The term Capital has several meanings: * Capital is the amount of cash and other assets owned by a business. * Capital can also represent the accumulated wealth of a business, represented by its assets less liabilities. * Capital can also mean stock or ownership in a company. In general, capital is accumulated assets or ownership. Other associated terms which relate to the term “capital” are: * Capital gains, which are increases in the value of stock and other assets when they are sold. * Capital assets, which sounds like a redundancy * The capital structure of a business is the mix of debt and equity in the business balance sheet. * Capital improvements, which are improvements made to capital assets. Capital is the money invested in business and used to buy the assets, or capital is the money available to build and grow a retail business. These liquid assets represent the amount of ownership and risk in a business. For new retail shops, it is the amount of cash required to launch and operate the business before borrowing from others.