Why Investing in Small Business is Good for You

Let’s jump right into it – the primary reason any individual invests in a business is for the returns involved. When the chances of those returns being higher than any other investment is substantial, then the impetus to invest in that venture that much more is inevitable. Given the burgeoning start-up scene nationally and globally, it is no surprise that investing in small business is the way to go, especially when you can reap rewards 5x and more than your original commitment to the business. 

But think about the larger picture as well. You are helping a company with much needed capital formation. So many fantastic ideas need your seed money to be able to get off the ground. Imagine the opportunities you are providing by putting your faith in a small business and assisting in its growth, all the while benefitting monetarily at every level of business success. Of course, this growth includes enabling hiring the requisite talent and human resources. So job creation is another aspect of your investment efforts that you may not realize you directly impact. 

A diverse portfolio is another perk you can enjoy being an individual investor in a business. You have the freedom to choose which industries you would like to zone in on, which types of companies you want to invest in, and the extent of your contribution is also yours to decide. Want to stick with an industry you have prior experience in? That’s fine. Or want to learn about innovations in a new area? That works just as well.

The educational element involved in investing in small businesses is often overlooked. Not only is there a learning curve involved in understanding the hows and whys of investing in small business, but immersing yourself in the specific establishment and the larger arena in which it operates can be quite an exhilarating experience. In the process, you also have the opportunity to meet and mingle with other investors that share your interests. Learning and working with other high net worth individuals is beneficial to your future investment strides. Finding yourself amongst passionate entrepreneurs, groundbreaking ideas and a fascinating future adds its own element of thrill, if you are the risk taker that any small business investor should be.

Irrespective of your prior knowledge of the industry or business you choose to invest in, you can be a mentor to many deserving rising starts in the community. This, in addition to your official designation on the Board or advisory committee, as the case may be. If giving back is strongly etched in your conscience then being able to share your business acumen with an up and coming enterprise is a gift they will cherish. In this manner, you will be supporting your thriving local community as well. 

But hold on to those high horses for a second right there! None of this will be possible if you don’t, first and foremost, ensure that you are on the right track with your investment interests. Doing due diligence, mitigating any risks involved, understanding your investment abilities and the establishments to invest in, are all part and parcel of the exercise. 

To help you stay on track, and the right one at that, I am hosting an Angel Accelerator Workshop facilitated by Angel Investor, Serial Entrepreneur, and Global Speaker KP Reddy on June 26th from 10am-1pm at ATDC: Technology Business Incubator. We will show you the 7 critical principles that you must know to go from failure to success when investing in startup businesses. Everything you need to know about small business investing and any concerns you have will be addressed. This is your chance to learn how to make your small business vision a dream come true. If you believe that small business investment is integral to every portfolio and want to learn how millionaires evaluate small business deals, this is where you will learn.

Additionally, we are offering an investment thesis review. (If you are unaware of the term, then you positively must attend this informative workshop.) We will provide recommendations on your document as well as workable tips on how you can achieve the goals you want. Register with us now!

###

Roshawnna runs a free weekly business surgery conference call, where business owners can call in and ask almost any question they can think of in order to improve their results.  If you would like to attend, just click here and you will be sent all of the dial-in details.

For those business owners who need help right away, it is also possible to book a free consultation specifically designed to identify and fix at least one problem in your business, just go through to this booking page to reserve your time slot.

Also, if you would like to ready my regular posts then please click ‘Follow’ and feel free to connect via Twitter, Facebook, Instagram, and Novellus Financial.

Here are some other recent posts I have written on LinkedIn:

• My Worst Entrepreneur Mistake: Mistaking Compassion with Compatibility
• Best Business Advice I Learned from Kat Cole
• Creative Ways that Entrepreneurs Can Give Back
• Lessons I learned From John Hope Bryant
• So You Made it To Another Year in Business – Now What?
• Why Everyone Should Take A Mini-Retirement
• How Fitness Helps Balance and Finances
• How to Avoid Common Solopreneur Mistakes
• Why Vision Boards a Necessity for Entrepreneurs?

Dr. Roshawnna Novellus is a financial strategist that works with driven, ambitious, forward thinking entrepreneurs in technology, real estate and creative arts. She helps these entrepreneurs attract investment, sustain revenue and profit, and optimize ROI on products and services. For more information, schedule a time to speak with her directly here.