capitalize business definition
- To calculate the current value of a future stream of earnings or cash flows. For example, to calculate the current price at which rental property should sell, a financial analyst must capitalize the interest payments and principal repayment that will be made to the investor.
- To issue securities in return for investment capital.
- To take advantage of something. For example, a farmer near a city may capitalize on urban growth by selling farmland to developers for a high price.
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