When Submitting a Business Plan to Raise Funds, These are Mistakes that you should avoid

Do you have an existing business or you are just starting up? You probably need funds and this means you must approach potential investors or financial institutions. This is where a business plan comes into play. One secret of a business plan is that it must be believable for anyone to put their money into your business. There are of course mistakes to avoid in order to be able to raise investment funds. 

Not Having a Function Website

This is a grave mistake when in business. If an investor asks for your business website, they should be able to access it with ease, be convinced of its functionality and see it as stunning. From the photos, the design to the images and videos, everything should look professional and relevant. You will win investors’ hearts this way.

Using Jargon

Using jargon does not mean that the business is more knowledgeable about the industry it’s in or it’s well-experienced. Not all the potential clients will understand the jargon. All they need are solutions to their problems and answers to their questions. If there is too much jargon for clients, they will be frustrated and probably ignore the promotional materials or the website. Investors will visit the website and must not be met by all manner of jargon.

An Unbelievable Business Plan

A business plan must appear real and unique. The goals indicated must be measurable, realistic and achievable but if they are not, no investors will give you the funds. Have management responsibilities laid out, have specific dates that the goals must be achieved, how to measure milestones and the budgets needed to have the desired results. 

Not Presenting the Business Plan in a Professional Manner

The business plan must be presented in a professional manner. Not just papers stacked up on top of the others. This means that time, money and effort must be invested wisely when coming up with the plan. It must be visually appealing. It should not only be legible, but it must be clear and meets the highest standards possible. 

Visual appeal is vital when presenting a business plan thus it should be presented in a professional manner. For investors to be convinced that your business deserves the investment funds, they must see the business plan as believable, as a professional document and one that has been well thought of. 

How Businesses Are Meeting Customer’s Expectations

Is your business meeting customer expectations? A good business focuses on meeting customers’ expectations since if this does not happen, it will be a bad sign for the business. Customers are now demanding that their expectations are met. This is important for businesses as they get to understand what exactly their customers are looking for and ensure that they do exactly that.  Businesses, on the other hand, are working on strategies to ensure that they meet these expectations.

Integrating Social Media in Businesses

Social media has grown significantly in the recent past. Businesses have embraced it and they are using the different platforms available to understand their customers more. They help customers channel complaints, reach out for help and give their feedbacks. Social media has also made it possible for businesses to keep up with the current trends for the benefit of the customers.

Ensuring Online Presence

Customers demand to be addressed immediately. It’s not their business to understand that they should be served as they come. For businesses to meet this kind of expectation, they are ensuring that they are online to respond promptly.  Consumers need to feel that someone is listening to them and they are ready to help. This rules out the need for them to come to the organization physically.

Ensuring Human Interactions

Customers want to know that a human being is listening and they can build relations with them. Yes, there are virtual assistants but it helps to feel that there is human touchpoint. With this, they know that the response is tailored for them and it’s not the usual standard response that is given to everyone.

Having Suggestion Boxes

For the physical businesses, they have suggestion boxes installed somewhere within the premises. This is for feedback and suggestions. It is another way of finding out what the customer wants or expects. Remember that customers are looking for high levels of engagement and customer service standards. Understating what they want is key.

When customers feel that no one is listening to them and no one engages them in real-time, the issues that they could be having get magnified. They become more frustrated with the businesses and they feel that their time is just being wasted. They start comparing the brands and they eventually shift their business to competitors. To avoid this and to meet customer expectations, businesses are embracing social media, ensuring online presence and human interactions.

The Basics of an Effective Digital Marketing

In the modern day, if a business is to stay relevant to the market and make profits at the same time, it has to embrace digital marketing. This is a marketing strategy that cannot be bypassed considering that most consumers are using internet enabled devices to do their research and make purchases online. With a specialist, it’s easy to have a comprehensive strategy that includes all the elements that matter. 

The Site should be optimized

There is no point in having a beautiful website that users will not easily come across. Organic traffic is vital to your business and by integrating SEO (search engine optimization) you boost the site ranks in search engines. When using SEO, the most popular keywords will definitely boost your business’s exposure which translates to more conversion. 

Social Media Platforms should be used

There is no digital marketing without social media. This is not all about the business creating awareness about its products and services, but it is also about clients getting a chance to express themselves. Consumers are looking not only on ways they can easily purchase what they need online, but also a way to communicate, give feedback and have their issues sorted out fast. Social media has been an effective digital marketing strategy and this explains why most businesses have profiles on these platforms.

