The amount of money needed to found a company or start a project in order to finance initial investments such as rent, equipment, or materials.
example
Um ihre Geschäftsidee umzusetzen, benötigte sie ein Startkapital von 50.000 Euro.
To put her business idea into practice, she needed start-up capital of 50,000 euros.
Usage tips
Compound word
This word is a clear compound made up of 'der Start' (the start) and 'das Kapital' (capital). So it refers exactly to the money (capital) that you need for the start of a project or company.
EXAMPLE
Ohne ausreichendes Startkapital ist die Firmengründung riskant.
Without sufficient start-up capital, founding a company is risky.
Typical verbs
'Startkapital' (start-up capital) is often combined with certain verbs. You can 'benötigen' (need), 'haben' (have), 'suchen' (look for), 'aufbringen' (raise), or 'investieren' (invest) start-up capital.
EXAMPLE
Die Gründer suchen nach Investoren, um das nötige Startkapital aufzubringen.
The founders are looking for investors in order to raise the necessary start-up capital.
Context: business
This word firmly belongs to the field of business and finance, especially the topic of founding a company. It is often used together with words like 'Investor' (investor), 'Businessplan' (business plan), or 'Gründer' (founder).
EXAMPLE
Im Businessplan muss die Höhe des benötigten Startkapitals genau begründet werden.
In the business plan, the amount of start-up capital needed must be justified precisely.
Compare with
confusable
Startkapital vs Eigenkapital
equity
'Eigenkapital' and 'Startkapital' both have to do with money in a company. But they do not mean the same thing. 'Startkapital' is the money you need at the beginning to found a company or start a new project. 'Eigenkapital' is the part of the capital that belongs to the owners and does not consist of debt. You can have start-up capital from equity, from loans, or from both. The words can be confused because both often come up when founding a business. In practice: 'Startkapital' asks about the beginning, while 'Eigenkapital' asks about the source and ownership form of the money.
Startkapital
Für den kleinen Laden braucht Mehmet noch Startkapital für Miete und Regale.
For the small shop, Mehmet still needs start-up capital for rent and shelves.
Eigenkapital
Die Bank prüft, wie viel Eigenkapital das junge Unternehmen hat.
The bank checks how much equity the young company has.