committed capital
nounUK /kəˈmɪtɪd ˈkæpɪtl/
US /kəˈmɪtɪd ˈkæpɪtl/
Money that people promise to give to a group or business when it is needed.
The investors' committed capital will be used to build the new factory.
OTHER MEANINGS
2. In private equity, the total amount investors agree to provide to a fund over its life.
The fund has committed capital of $500 million, drawn down as deals are made.
3. The portion of an investor's pledge that has been formally promised but not yet paid.
Committed capital differs from paid-in capital, which is money already transferred.
4. Resources a company sets aside and promises for a specific project.
The board approved committed capital for the new research lab.