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Gaining Equity

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In accounting and finance, equity is the residual claim or interest of the most junior class of investors in assets, after all liabilities are paid. If liability exceeds assets, negative equity exists. In an accounting context, Shareholders' equity (or stockholders' equity, shareholders' funds, shareholders' capital or similar terms) represents the remaining interest in assets of a company, spread among individual shareholders of common or preferred stock.

At the start of a business, owners put some funding into the business to finance operations. This creates a liability on the business in the shape of capital as the business is a separate entity from its owners. Businesses can be considered, for accounting purposes, sums of liabilities and assets; this is the accounting equation. After liabilities have been accounted for the positive remainder is deemed the owner's interest in the business.

This definition is helpful in understanding the liquidation process in case of bankruptcy. At first, all the secured creditors are paid against proceeds from assets. Afterward, a series of creditors, ranked in priority sequence, have the next claim/right on the residual proceeds. Ownership equity is the last or residual claim against assets, paid only after all other creditors are paid. In such cases where even creditors could not get enough money to pay their bills, nothing is left over to reimburse owners' equity. Thus owners' equity is reduced to zero. Ownership equity is also known as risk capital or liable capital.

From Wikipedia under the GNU Free Documentation License
Fri Dec 2 14:09:29 2011

Noun

equity (countable and uncountable; plural equities)

  1. Ownership, especially in terms of net monetary value of some business.
  2. (law) A legal tradition that deals with remedies other than monetary relief, such as injunctions, divorces and similar actions.
  3. (law) Value of property minus liens or other encumbrances.
  4. (accounting) Ownership interest in a company as determined by subtracting liabilities from assets.
  5. Justice, impartiality or fairness.
References
  • equity” in the Online Etymology Dictionary, Douglas Harper, 2001

From Wiktionary under the GNU Free Documentation License
Fri Dec 16 08:36:56 2011


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www.navyfederal.org
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Sat Oct 15 16:02:04 2011

UNICEF: Progress on the Millennium Development Goals, with equity, in Nepal
3 min., 26 sec.
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UNICEF: Progress on the Millennium Development Goals, with equity, in Nepal

Fri, 24 Sep 2010 08:27:29 PDT

www.unicef.org dadeldhura district, Nepal, 24 September 2010 -- From a distance, perched on a pretty Himalayan hilltop, Shiradi village looks like ...

Making Money from Stock Market by Intra-day Trading in Equity Shares
14 min., 24 sec.
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Making Money from Stock Market by Intra-day Trading in Equity Shares

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From Google Video Search: "gaining equity"
Sat Oct 15 15:57:59 2011

if you buy a preforcloser and sell it and made a lot of money from the equity is capital gain tax the same?
Q. if you bought a distressed house and sold it? is capital gains 15% in southern claifornia? for having it less than 2 years.
Asked by beach_babe971 - Fri Mar 9 03:29:12 2007 - Renting & Real Estate - 2 Answers - Comments

A. capital gains is federal tax, though ca probably has their own too. owning less than 18 months is taxed as normal income, so whatever your tax bracket ends up being, not just a flat 15%.
Answered by Yanswersmonitorsarenazis - Fri Mar 9 04:50:56 2007

what is the most affordable way to live in san diego?
Q. i was offered a job for $85,000 in san diego. if i rented i san diego for $500 including utilities, would it be a logical to purchase property in Chicago (where im from), since its much more affordable, and rent out the property to cover my cost of living in SD? I would be able to take a tax credit, gain equity, and be able to expense travel to chicago to check on my property on my taxes. any thoughts? update: i saw craigslist ads for 500ish from people looking to rent out rooms in their homes; i assume to cover the high cost of housing. i expect to work long hours, so im not looking for a lavish place to stay, just sleep. my accountant says travel to chicago can be a writeoff as a business expense since i already own property in chicago.… [cont.]
Asked by malabarcoast - Tue Apr 4 16:40:20 2006 - Financial Services - 3 Answers - Comments

A. It is relatively expensive to rent in San Diego, I know a lot of people living with roommates who are paying more than $750 each. I do not see how buying property in Chicago could help you out. I would invest the money and look for an opportunity to purchase a property in San Diego, but you will be shocked at how much property costs here. You might want to find a roomate as soon as you can upon moving here, try Craigslist for San Diego as a start. If you attend church, you can often find rooms for rent on a bulletin board there. Good Luck.
Answered by jstmother - Wed Apr 5 00:11:20 2006

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Sat Oct 15 15:58:00 2011


With a Little Help, East London Embraces Tech
New York Times
With a Little Help, East London Embraces Tech
Mon, 05 Dec 2011 16:14:05 -0800

The city has also been gaining ground on Britain's most established start-up cluster, in Cambridge, which has fed off its university to churn out successful tech companies like the chip designer ARM Holdings and the business software company Autonomy. ...
Private equity , Chicago style
The Daily Deal
Private equity , Chicago style
Mon, 28 Nov 2011 10:44:27 -0800

Younger principals, with no direct links to the original three institutional wellsprings, are gaining ground. New firms are forming, some of which come from entirely different traditions, including hedge funds. "It's hard to isolate whether the ethos ...

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Tue Dec 6 10:57:25 2011

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2011-08-15 09:59:58

The company made a return on asset of 3.45% in past twelve months and return on equity of 6.22% for similar period. In the period of trailing 12 months it generated revenue amounted to $160.54 million gaining $2.37 ...

3 OTC Stocks gaining Ground; Jammin, Sino-Forest ... - Beacon Equity
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3 OTC Stocks gaining Ground; Jammin, Sino-Forest ... - Beacon Equity

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2011-06-08 16:32:49

Shares of Jammin Java Corp. (OTC: JAMN), a provider of premium roasted coffee, are climbing in today's trading. The penny stock reached a high of $2.24 in early trading, and at last check, it was up 6.19% to $2.23, ...

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A VC: The Carried Interest Tax Debate (continued)
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A VC: The Carried Interest Tax Debate (continued)
I was reviewing my Lijit stats just now. I wish I could link out to them so you can see them. I had the search term tag cloud up for a while but I felt a little foolish ...
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Gaining a competitive advantage
russell.com
Gaining a competitive advantage
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Private Equity @ DeepDiscount
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