You need money to invest, you can get investment funds through inheritance, by selling your assets, by getting a loan, or by saving. For most people, the only way to build investment fund is through saving. Saving is the first step for most people before they can even think about investing. Saving means putting aside money regularly. For those with limited income, regular saving is crucial. If you have saving, even a small amount, you can start investing through crypto or micro-investment platforms. Small investment might not be helpful but if you invest regularly or compound your profits, you can build wealth over time.
The Importance of Saving Before Investing
- Thread starter nomad
- Start date
There are people that earn low amount and their savings after removing expenditure is nothing to bank on at all, it's better for them to get loans but from families or friends so the pressure won't be too much on them.
- Thread starter
- #5
Investing through a loan is not a good idea. What if you end up paying more interest on your loan compared to the profits you are making from your investment? If you have regular income, you can of course start saving.
For me before going into any kind of investment, I always save. Cause to begin with I do not have any extra funds out there that I plan on using for the investment, so I always save something aside for an investment and so I do not end up spending everything I have at a go.
Getting loans isn't advisable at all and that was why I mentioned from friends or family members as that won't attract interest and there will even be enough time and even without pressure to pay back the money.
That was how I started my business to save first and after I saw my savings good enough to start that's the time that l felt aggressive to invest. The best part was the encouragement I got here from topics about business and investment. It's good to explore.
It's inspiring to see how you took the initiative to save up and then had the confidence to invest in your business. It's great that you found encouragement and valuable insights from the discussions on business and investment forums. May your business continue to thrive!
Thank you so much for your nice thoughts on my business, I am hoping that it goes smoothly as months go by. I do not know others' minds. They might want to compete me. If that happens, I have to innovate things in my business.
It is a good advice. As someone with a limited income, I always prioritize saving so I have money available for investments.
You have a point. That is why we need to find a good bank that can offer good services and schemes. In this way, many bankers can gain more clients.
