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  1. Investopedia
    https://www.investopedia.com › terms › undercapitalization.asp

    Undercapitalization: Definition, Causes, and Examples

    • Learn what undercapitalization means and how it affects a company's ability to pay its debts and grow its business. Find out the common causes and examples of undercapitalization and how to avoid it.… 展开

    What Is Undercapitalization?

    Undercapitalization occurs when a company does not have sufficient capital to conduct normal b… 展开

    Investopedia
    How Undercapitalization Works

    Being undercapitalized is a trait most often found in young companies that do not adequately anticipate the initial costs associated with getting a business up and running. Being u… 展开

    Investopedia
    Examples of Undercapitalization in Small Business

    When starting a business, entrepreneurs should conduct an assessment of their financial needs and expenses—and err on the high side. Common expenses for a new businessinclude … 展开

    Investopedia
    What Is Undercapitalization? Causes, Effects and Examples
    However, this strategy has been challenged in courts, even for businesses that are organized as corporations or limited liability corporations. The courts have established a precedent of “pierci…
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