Words / U / Law

undercapitalised

/ˌʌndəˈkæpɪtəlaɪzd/

C2CEFR level
82/100Rarity: very rare
TechnicalRegister

Law adjective

Having insufficient capital to meet the ordinary demands of a business or to absorb foreseeable losses.

The subsidiary was chronically undercapitalised, leaving it unable to withstand a modest downturn.

Topic: Insolvency & restructuring in Legal English

Business adjective

Lacking sufficient funds to sustain or grow operations.

Brilliant but undercapitalised, the startup folded just as demand began to surge.

Topic: Entrepreneurship & startups in Business English

Rarity runs from 0 (a word everyone knows) to 100 (almost never seen outside specialist or literary writing). Level is the word's real difficulty on the CEFR scale, from A1 to C2.

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More law words: Insolvency & restructuring