Automate the Marketing 

Although investing time and effort is of high importance in marketing campaigns, it does not mean that you should invest all your effort there. For this reason, you should consider automating your marketing system. The system makes it easy to follow up on the leads generated. 

The Website should be Responsive and Updated

During website design, the designer should ensure that they create a visually appealing website that is responsive and mobile friendly. Being mobile friendly means that it is easily accessible and well presented on mobile devices. It is responsible thus users will not have issues in accessing it. This is a crucial strategy since if a website is not responsive and mobile friendly, this will be a turn off. 

If you are running a modern business, traditional marketing alone will not give you what you really desire in terms of marketing goals. A modern business should incorporate digital marketing strategies so as to reach out to varying customers. Digital marketing has been effective and a business does not have to worry about how to do it effectively. This is because there are specialists out there who can be outsourced.

Ways to See Your Home-Based Business Become Successful

Working from home and from anywhere has become a reality and this has been made possible by technology. The one problem with many people starting businesses from home is having the discipline to handle tasks. Since they are their own bosses and do not have to report to an office, they work only when they feel like it.

Having the discipline helps in the success of the business in an amazing way. If you work from home or you are planning to start a home-based business, you need to be ready to make sacrifices.

  • Reduce Destruction

You will not handle important tasks as you should if you are destructed during your working hours. Take for example that you have not set specific hours for work. You have no limits to your office and kids can come in and play there as you work. These are destructions that will affect the business performance. To avoid such destructions, set off limits. Commit your office hours fully to your business but do not forget to have time for other things.

  • Do not Limit Your Social Interactions

You are working from home and you have dedicated your entire time to the business. In such a case, you have limited time for social interaction. This can drag you behind even in terms of the current events and trends. To avoid this, join professional groups in your area and you will not only be having fun, but you will also be learning more about the business world.

  • Learn More about the Business

This is a business just like any other. There will be hurdles and its best that you know what to expect. Even with the obstacles, the business can be a success only when you know how to approach it. Learn more from those that are already in business, join online forums and read about home-based businesses. This way, it will be easier for you to handle the most common obstacles.

  • Do not Overlook Marketing

One of the things that can make your business successful is proper marketing. Do not overlook this element of a business. Invest in it. Get a marketing automation tool, know what your customers need, create relevant content and launch amazing marketing campaigns from time to time. It is not easy for any business to do without marketing.

Approach your home-based business just like you would in a physical address. Register it, take advantage of home office tax credit, market it and be committed to it. Learn more ideas from those that are already in business.

Working from Home Efficiently

Working from home has become popular thanks to technology. With internet enabled devices you can work comfortably from home. In fact, people are creating offices in their homes where they do not have to pay rent. As long as one is focused, they can work efficiently from home.

Have a Schedule

Having discipline can be a challenge to many even those that believe they are focused. Just because you have no one supervising you, it does not mean that you work when you feel like. You should work as if you are reporting to an office where you are under someone. Do the things that you would do if you were reporting to someone’s office. Set a schedule and maintain it.

Exercise and Take Frequent Breaks

As you work, it’s paramount that you take regular breaks. The problem with taking regular breaks is that you might be distracted by other things in the house to a point that you take a nap. Avoid this. Instead, ensure that you exercise regularly. Whether it is yoga, cardio or strength training that works for you, you should engage in it regularly.

Ensure Sufficient Ventilation

Air pollutants can settle in your “office” when the ventilation is poor. Stale air needs to be pushed out while inviting some fresh air. To work comfortably at home, ensure that you have sufficient ventilation. If you do not have a mechanical ventilation system, use the natural one. Keep your windows and doors open.

Keep Yourself Motivated

You know what keeps you motivated. One way to do this is to set realistic goals. They should be short and long-term ones. Set goals that you can review at the end of the day, the week, the month and at the end of the year. Pay attention to the things that you have accomplished regularly to keep you motivated.

Do Not Overwork

It is less likely that you will overwork from home but there are things that can force you to overwork. Feeling that you are not doing enough and working too much in order to reach certain goals like owning an office in the upmarket part of the city can lead you to overwork. Avoid this at all costs otherwise, your work will become boring.

Plan out Your Days

Planning out your days will be of great help if you have to work effectively. In addition to this, be clear about your working hours and let those around you know that you are working and should not be disturbed.

Learning the Basics of Investing in the Real Estate Industry

Real estate industry is thriving today but it can be complicated when you have no idea how it operates. Over the years, this kind of investment has become quite popular as there are significant rewards.

