Everyone has heard the get rich quick line. Unfortunately, very few times in life do get rich ideas come to fruition. The truth is that the majority of time the way to gain wealth is by working hard and making smart investments and choices. This is especially true when the money is coming from your own business you worked so hard and long to achieve.
Investing does not have to be intimidating nor daunting. However, it does take a lot of research and deciding on how to best spend your money and grow your business. Whatever is the best route for your particular company and situation, be sure to keep track of your accounts and investments. With some high risk and low risk investment choices available, here are some of the low risk investments to consider.
Pay off your debt
Paying off debts may not be the first area that comes to mind when considering investment opportunities. However, lowering debt is one of the best ways to give yourself the opportunity to invest your money. Debt money is not only money taken away from your business, but the interest incurred substantially lowers your potential for business growth. Having debt is a vicious cycle that can be detrimental to a business's success. One of the top priorities for entrepreneurs should be to try to pay off company debt. Your money is better suited for high interest yielding investments, emergency funds or direct improvements to your business.
Invest in your business
Every business needs equipment and manpower to keep it running to its full power. It is important to invest in things that will help your business grow without going overboard. Evaluate weather your business would benefit from hiring a part-time worker to find new jobs or clients. Don’t hesitate to weigh your options and look at the cost of employees versus potential income through new business opportunities.
U.S. Treasury Securities
Small business owners who may be new to investments or are uncomfortable with high risk investments might want to consider securities through the U.S. Treasury Department. Market swings can be quite unpredictable and for many individuals the stress of it can be too much to handle. However, with U.S. Treasury Securities your principal is protected. Maturity dates range from 30 days to 30 years, which gives investors numerous options. A U.S. Treasury Security makes for a stable and safe investment to help grow your business.