Glossary

With over 200 terms in both English and French, our M&A Dictionary is designed to help you better understand the key words and concepts related to the sale oe purchase of a business in Canada.

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Invested Capital

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Category: Business Valuation

Definition:

Invested capital refers to the total amount of capital that has been invested in a business to finance its operations and assets. Invested capital represents the funds contributed by both equity investors (shareholders or owners) and debt investors (creditors or lenders). It is an essential concept in various financial metrics and valuation methodologies, providing insight into the financing structure and capital employed in a business.