Despite the rewards that are associated with the industry, there are challenges that are associated with it such as legal and financial knowledge. It is paramount that you learn the basics before you choose to invest in this high risk yet rewarding industry.

  • Consider Wholesale Properties

When you buy stuff in wholesale, you get them at a better rate than when you buy them in retail. This is the same strategy that you should use when investing in real estate. It is a great way that investors are making money by selling the same properties twice the buying price making more than 100% profit.

  • Get a Hang of the Tax Benefits

Real investors get tax benefits. Remember this is an investment that is considered as a business thus there are significant deductions that you can enjoy. Ensure that you learn and understand them.

  • Consider the Location

Whenever you are buying a property, one thing that you should keep in mind is the location. This matters a lot. Tenants will always consider the location whether it is ideal for them or not. This includes proximity to shopping and entertainment joints, schools and good roads among other things.

  • Use the 1 Percent Rule

When you purchase a commercial property, it’s helpful that you use the 1% rule. By using this, you are assured that every month, the property will be generating 1% of the amount that you should pay for it on a monthly basis.

  • Network with Local Investors

Networking with the local real estate investors can help a great deal. These are some of the best people to learn more information about the local market from. Ask them any questions that you could be having and this way, you will learn important information and clear any doubts that you could be having.

  • Work with a Realtor

As a beginner in the market, you need guidance and support. There are legal works that you have no idea exists but with a realtor, you will not miss out on anything. A good realtor is one who is knowledgeable about the market, investing returns and has experience.

Researching about the industry and the market is of paramount importance when investing. You can earn handsome rewards as long as you do everything right.


Things to Do When Starting a Small Business

Most people would like to start a business but there are many obstacles to this. Uncertainty about the future of the business and self-doubt are common obstacles.


Being persistence is very important as this is the only way you can successfully start a business and see your dream come true. There are important things that you can do to achieve this.

  • Invest Your Time Wisely


Time is of the essence when starting a business thus you should invest it wisely. The time that you have may never seem enough when you are setting up a business but as time goes by, the pressure will not be as much.


  • Have The Right Support


It’s definite that not everyone will be in support of your ideas. There are those who will have a negative attitude but you do not need to be around them. If you concentrate on what they think, you will be derailed. Having the right support is of great significance as you will be motivated as you pursue your dreams.


  • Have An Achievable Mission


As an entrepreneur, you have a final target which is not achievable in a day or with a single step. It is a journey with obstacles. Having a plan of how you will achieve your mission is of great importance that’s why you should break down the tasks. Remember that you have to be as realistic as possible when it comes to your mission.


  • Have Financial Stability


Some say that money is not as important when setting up a business but this is not true since you need to have some level of financial stability. You will need to give your business the right exposure, market your products, set up a website and have a solid foundation.


  • Develop A Plan


Investors need to know why they should invest in your business and if you do not have a business plan to show them, things will not work out for you.


Create a presentable one that will convince them to invest in you and should include things such as products offered; competitive analysis, target market and mission statement among others.


Setting up a successful business requires sacrifice and determination. You need to figure out what you are willing to give up to achieve your dreams. The obstacles that you face along the way are not unique and successful entrepreneurs can attest to this. Be determined to eliminate the fear of starting your business.

Tips To Make a Successful Business by Yourself

Many people often interpret and think that a business is successful, it must rely on and always rely on external support. For now, this theory has been disproved belief in this. Very reasonable. Because building new businesses for growth and success does not require positive external forces, but only anymore. But can be created by the operator itself. Here are 9 tips for creating success yourself.


  1. Focus on cash flow. Profit is secondary.

Businesspeople are often taught to think of profits first. Actually, try to change your attitude and focus on cash flow within the company instead. Do not forget that cash is required to pay bills. If there is money in circulation throughout the company and pay the debt on time. Try to have a short bill off the balance when it is profitable return itself.


  1. Estimated demand and low production capacity.

Entrepreneurs must constantly evaluate the needs of the target market. Then determine the proportion of the company’s demand. For example, if the company produces about 1 million cosmetics per year, its minimum market share is 10%. That means 100,000 people. Then we think of the minimum capacity of the company that can be done at least a few per day and then subtracted to find the strength. The products that can respond or not.

  1. Test plan

Good product requires thorough testing. Entrepreneurs should design a test plan for their own products, starting with personal qualification and distribution guidelines, in order to find the best way to market and distribute products. They may choose from the strengths of the test as a master plan for development.


