Invest Your Money Wisely
After building a habit of saving and controlling your income, you are finally ready to invest. This financial achievement is a good starting point for future millionaires.
Investing is the next step to riches. Investments allow your money to grow faster. This growth, however, takes time. During this period, you still need to keep adding to your savings purse.
Reserves and money in your account are a financial comfort zone. In Richest Man in Babylon, George Clason talks about how savings make owners feel content. But it doesn't bring them any other value.
There are many forms of investing. George references giving someone a loan. Today, banks, credit unions, and money trading services take on lending responsibilities. They will then offer you investment portfolio options.
You only need to review risk levels, requirements and rates of returns to choose a portfolio. Plus, other forms of investments, such as real estate, exist to suit different people.
George goes further to explain that true richness doesn't come from savings. Wealth occurs when your income brings in money whether you work, sleep or travel.
He knew that if you saved and budgeted, your humble earnings would continue to feather your purse. But having your saved money work is the best way to build wealth. This is because saving is linear and investments allow for exponential growth after some time.
This article is part of our Business Coaching blog series. At Dataczar we talk to a lot of small businesses. We’ve found a few books that we keep recommending time and again. To better help our customers, we’ve added a Reading List for Small Businesses to our website. We encourage every small business owner to read and keep these timeless business books on their office shelf.