SEED CAPITAL

Seed Capital is the starting capital used for a new business which more often than not comes straight from the wallets or the personal assets of the founder of the business. In general, seed capitals tend to be small in amount attributed to the fact that the business is new and is understandably still in the conceptual stage or pre-revenue stage. Seed Capitals are usually spent more in the research, the development, and the coverage for the initial operating expenses until the business begins yielding profit and sometimes appeal to venture capitalists.