How to Start Investing Today With the Money You Spend Right Now

Many people enter a job market right after school and jump right into life feet first. Money comes in from a job, then goes right out to liabilities, food, entertainment… all necessities and pleasures in life. This is often called being stuck in a “rat race”. Every month is the same thing… money comes in, money goes out. Once you’re stuck in it, it’s very difficult to get out. But not impossible.

Now, money you make in your job is dependent on your ability to perform a task or function and amount of time put into that task or function. Essentially, it is trading time for money utilizing a learned skill. But this can’t possibly go on forever, can it? What happens when you get too old to perform these same tasks required for a job?

Unfortunately, for some people it goes on for a very long time. And when people who don’t invest in things that will bring in income whether they work or not can’t work any more, they don’t have anything to help them live as comfortably as they are today.

Until most people get into a career job that offers good benefits (including a 401k), money is rarely put toward investments. Money is made and spent as fast as it’s made, giving a person necessities and comforts of life at the time – and then some, but not allowing much for a prosperous future once job income stops.

Everyone at some point in their life must face the reality that a job is not going to give them everything they want or need in life – especially a life after retirement age. Investing is something best figured out early in life.

To understand how important investing is, you must first understand what investing is. An investment is a method of making money from a one-time effort. Sometimes this effort can be intense and take some time, but it can provide income for many years to come without having to put forth that same effort or time.

If you do a bunch of research to buy a house to use as an investment, you only have to do that research one time. Once you buy an investment, it will make money for you with very little effort. If you write a book and put it on a website to sell, you only had to write a book one time and it will make money for as long as it is active on the website or in a book store. If you research a company stock and find a perfect one, investing some money in it, money then starts doing work and making money without you having to do anything.

These are just simple investment examples that do take some effort. The point is that making money from investments is a lot easier than making money at a job if you know what you’re doing. A huge difference between an investment and a job is how much time and effort someone has to put into making money. Cool thing about investing in the stock market (whether it be traditional buy/hold/sell trading, 401k investing, or options) is that you only have to learn how to do it once, keep repeating what you learned, and let each dollar you invest do all of the rest of the work for you so you can enjoy life as it was intended.

Of course there is one HUGE problem that everybody faces before they can invest. Where do you get money to use to make money? When living life in a “rat race”, you eventually get caught up in an impossible circle that is very hard to get out of.

Don’t worry!

You have money… you just don’t know it yet!

There are ways to make a few changes in your life to start building up “capital” for investing – no matter what type of investing you are looking to start. It will be slow at first, but it will definitely morph into something you won’t believe possible.

One way to build up investment capital fairly quickly is opening a “Round Up” Savings Account. This type of capital growing account actually helps you save and build money based on your every day purchases. You attach your checking accounts or credit cards that you spend money on to your Round Up account and for each purchase you make, this account rounds up to the nearest dollar and deposits that rounded up cash into an investment platform that helps your savings grow faster. Not much work, is it? This special investment account does the rest.

For example, if you spent $20.57 on something, it rounds that up to $21.00. The round up, or $0.43, is placed in your account which is divided among several stocks based on account settings.

If you make 50 purchases from your checking account in a month averaging $0.35 a round up, you will save $17.50 in that month. That’s $210.00 in a year saved just by rounding up these purchases.

Money invested in this round up account goes up and down with stock market movement. At 5% gain in a year, it will go up by $10.50 more. And some stocks that your money is invested in earn dividends that are automatically reinvested into your account.

This doesn’t sound like much, but over time, it will continue to grow. This is an investment in itself and can grow pretty fast if you are consistently adding to it. If you have extra money you’d like to save during a month, you can also make deposits to apply them to your account to grow your account even faster.

A Round Up Savings Account is simply a stepping stone to get you to a higher level of investing, which can be a stock trading, option trading, a retirement investment account, real estate, or anything else you can invest that money in to make more money.

Once you build up some good investment capital in your Round Up account, you can withdraw it whenever you want and use it to purchase assets (things that earn you money – unlike liabilities) or to invest in stocks to make even more money over time.

Raise Capital With Private Investors

If you have launched your own startup, your first biggest challenge is to raise capital. Fortunately, you choose from a lot of options to raise the funds your business needs. Among all the sources, crowdfunding is one of the best ones as it helps redefine how startups can get off the ground. In this article, we are going to help you know the benefits of raising capital with private investors through a crowdfunding platform. Read on to find out more.

Benefits of raising capital with private investors

1. Funding is not equity-based

First of all, crowdfunding is not necessarily equity-based. Although startups have the liberty to use the equity in order to catch the attention of potential investors, It’s not required to give up ownership to collect capital.

The good news is that some platforms allow their members to apply a reward-oriented approach in order to raise capital. For instance, if your business deals in a specific product, make sure you hand over a few units to your prospective investors before you roll it out for the ultimate users.

