Internal Rate of Return (IRR)
Return on Investment (ROI)
Payback period
1) You can save money for your future.
2) Your money grows at a good rate when compared to the inflation rate.
Investing is the process of making your money work for you, instead of simply sitting safely in the back, and it is increasingly a necessity of modern life. It is frequently no longer possible for an individual to work in one job all their life and retire on their pension.
Scenario
Restaurant - Lack of creativity this is a major problem. Every restaurant will inevitably encounter problems that seem to have no solutions. The ability to come up with creative solutions to these problems must be a routine part of running a restaurant.
Banks- Low interest rates present a substantial problem for bank earnings.
Bars- Talk to the bar
Lots of people endure noise from nearby bars, but never take the time to let the bar know that there’s a problem.
Financial- Not Having a Budget
Over half of Americans report that they don’t have a budget at all, and about 20% say they don’t have a good idea of how much they spend on housing, food and entertainment.
Supermarkets- Whole Vs. Sliced or Parts
This is another annoying thing the same food costs excessively more just because it's pre-cut.
The outlay of money usually for income or profit, capital outlay, also the sum invested or the property purchased.
Examples of investment
Restaurants
Banks
Bars
Financial
Supermarkets
Rules for investment
Do Your Stock Homework
Check Hope at the Door
Be Flexible
Be a TV Critic
Explain Your Picks
Don’ts in investment
Don't Buy All at Once
Buy Damaged Stocks, Not Damaged Companies
Don't Own Too Many Names
Defend Some Stocks, Not All
Expect, Don't Fear Corrections
Bonds
Shares
Unit Trusts
Traded Life Policies
Real Estate Investment Trusts