{"id":21676,"date":"2021-08-20T11:28:00","date_gmt":"2021-08-20T10:28:00","guid":{"rendered":"https:\/\/www.orama.ai\/academy-tesoreria\/what-is-a-companys-equity\/"},"modified":"2023-09-14T11:15:42","modified_gmt":"2023-09-14T10:15:42","slug":"what-is-a-companys-equity","status":"publish","type":"post","link":"https:\/\/www.orama.ai\/en\/academy-tesoreria\/what-is-a-companys-equity\/","title":{"rendered":"What is a company&#8217;s equity?"},"content":{"rendered":"<p data-w-id=\"bc8ef84e-e9cf-16f2-3a8c-a000576693a3\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">What is a company&#8217;s equity? The capital of a company is the set of assets that will be contributed to the company for the manufacture of other goods or services. Let&#8217;s say that it serves to generate value, benefits or profits through the money that is imposed or lent by partners or shareholders. Moreover, we also find different <a href=\"https:\/\/www.orama.ai\/academy-tesoreria\/tipos-de-financiacion-bancaria-para-pequena-y-mediana-empresa\/\" target=\"_blank\" rel=\"noopener\" data-w-id=\"ca95f27b-e008-8ff5-9870-e24f509c71ba\" data-automation-id=\"dyn-item-post-body-input\">types of capitals<\/a>, which are:<\/p>\n<h2 data-w-id=\"81053e25-dc49-c239-60e3-bbe44a017992\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">CAPITAL OF A COMPANY ACCORDING TO OWNERS<\/h2>\n<ul role=\"list\" data-w-id=\"583a6bb3-f5c4-ef9c-cc4b-9509f23770b3\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">\n<li data-w-id=\"d1d44ee5-697f-d00e-7e54-69f0fb2abadf\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\"><strong data-w-id=\"99ceab0a-5b3b-f626-3441-ae78ef5a2cfd\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">Public<\/strong>: belonging to public entities, such as, for example, the Government.<\/li>\n<li data-w-id=\"1a8bf968-497b-456e-2b21-cc3be4631d59\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\"><strong data-w-id=\"0ddbbc50-7601-cac5-48c0-b9bbfd3b028f\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">Private<\/strong>: belonging to companies or individuals.<\/li>\n<\/ul>\n<h3 data-w-id=\"aa82bbe8-6e49-926f-5046-aaba3b5e748d\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">ACCORDING TO THE CONSTITUTION<\/h3>\n<ul role=\"list\" data-w-id=\"da16404f-f43d-93c8-fe40-b96027de1d45\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">\n<li data-w-id=\"57b01177-f09e-2135-5169-dccaf65782f0\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\"><strong data-w-id=\"437f9edf-7c78-2bd9-1f93-cdbabfc59a87\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">Tangible<\/strong>: assets that can be touched, i.e. they are physical. Such as, for example, a truck or machinery.<\/li>\n<li data-w-id=\"07a26d5f-c72a-55a1-5e3b-ccb7f061dce0\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\"><strong data-w-id=\"9f8c25dc-332e-a695-ee2a-d77f4964f3c6\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">Intangible<\/strong>: in this case it cannot be touched, such as, for example, a company&#8217;s brand.<\/li>\n<\/ul>\n<h3 data-w-id=\"7cf3a10c-54a7-ff96-5932-da5f3d8bd1e9\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">ACCORDING TO THE DEADLINE<\/h3>\n<ul role=\"list\" data-w-id=\"a1ad678d-913e-b05d-19aa-fbf8b1946f88\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">\n<li data-w-id=\"41cae9a0-c9c4-8d0a-ae47-95f529a9c6ad\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\"><strong data-w-id=\"889c704b-1616-20f4-4a6f-df0809b3d451\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">Short term:<\/strong> the main objective should be short term, normally within one year.<\/li>\n<li data-w-id=\"00ad8179-597a-e012-a089-8d4b1dd9f767\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\"><strong data-w-id=\"c90606cd-a43b-5fe3-23f3-efd3f1aed2f6\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">Long term: <\/strong>it is invested with a profit projection of several years.<\/li>\n<\/ul>\n<h3 data-w-id=\"f33ed613-b025-1abc-2f0f-4d498cece1a5\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">ACCORDING TO THEIR FUNCTION<\/h3>\n<ul role=\"list\" data-w-id=\"07d60cc4-402d-2808-a31a-de6951bca925\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">\n<li data-w-id=\"9ced1d58-b6b7-ad77-c880-36ef6162ed68\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\"><strong data-w-id=\"c8b14f02-0a0a-dc96-ac4f-c699b74723fb\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">Fixed capital:<\/strong> assets held by a company for the long term, which are expected to be used within one year of purchase. For example: land, properties, etc.