  1. The product is proven and accepted.

It is important that the product is released to the consumer. Must be proven empirically by expert testing. In addition, the recognition of key research institutions also adds value to the products and services of entrepreneurs.


  1. Start a business.

Service businesses have the advantage that they can listen to the opinions of consumers at all times. This is a huge advantage of the information. The manufacturer can use the information to develop a product that meets the needs of users such as companies that produce some shampoo that comes from being a service shop for trimming and I’ve been with them before.


  1. Focus on non-formal use benefits.

Consumers will only buy products when they can respond to their needs, not just their looks. Therefore, the development of product properties to meet the needs of the target market. It is the most important thing to make the business of the entrepreneur can earn a substantial return to the business of the company in no time.


  1. Provide enough staff

Often, the results that come from doing business are quite disappointing. This is because of the inadequate number of employees plus no direct knowledge of the job. Therefore, the entrepreneur must provide knowledgeable employees. And there is enough staff to support the work that is ready to grow in the future.


  1. Use Direct Selling as a Forerunner

Direct selling is the most ancient trading method in the world. You should try this method first. This will allow the operator to truly feel the problem of the products received from direct consumer feedback. And it’s a step in the middleman’s favor to get out. It makes the business more profitable. In addition, the trading on the computer screen is called E-Commerce, it is a new way of selling interesting new non-current.


  1. Market positioning

If an entrepreneur can rank their own product placement, it will be very beneficial to do business. The consumer behavior is that most consumers choose to buy products that are appropriate for their status, such as customers who have different income, they will buy products with different prices, so the product placement is what the entrepreneur should be. It will help the product to sell easily and in a faster time.


The business of the entrepreneur will have a great patronage of it. Finally, the entrepreneur’s business will be successful, they must stand on their own to gain first. In the real world, there is no one else to support other businesses. Therefore, the entrepreneur must build a solid foundation for the business itself.

Is Outsourcing An Ethical Business Practice?

Just recently, businesses have embraced outsourcing not only as a cost-effective operation tactic but also as a strategic business decision. Put simply; outsourcing is the act of hiring third parties or external firms to perform contracted work. Nowadays, companies outsource manufacturing tasks as well as service-related ones.

Outsourcing is a smart financial move for businesses trying to cut back on expenses. But this practice has been faced with a lot of criticism, the most common of which is a concern for its ethics. So, is outsourcing an ethical technique for businesses? This article proves that outsourcing is ethical, but only when companies adhere to the right practices.

The Key to Long-Term Success

Throughout history, the primary tenet applied in industries is that people purchase products from those companies that they like. Ideally, every consumer prefers certain brands to others. These individuals have specific reasons for remaining loyal to these brands. On this note, a company should only outsource tasks, if this practice does not impact negatively on your brand, employees, and clients.

Culture Should Not Divide

The cultural differences between the Western and Asian countries are massive. Often, people cite these differences as a reason for the problems that arise in outsourcing projects. For instance, you may have a poor customer service experience because the caller’s language was somewhat incomprehensible, given their cultural background. But is this reason enough for portraying outsourcing as the evil it is wrought out to be?

From my viewpoint, such outsourcing issues can be bridged by merely understanding cultural sensitivities. It should be done early before the outsourcing project kicks off. Doing so helps to avert future problems. Besides, globalization has enabled people from different parts of the world to learn the Western and another custom

Get Accustomed to Breaking down Tasks

It is sometimes challenging to contact your outsourcing service provider; you may not even be in the same time zones. With the difference in geographic location, work settings, and skill sets, it is crucial that you be careful when hiring your outsourcing service provider. Mostly, you should go about this hiring process as if you were recruiting a new employee for your company. This way, you can avoid disputes in your outsourcing venture. Also, you should break down big projects into mini-tasks. Start by assigning these small tasks to the third party. If they perform well, you can entrust them with more significant projects.

Compensations and Feedback

Under no circumstances should you outsource work, which you do not intend to make payments for? The best way to guarantee that the project is running smoothly is to ask for and give feedback multiple times.


Outsourcing is no new concept in the business world. This practice has been in existence since the 1970s. In the past decade, outsourcing has gained a lot of momentum and negative attention in the same weight. How ethical your outsourcing practice is, will depend on the kind of relationship that you maintain with the other company and clients. If none of the parties involved in this outsourcing venture feel exploited, then you need not worry about this practice reflecting negatively on your company’s image.

Take Some Inspiration From Auto Glass Repair Companies

Damaged auto glass can occur from many reasons. Take an innocent flying rock kicked up by another car hitting your windshield, or an intentional smashing of the window to gain access to goods inside the vehicle. The damages can range from a little crack to a total shatter.

