Entrepreneurs struggle with their ROI on businesses. Starting a business is not a difficult task but sustaining it becomes challenging. I've seen a numerous companies go bankrupt after good years of sales. Knowing the reason behind is lack of future projections.
According to you, what should be the ROI for newly launched startups?
My views are around 15% per annum but it would take around 6.6 years to earn the initial amount back. Would it be a bad decision?
I don't think it's possible to set ROI in a generic way. Will have to depend on a lot of factors, what your business is, how your competitors operate, how much the initial cost is…I think we should consider all the factors to be able to come up with a relative ROI before embarking on a startup. Besides calculating the monthly ROI you will receive, you should also consider if your business is not performing as well as you would like, how much more money will you have to spend to maintain and grow in the early years.