Capital Stack
Formula / Structure: Hierarchy: Senior Debt (Lowest Risk/Return) → Mezzanine / Subordinated Debt → Preferred Equity → Common Equity (Highest Risk/Return)
Plain Language
The hierarchy of different sources of capital funding a business or project.
Literal Meaning
Ground Reality
Decision View
What It Is Not
[object Object],[object Object]
Practical Leadership Questions
- [object Object]
- [object Object]