Capitalis is a legal term that refers to the total value of a person’s assets, including money, property, investments, and other financial resources. It is used to determine an individual’s net worth and can be relevant in various legal contexts, such as divorce proceedings, estate planning, and bankruptcy cases. The calculation of capitalis involves assessing the value of all assets and deducting any liabilities or debts owed by the individual.
Answer: Capitalization refers to the process of raising funds or capital for a business or organisation through the issuance of stocks, bonds, or other securities.
Answer: The different types of capitalization include equity capitalization, debt capitalization, and hybrid capitalization.
Answer: Equity capitalization refers to the process of raising funds by issuing stocks or shares of ownership in a company.
Answer: Debt capitalization refers to the process of raising funds by issuing bonds or other forms of debt securities.
Answer: Hybrid capitalization refers to the process of raising funds by issuing a combination of equity and debt securities.
Answer: The legal requirements for capitalization vary depending on the type of securities being issued and the jurisdiction in which the company is located.
Answer: The risks associated with capitalization include the possibility of diluting existing shareholders’ ownership, the risk of default on debt securities, and the risk of regulatory non-compliance.
Answer: A company can mitigate the risks associated with capitalization by working with experienced legal and financial advisors, conducting thorough due diligence, and maintaining transparency with shareholders and investors.
Answer: The benefits of capitalization for a company include access to funding for growth and expansion, increased liquidity for shareholders, and the ability to attract new investors.
This site contains general legal information but does not constitute professional legal advice for your particular situation. Persuing this glossary does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.
This glossary post was last updated: 4th April 2024.
To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.
- Page URL:https://dlssolicitors.com/define/capitalis/
- Modern Language Association (MLA):Capitalis. dlssolicitors.com. DLS Solicitors. May 09 2024 https://dlssolicitors.com/define/capitalis/.
- Chicago Manual of Style (CMS):Capitalis. dlssolicitors.com. DLS Solicitors. https://dlssolicitors.com/define/capitalis/ (accessed: May 09 2024).
- American Psychological Association (APA):Capitalis. dlssolicitors.com. Retrieved May 09 2024, from dlssolicitors.com website: https://dlssolicitors.com/define/capitalis/
Our team of professionals are based in Alderley Edge, Cheshire. We offer clear, specialist legal advice in all matters relating to Family Law, Wills, Trusts, Probate, Lasting Power of Attorney and Court of Protection.
All author posts