Cash in on small business: when to quit and become the boss
It depends on what the goals are and what level of revenue you are generating. Small business can also become large businesses. First I would have you calculate your worth per hour in your current field. Let’s use the classic example of a laundry mat. A laundry mat may generate a 50% profit. On average it is 30% to 40%. They have low overhead and maintenance costs but expensive utility bills. Thought to be resistant to poor economic conditions. You would need to watch out for competitors moving in to the area. The population of the area may reduce or move. More to consider….. The purchase of a laundry mat can occur with owner financing, business loan, or other funding. Business loans can have large interest rates eating away the profit you may obtain. Some would argue to get business partner funding or owner funding. Owner funding usually requires some…
How to fund your life in the future
Exchange traded funds vs mutual funds What they have in common: They can be in cash accounts or retirement accounts. They hold a variety of stocks/bonds/commodities etc. Where they differ: ETFs: Generally follow the trend of earnings of an index such as S and P 500. Can be actively managed or passively. Have lower costs. Have lower taxation only when sold. Transactions are between stockholders and buyers not managers of the fund. Traded on the exchange. Options can be done. More liquid investment. Can be traded quickly. Have leveraged etfs that perform better than the index fund by using margins. Can specify investment industries. Have not been around as long as mutual funds. Mutual funds: Generally managed. Higher cost. Not always follow indexes. You buy in and it is not as liquid. Takes longer to get cash out. Gets taxed by capital gains. Not traded on exchange. No options. No…