Category Archives: 1.20 Capital

How is capital payments treated in general?

Every so often you may find yourself in a position where you need to make payments into your company’s equity. Those payments are called capital payments or capital investments. Situations which impose the need can be different – need for extra capitalization from outside parties, i.e. banks for approving new loans, periodic losses that decrease the equity to lower level than accepted by regulators, etc.  Continue reading