or funding). Financial capital usually comes with interest, and new business owners can use their financial capital in purchasing real capital (or machinery or equipment) for their new business.4
Related Terms
Carried Interest | Accrued Interest
Related Articles
Why Can’t I Obtain Startup Funding?
9 Constituents Investors Will Want to Talk With Prior to Funding Your Startup