Legal Definitions - capital outlay

Definition: Capital outlay refers to the money spent on acquiring, equipping, and promoting a business. It is a type of capital expenditure.

Examples:

• Buying new equipment for a manufacturing plant
• Constructing a new building for a business
• Investing in marketing and advertising campaigns to promote a product or service

These examples illustrate how capital outlay involves spending money on assets that will benefit a business in the long term. By investing in new equipment or a new building, a business can improve its operations and increase its capacity to generate revenue. Similarly, investing in marketing and advertising can help a business attract new customers and increase sales.