<\/li>\n<li data-w-id=\"0b4e263a-aee7-c078-cc86-fe373b97bf01\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\"><strong data-w-id=\"89eb651e-7b7f-df4a-d03c-1757a622854a\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">Venture capital:<\/strong> funds where investors have instruments or transactions with a high risk to develop a higher return or profit than normally sought. Because they seek results above and beyond the norm, they end up being called &#8220;risky&#8221; because they take a different course from traditional financing methods.<\/li>\n<li data-w-id=\"ad09b3ba-b607-d400-31c4-47dc9e0c062e\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\"><strong data-w-id=\"8c7d268d-1c6e-aae9-9a86-912d3638cf8d\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">Variable capital<\/strong>: it is the capital that varies according to the number of partners in it and the resources that have been put into it, i.e., the capital stock.<\/li>\n<li data-w-id=\"da17ab4a-626a-24d5-f2c9-800815aa8b69\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\"><strong data-w-id=\"fd6ad1e5-dbcb-8c14-87fa-69820fcbadcf\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">Financial capital<\/strong>: the value of short-term investments in the form of stocks, loans and other assets. Moreover, they are usually carried out by other institutions.<\/li>\n<\/ul>\n<h2>What is a company&#8217;s equity?<\/h2>\n<p data-w-id=\"e1a84240-a0d9-b8ae-2fa8-5cc53ba8687a\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">Let us say that capital is goods or instruments whose purpose is to finance other goods or services. Therefore, the main objective is to <a href=\"https:\/\/www.orama.ai\/academy-tesoreria\/por-que-la-caja-es-mas-importante-que-el-beneficio\/\" target=\"_blank\" rel=\"noopener\" data-w-id=\"9d150675-18d1-27ba-db21-a06884eb6f2a\" data-automation-id=\"dyn-item-post-body-input\">make a profit <\/a>from a productive activity in order to invest the money. In addition, capital is used to generate more value.<\/p>\n<p data-w-id=\"2d963335-0b9d-a316-f792-827ec12a2a33\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">With <a href=\"https:\/\/www.orama.ai\/producto\/\" data-w-id=\"36ee8685-f80e-9e50-88b9-29925e3bb135\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\">Orama,<\/a> you will be able to analyze your company&#8217;s cash flow and find out if you will have<a href=\"https:\/\/www.orama.ai\/academy-tesoreria\/prevision-financiera-para-empresas\/\" target=\"_blank\" rel=\"noopener\" data-w-id=\"01407657-e5d5-4972-80de-def41cb7359d\" data-automation-id=\"dyn-item-post-body-input\"> financing needs <\/a>.<\/p>\n<p data-w-id=\"8cffe2fc-cc79-e6b8-1f5d-bec06bf0dd4b\" data-wf-id=\"[\" data-automation-id=\"dyn-item-post-body-input\"><a href=\"https:\/\/www.orama.ai\/demo\/\" target=\"_blank\" rel=\"noopener\" data-w-id=\"53272b6e-56d7-fd33-1fb6-2e7109e5793e\" data-automation-id=\"dyn-item-post-body-input\">Book your demo<\/a> with one of our specialists.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Discover the types of capital a business can have. In Orama we show you everything related to the capital of your project.<\/p>\n","protected":false},"author":1,"featured_media":21568,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"content-type":"","inline_featured_image":false,"_joinchat":[],"footnotes":""},"categories":[156],"tags":[],"class_list":["post-21676","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-treasury","sala-blog-boxed"],"_links":{"self":[{"href":"https:\/\/www.orama.ai\/en\/wp-json\/wp\/v2\/posts\/21676","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.orama.ai\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.orama.ai\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.orama.ai\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.orama.ai\/en\/wp-json\/wp\/v2\/comments?post=21676"}],"version-history":[{"count":3,"href":"https:\/\/www.orama.ai\/en\/wp-json\/wp\/v2\/posts\/21676\/revisions"}],"predecessor-version":[{"id":23894,"href":"https:\/\/www.orama.ai\/en\/wp-json\/wp\/v2\/posts\/21676\/revisions\/23894"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.orama.ai\/en\/wp-json\/wp\/v2\/media\/21568"}],"wp:attachment":[{"href":"https:\/\/www.orama.ai\/en\/wp-json\/wp\/v2\/media?parent=21676"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.orama.ai\/en\/wp-json\/wp\/v2\/categories?post=21676"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.orama.ai\/en\/wp-json\/wp\/v2\/tags?post=21676"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}