What is called capital?
 What is capital?

 Capital

 Friends, if we speak simple language, then capital is called that asset from which a business is started and which helps in running the business continuously.  That is called capital

In other words, capital means the amount or assets which are invested in the business by the businessman i.e. the owner of the business for the purpose of business profit.  it's called capital

 Pro.  In the words of Marshall, all the wealth from which income is derived, apart from the free gifts of nature, is called capital.

  Pro.  In the words of Chapman, capital is money which provides income or is used for this purpose.

 You must have heard a lot on the internet that start business without capital. But it is not so. Let us know its truth.

 1. Financial Capital - Friends, business can be started without this capital.

 2. Current – ​​Business or business cannot be done without this capital (a separate post will be brought on this)

 Today let's talk about economic capital. What are these types of capital?

 let's know

 There are many types of capitalixed capital 

• Fixed capital 
• Flowing capital 
• Working capital 

 1. What is Fixed capital? 

Fixed capital means that asset which is not put into business for the purpose of selling it, nor can it be sold in the course of the business of doing business.  In other words, it can be said that the capital which is taken for investment on fixed assets is called fixed capital.

 Fixed capital is called such capital.  Which is used to buy permanent property in business or use it for business.  And this fixed asset is used in the business for a long time.

#  what is the scorce of fixed capital? 

 How can this capital be obtained?

 Here you can access the property of your ancestors like land, house, etc.  Otherwise you have to rent.

 Eg :- Capital invested in buying house, factory, land, machinery, furniture, etc.  All fixed capital is called fixed capital.

 2. What is Flowing Capital? 

 Capital that is to be used for the purchase and sale of business, which is invested in the business for the purchase of goods purchased for the purpose of sale.  It is also called floating capital or current capital.

#  what is the scorce of flowing capital? 

 Receipt of this capital in the form of savings, in the form of personal loan, or in the form of loan to whom, or in the form of balance material from anyone, etc.

 For example:- sale purchases of business goods or sales purchases of business goods.

 3. What is Working Capital? 

Working capital = current assets - current liability 

  As the name suggests, capital that is used to pay for the day-to-day operations of the business.  This capital is used to meet the daily expenses, direct or indirect expenses etc. in the business, it is called working capital.

# what is the score of working capital? 

 The receipt of this capital by selling business goods continuously.

Working capital acts like liquid in business.

 To know how much working capital is in your business, use this formula.

  Working capital =Current Assets – Current Liabilities.

 Accounts Receivable + Inventory – Accounts Payable

There are many other types of capital which are really going to come in handy in your life.

 To know, do comment and flow  this page.

 Assetsguru.blogspot.com

  In the coming post, we will read that how do some individuals and companies arrange capital for their business?

 For example:- Company allot  shares for arrange capital , individual includ partner and by loan arrange capital etc.

 We will understand further that how one can bring capital for his business. 

# # # And how to start a business even without capital.

How to earn money online- offline without capital investing. 

 So friends stay tuned with this blog assetsguru.blogspot.com.

 And keep learning,  assets, income, investment and doing business with me. 

 Eg :- Rent, Freight, etc.