undercapitalize

especially British, un·der·cap·i·tal·ise

[uhn-der-kap-i-tl-ahyz]

verb (used with object)

undercapitalized, undercapitalizing 

1. to provide an insufficient amount of capital for (a business enterprise).

undercapitalize

/ ˌʌndəˈkæpɪtəˌlaɪz /

verb

1. to provide or issue capital for (a commercial enterprise) in an amount insufficient for efficient operation

Other Word Forms

• undercapitalization noun

Word History and Origins

Origin of undercapitalize¹

under- + capitalize

Example Sentences

The combined capitalization of these companies is $957,843,750, but as it has until very recently been the policy of Standard Oil to undercapitalize, its actual resources are considerably in excess of this sum.

From Time Magazine Archive