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Overcapitalise (Verb)

Capitalize beyond what the business or the profit-making prospects warrant.

Verbs of size, temperature change, intensifying, etc..

The company may overcapitalise on its initial success and expand too quickly, leading to financial difficulties down the line.
Many start-ups overcapitalise on trendy ideas and struggle to turn a profit when the fad wears off.
When investors overcapitalise a new business, they risk creating an unsustainable financial burden for the company.
Some entrepreneurs overcapitalise on their personal savings, leaving them financially vulnerable if the venture fails.
Venture capitalists often face the temptation to overcapitalise on a promising tech start-up, potentially obscuring its true market value.

Overestimate the market value of; "overcapitalize a property".

Verbs of thinking, judging, analyzing, doubting.

Developers often overcapitalise a renovation project by spending too much on high-end finishes that exceed the area's resale value.
Some investors tend to overcapitalise a rental property with upgrades and then struggle to raise the rent high enough to break even.
Using expensive materials for the renovation was overcapitalising on the project, considering the region's real-estate demands and norms.
Amenities such as indoor pools and soundproof rooms overcapitalise hotels in low-traffic areas and negatively impact their profit margins.
Many buyers end up overcapitalising on their purchases by not factoring in depreciation and total upkeep costs throughout the asset's lifespan.

Estimate the capital value of (a company) at an unreasonably or unlawfully high level.

Verbs of thinking, judging, analyzing, doubting.

The accounting firm was accused of trying to overcapitalise the rival company's assets to make their own financial standing appear more favourable.
Overcapitalising a small business can lead to legal repercussions and damage to one's professional reputation.
The regulatory agency intervened and adjusted the valuation, stating that the financial reports had attempted to overcapitalise the firm's worth by millions of dollars.
If companies deliberately overcapitalise, they can be suspected of attempting to mislead investors or the general public.
During the audit, it was discovered that several major corporations had been found guilty of trying to overcapitalise their revenues for many years.