How to Invest your Money and Build A Business

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What is the Best way to invest your money without risk? One of the business challenges facing entrepreneurs is that of raising capital. Yet, it may surprise you to know that there are individuals with excess money; looking for what to invest in. Now how do I know this? I know this because I receive tons of emails from people asking to know what sort of product or business opportunity to invest in. Examples of such questions are: What is the best investment opportunity with the highest return on investment? I have Le50, 000,000.00 in savings; what business should I start? I am a student and I have an extra Le3, 000,000.00. What is the best way to invest this money? Well, this article is an answer to these questions. Regardless of the amount of money you have; I am going to tell you the best way to invest your money with minimal risk and build a business. Before I proceed, I want to make it clear that there is risk involved in any business or investment opportunity. There’s nothing like a risk free investment and if there is; the returns will be nothing to write home about. Now how do you invest your hard earned money without losing sleep? Invest in yourself first Yes, the very first investment product you must invest in is yourself. Investing in yourself means getting the necessary education regarding a particular investment. It involves increasing your financial intelligence and IQ. Today, I see people jumping into the stock market and real estate market without proper education. Everyday, I get tons of mail from people asking for my opinion about a particular investment product and my reply always is: how well do you understand the investment? What my question simply means is how much education do you have about the investment you are about to make. “It’s not gold, silver or real estate that makes you rich; it is what you know about gold, silver or real estate that makes you rich.” Robert Kiyosaki Don’t ever get excited about a business opportunity or investment product without first understanding it’s in and out. Always remember that the best investment is an investment to increase your financial intelligence. The higher your financial IQ, the more sophisticated you will become with respect to analyzing investments. So always invest in yourself first. 2. Start a business Starting a business is the next best way to invest your money especially if you are starting from scratch. I once wrote an article explaining in detail how to become a millionaire starting from nothing and my stand here still remains the same. If you are starting out with little or no money; then investing in building a business is your best investment, that’s after you have invested in getting the necessary street smart education. Most people are obsessed with the investment product or business and procedure without having the right plan in place. I want to thank Robert Kiyosaki world best seller of the book Rich Dad Poor Dad, for expanding my insights on this topic. He made me understand that more important than an investment product is a plan. Just as starting a business requires a business plan; so also does investing requires a plan. If you have no written plan on how to invest your money; forget about investing. Now before you rush into investing your money in any investment product, I think it’s worthwhile you read the following tips on the best investment product to invest your money in. What should you invest in? 1. Invest in something you understand There’s a strong inter-relationship between business and investing. Just as it’s advisable you start a business with a thorough understanding of the industry you are going into; the same is applicable to investing. Sometimes I find it funny that people actually start a business or buy an investment based on the recommendation of a friend or their financial adviser. Others invest in an investment product just because someone succeeded with that same product. Sincerely speaking, I believe this approach is wrong. Understanding is vital to any endeavor you find yourself in life including investing. Don’t jump into any investment; be it stocks or real estate without first understanding the intricacies of such investment. Lack of understanding is the primary reason why investors panic in an economic downturn. With understanding, you will be able to maximize your profit; manage risk and minimize your loss in any investment. 2. Invest in something you are passionate about Do you know why Warren Buffett emerged the world’s richest investor? Or Donald Trump the biggest real estate developer in New York City? The answer is that they are both passionate about their chosen investment field. You have to be passionate about investing to get the best out of it; you must love the game regardless of whether you win or lose. Never invest in something you are not passionate about; you will only end up with heartache. 3. Invest in something you are willing to learn through Life is a teacher; the more we live, the more we learn. The only thing constant in life is change and in the world of investing; such change occur very rapidly. Now how do you stay in control when the tidal wave of change comes? How can your investment strategy stay relevant in times of change? The answer lies in continuous learning. Investing is like a rapidly flowing river and to stay on course; you have to be on the edge, ever ready to learn. Never invest in something you hate learning about; no matter how lucrative it may be. If you find reading annual reports boring; or you hate charts, math, calculations and all the jargons associated with technical analysis, then stay away from stocks. If you hate fixing toilets; then stay away from real estate or better still, partner with someone who loves fixing toilets. The lesson I am trying to emphasize here is this: never invest in something you are not willing to learn through; period. 4. Invest in something you are willing to stick with For everything there is a season. Business and investing has its good time and bad time; highs and lows. If you are not persistent enough, you will give up. So before you commit your money to any business idea or investment; be sure you are prepared to follow it through to the end, which might lead you to either losing your money or making some profit. Never invest in something you are not willing to stick your neck with. 5. Invest in something you have control over Lastly, control is one of the most important criteria every successful investor looks out for in an investment. Never lose control of your investment because control is essential to risk management. The reason I chose building a business as my best investment opportunity is because I have absolute control over it. I can increase my sales, control my cash flow, adjust my liquidity ratio, and sell the business or hold. I equally know the necessary buttons to press to increase the value of my business if ever I decide to sell. That’s the power of control. I know a lot of investors who have conceded their power of control to stockbrokers, fund managers, financial advisers and analysts. Don’t do the same. As a final note, never rush into any investment or get rich quick scheme before first considering the above points. Take your time. Ask people who are doing the same thing you want to do. Learn from them, ask them questions and most importantly start small and grow. ANNOUCING ANOTHER FREE BUSSINESS AND LIFE GUIDE TO ALL OUR READERS: HOW TO OVERCOME CHALLENGES AND ACCOMPLISH ANYTHING IN LIFE. To receive this free e-manual via your email please send your full name, email address and mobile number. John F Fowler .MCIM, is an International marketing and business consultant, Motivational/Empowerment speaker and Author. He is currently the founder and president of Trinity Empowerment Center a non governmental organization with a vision to empower youths in starting and sustaining small businesses in developing countries. For comments or questions send email to [email protected], or [email protected]

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