2. Attracting potential investors is easy

With crowdfunding, you can attract a lot of potential investors without putting in a lot of effort. Although you can try for angel investors, keep in mind that this process can cost you a lot of time. The reason is that you will have to pitch your small business concept several times.

On the other hand, if you use a crowdfunding platform, you will have to post your business pitch in only one place. And this page will be ready by hundreds of investors from across the globe.

These platforms have a lot of useful features that may help startups collect funds from investors. So, attracting potential investors and raising capital will be much easier using crowdfunding platforms.

3. Higher visibility

Crowdfunding can help you make your startup more visible. Since marketing may consume a large chunk of your budget, it makes sense to use a crowdfunding platform instead. For potential investors, it’s easy to fund a crowdfunding campaign.
And these activities can help boost the visibility of your brand. Plus, you can also attract investors for your next funding rounds.

The Bottom Line

If you want to raise funds for your startup, crowdfunding can be the best choice. All you need to do is become part of a crowdfunding platform and you will be able to tap into the pool of potential investors. And this will help you kick start your business and make it a success in the industry.

The Various Types of Financial Tips for Startup Companies

Getting funds is considered to be one of the challenging problems that a business owner has to face while starting a business. Most startup companies require a small amount of money for its initial operation and it may happen that may not have the necessary funds in their hands that they need to launch their businesses. However, lack of money does not mean that you have to compromise on your dream. Whether you wish to follow the conventional route or you wish to try out an innovative process, you should follow a few essential tips to get money for your startup company.

Secure loans offered by the Small Business Administration

The business owners can secure the loans offered by the Small Business Administration to meet the financial requirements necessary to begin their business activities. Two popular categories of loans are 7 (A) programs and 504 programs. The 7 (A) programs can be acquired for buying machines as well as refinancing the current debts. However 504 programs are used for different activities such as construction, renovation as well as purchase of properties or devices.

The SBA plays the role of a guarantor and it allows you to acquire necessary loans, especially when you are unable to possess properties for mortgage purposes. Plus, these funds can be acquired quickly and easily. This quick loan processing is important for the business owners who depend on these funds for all sorts of business requirements.

The borrowers who have poor credit histories such as bankruptcy, late payment, insolvency can secure these funds. In fact, the funds offered by Small Business Administration help them to improve their credit scores to a great extent.

Sell your products beforehand

Selling the existing products is an effective way of increasing financial options that are necessary for starting the business. There are a few companies that have shown the capacity of selling their current products prior to the scheduled time and raising a huge amount of money for their business activities. This type of business methodology allows them to draw traffic to your business website, increase the number of followers on social networking sites and even offer valuable discounts to their customers from time to time.

Make use of the credit card payment option

If you wish to launch a startup company and you do not have a huge amount of money in your hand, then you can use your credit card and you can make payment without any sort of difficulty.

Take help from friends as well as family members

If you find a friend who is willing to spend some amount of money, then you can consider it to be a good way to get necessary fund for your business. Borrowing money from a friend or from a relative is considered to be an alternative financing option for you. You can avoid all types of hassles that are associated with the conventional loan application process. If you approach your closed relatives or friends to offer financial support for your business or if you communicate them about the progress of your business, you have better opportunity to maintain good relationship and to run your business successfully.

Money Transfer Services To Send Money To Your Relatives Speedily

Back in the day, people used the postal services in order to send across checks to their relatives or to service providers. Whenever someone needed to send money, it would take time for it to reach the concerned persons. When you are able to make payments instantly, it carries a number of advantages over writing checks and waiting for the other person to pick them up.

Speed

One of the most significant benefits of money transfer is the speed of the transaction. Checks can take more than a week or two to get processed. Transferring money, on the other hand, takes just a day or two to process. The speed at which financial transfer transactions take place make it easier for people to manage their finances better and pay their bills on time. You can easily avoid late charges, when you send the money across the speedier way.

Security

It can be risky to send a check via postal mail. Sometimes, the check can either get lost or get stolen on its way to the recipient. If the check is lost in the mail, then you could have to pay late fees and charges even though you try to convince the creditors that you did try to make payments on time. If the check gets stolen, it can result in consequences that are worse than that. The thieves could easily gain access to your account number and routing number. With that information, they could possibly even drain your bank account of all the monies. When you use cash transfers in place of checks, these problems can be easily prevented.

Flexibility

You can easily have several accounts and set up a special account to move your money back and forth or to send money to another person. Even though it can take a lot of time for the account to get verified and set up, you can initiate money transfer within a matter of a few seconds when you finishing setting up your account. This makes it easier for the money to circulate around and in case one needs to make a major purchase. It would also be possible to take advantage of the higher interest rates in case of a cash transfer and make sure funds are available in your special account in case of a financial exigency. Cash transfer is as simple, easy to handle, and as flexible as that.

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