When such an issue occurs you will need the help of an auto glass repair company. But let’s just consider for a minute exactly what they do and the service they offer.

24 Hour Emergency Service

Driving a car can be done at any time, so to can an accident occur. If such an accident is withholding you from completing your travel you may nee emergency service. The best auto glass repairers operate on a 24 hour availability.

Fully Mobile Service

Not only may you require service at all hours of the night but when you front windshield is damaged you can’t drive to a repairer. Fortunately with a fully mobile service the repair team come to you. They then complete all work at your location.

Both accidentally broken windows and break-ins can be fixed by qualified technicians. The best companies will even promise to arrive at the location where you demand their services within the space of an hour. Such a company has skilled technicians who are very much educated to meet your demands.

All Types of Auto Glass

Auto glass repair company specialise in repairs of the front and rear windscreen. However they also replace other auto glass including windows and side panels.

The company may also offers home glass repair and replacement services as well as Business Emergencies. These skilled technicians can repair your double pane window without the need to remove your entire window. Does this not save you some time? It undoubtedly does. It even saves you your money as the technicians do not stay there for a long hour if per hour would be their charges.

Also as a business you will not be stranded as they respond to your need in emergency period whenever your glass breaks. The company may also repair as well as install the following: storefronts, security doors, partitions, mirrors, etc.

Take Some Inspiration

Running an auto glass repair business thus presents a broad scope of service. Being available around the clock for starters requires strict dedication. Plus with lots of competition an edge is needed to really stand out.

Why Business Security is Paramount

When starting out as a new business the dream is alive and real imagining of bright prospects that wait ahead. Yes, this is actually a dream of every young soul, sadly, not all that transfer that idea from their head into reality. But after placing all the requirements on the table, one important aspect new entrants to business fail to consider? Business security is the most vital aspect that should be the first priority before even rolling out the set-up.

Big corporations, for instance, are having headaches trying to fight hacking to their systems, and in that case, strict measures are a must for any business whether big or small.

Small Businesses

New upcoming businesses are the culprit in the wave of security plan and outcry calling out to have their investments protected. For emerging businesses, they rarely see any point of placing security measures that are supposed to curb any unexpected intrusion. They believe in a lie that they are new and not yet matured enough to rock the market world enough. What does that mean? To them, companies without a popular name are hard to imagine they can attract any target.

This kind of negligence in return has made attackers prey on these small businesses for their ignorance. Staying vigilant is important whether the threat is there or not because when it happens, the damage can be huge enough to cripple the business or take time before standing firm again.

Online and Offline Safety

When it comes to putting strict measures, it means leaving no chances and sealing any loophole that can attract any form of attack. Just like an army of any country determined to surprise the enemy, they ensure the air, land, and the sea is well guarded. Such kinds of approach give the enemy hard time from employing any surprise.

For business, you don’t upgrade to latest methods of curbing crime by installing technologically inclined doors and forget about the windows; instead, you perform 360% security mapping and installation as well. This applies guarding against cyber-attacks (Online) and physical attacks.

Within and Without

During the process of trying to lock all entry points warranting security attention, it is good if you understand attacks can come from any direction. You may create a very effective system that works perfectly and forget that you could be having the enemy from within which is very dangerous.

Customer’s data should at all times be protected and therefore the limit of access to computers and some website by employees is good to be kept in check during working hours. Entry points should also be scanned thoroughly and utilization of CCTV cameras used to scare off individuals with ill motives. So, the systems are to be kept in check throughout either targeting to attack a physical building or through online systems.

Be Prepared in Case of Emergencies

It is good to be prepared in the event where an emergency occurs without your knowledge. For the company systems, it is good to create methods of recovering customer’s data or storing it far from any attack.

While for any other emergency to happen like fire, flood, earthquake, terrorism, and much more, it is wise to have an exit plan in place and also have emergency numbers connected to your system such that when you call they can identify the location immediately. Therefore, never assume some security measures. Every employee should be notified of the existence of such a plan to help them stay alerted any time.

5 Simple Budget Tips to Allow You to Buy Anything You Want

Do you ever find yourself counting down days to your next pay check? Are you struggling to save enough money for your holidays? Is your budget leaking sometimes and you have no idea where your money goes to?

Don’t panic. It is a common situation and we have all been through that, at some point. It is also something that can be easily fixed. Just bear with us.

