Capital Structure

Capital Structure (Financial Struc­ture)

The balance between the assets and liabilities of a company, the nature of its assets, and the composition of its borrowings. The assets may be fixed (tangible or intangible) or current (stock. debtors, or creditors); the borrowings may be long­ or short-term, fixed or floating, secured or unsecured Ideally the assets and liabilities should be matched. See also GEARING.