There are a lot of ways that you can do to make money, but if you’re looking for a way to make money with money that you have now, then I’m glad to tell you that you’re reading the right article.
So, how do you make money from money?
The simple answer to that is you invest your money.
Investing as what most of us know is the act of committing money to gain financial return. In simpler terms, you give your money to an investment that you believe can make money, and give you the best return on your investment.
For you to understand better how to make money with money through investing, here are some examples.
Examples Of How To Make Money With Money
Example 1: Let’s say you have a friend called John, and he has a business of his own, but he needs capital, so he asks you to lend him your money. You agreed to give him $5,000 as your initial investment, and he must return the full amount that you gave to him after a year. Both of you also agreed that John will give 10% of each sales that he makes in his business monthly.
As time passes by, John’s business grew and he was able to sell $1,000 worth of goods each month. He also gave you $100 each month, multiply that by 12 (because in one year there are 12 months), and you got $1,200.
After a year, John also handed you five thousand dollars because that’s what you two agreed on, right?
Add that $1,200 to your $5,000, and you got $6,200 total money. By investing your money to John’s business, you were able to grow your money by 24% within a year. Not bad, right?
If you decided to put that $5,000 in the bank, you wouldn’t be able to get that much return because banks don’t give that much nowadays.
Have you understand now how to make money with money?
If you haven’t yet, here’s another example.
Example 2: What if John is not your friend, and you don’t know anyone who has a business that you can invest on?
No. You shouldn’t worry about that. It’s not that big of a problem really.
You can still invest on big companies like Sony, Google, Apple etc.
Wait. Did you just said that I can give my money to Google or even Apple?
Yes. Yes, you can definitely do that.
You simply invest your money in the stock market. Buying shares of publicly listed companies is one of the easiest way you can make money with money that you have.
There are hundreds, even thousands of companies, that you can invest on if you’d like to invest on stock markets overseas.
So, what are the things you need to start investing in the stock market?
Well, you’ll be needing a stockbroker who will assist you when it comes to buying and selling shares of companies you want to invest on. Of course, you’re going to need money, a thousand dollars would be enough to get you started, but investing more than that is not that bad of an idea.
Oh. Yes. You also need to have enough knowledge on how to become an investor, the dos and donts when it comes to investing, the status of your country’s economy, and many more.
Basically, you need to study a lot before you invest your money in the stock market because there is a possibility that you lose all your investment if you’re going to make stupid decisions along the way.
I already told you a lot about how to make money with money, but you should know this — the quickest way that you can get money is by saving money. It’s possible that you can save money without sacrificing too much, but the best way you can do to save money is to cut down on your expenses as much as possible.
Recommended Reading: Why You’re Having Trouble Saving Money And How You Can Fix It
If you want to, I can still help you save more money because that’s what this blog is all about. You can just read all my articles that intrigues you, or just start from my very first article which is about the 10 must-follow rules when it comes to saving money and navigate up to my latest article.
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