Your budget equals your financial security, your dreams and you peace of mind. This is precisely why weekly budgeting is worth mastering to a T. It’s the unwritten law – once you learn how to save, your money somehow multiplies in your wallet!

And here are 5 simple budget tips to allow you to buy anything you want. That’s right. ANYTHING.

1. Get a savings jar.

You need to take care of yourself first. Be your own boss and start paying yourself before you pay anybody else. Start with as little as $1 coins. The rule is simple: first week, put 1$ in the jar, second week, put $2 and so on. Do it for a year. Results? After 52 weeks you would have saved $1,378 with almost no effort at all!

2. Buying in Bulk with friends

Do you buy groceries more than once a week? WRONG. Not only, are you likely to buy more than you need when you visit the store more often, but it also takes up huge amount of your time. HUGE. You could use it for making money instead of spending it, right? Solution? Start ordering your groceries in bulk. Your friends or family will definitely join the initiative. After all, everyone likes to have a few extra dollars in a pocket, right?

3. Get a Budget App

If you ever tried to budget regularly, you know that it can be quite frustrating. Many times, your numbers don’t match, money is leaking somewhere and you forget to write down some of your expenses. In one word: chaos. However, it can all change if you start using one, simple tool: A Budget App. There are plenty of those on the market, and each of them is designed to help you keep your personal finance organised. This is a game changer!

4. Apply 10% Rule

This is the rule described in one of the best books on personal finance of all times – ’’The Richest Man in Babylon”. It is as simple as it sounds: you simply decide to pay 10% of your income to your savings account. Regularly. Each week. How? Automate your bank account and schedule a weekly payment. Boom! No pain, lots of gain!

5. Prepare Weekly Meal Plan

Groceries are, most likely, one of the biggest expenses in your weekly budget. Shopping without a plan or a list is also one of the worst enemies of your wallet! Easy fix? Start preparing your meal plans in advance and you will never be tempted to buy items off the list! Result? More money in your pocket!

Follow these 5 simple budget tips and trust us, there will be nothing you can’t afford in the future!

Factors to consider before making an investment decision

Any activity you put your money to in return for profit or accumulation of money over time is an investment. Investment opportunities available are always more than the amount of money available to put in those businesses. In a business adventure, there are three primary outcomes

You can get a;

  • Loss- You will not get back all your money.
  • Profit- You will get more money than the one you invested.
  • Just maintain your money- You will get the exact money you spent.

The sole purpose of every business venture is to make a profit. However, to achieve benefits in your investments,

You need to do the following,

Do preliminary research.

Before you embark on anything, it is always good to get relevant information regarding the legality and genuineness of the project. Looking for funds to invest in a project which does not adhere to the universal acceptable business laws is a huge waste of time.

Assess your financial situation.

Before committing your funds to any particular project, it is advisable to weigh your financial capability. It is wise not to take on a business venture which you have no capability of taking to the completion. Your finances will be tied in work in progress and the result might be an auction done at a loss at your cost. The sale can lead to massive financial losses on a project which would be highly profitable were it taken to successful completion.

Risk analysis of the projects.

There is a rule of business which states that the higher the risk, the higher the returns. However, this does not directly translate that high-risk projects are automatically high return investments. Do your due diligence analysis to ensure that the probability of getting your money back is high. A Project which pays back within a short period is better than the one which takes several years to recoup back the initial investment amount.

Divisibility of the projects.

Investments which can be taken in phases are better than those which must be taken through to completion stage to realize the profits. For example, a real estate business is highly divisible when compared to a petrol station business. In a petrol station, everything has to be fully set to start cashing in. In real estate business, you can start cashing in before completion if you build each floor at a time.

Analyze the profitability of the projects at hand.

Some projects might seem profitable on the surface, but upon a deep analysis, you realize that the return on investment is insignificant. Profitability can be measured by calculating the profitability index which is computed by dividing the all the future cash flows you expect in future with the initial investment.

Build your portfolio wisely.

Business opportunities will always be available, and it is a wise decision not to commit all your funds to long-term projects. Ensure your liquidity is at a favorable level to avoid getting in a situation where you are not able to carry out your daily activities because your cash is tied up in other investments. To prevent this situation, take projects which pay back after a short time and mix them with the ones which pay back after long times.

Have back up and exit strategies in place.

These can be achieved by doing simple activities like taking an insurance cover for your business.

Analyze competition.

You need to know who your competitors are and their financial power to know whether you will be able to break through the market.

Get professional advice.

After considering all the relevant factors; getting professional advice on your investment can be the differentiating factor between losing your money and making a profit.