seed capital

Popular Terms
Comparatively small amount of capital contributed in the very beginning by a firm's founder(s). It is rarely provided by lenders or institutional investors because startup is the riskiest stage in a firm's life cycle with the highest chance of failure. Also called front end money, front money, or startup capital.

Use 'seed capital' in a Sentence

The seed capital was generated and the project was being executed at this point, we worked tirelessly to complete the project.
16 people found this helpful
The initial investors providing seed capital to our organization have experienced a significantly greater return on investment versus those providing capital in later years.
14 people found this helpful
The inventor had a great idea but no money. He went to a bank to request a loan for seed capital to start his business.
14 people found this helpful




Email Print Embed