If you have plans to start a dream business that requires a capital of $20,000 and you were able to make a savings of $15,000 which obviously isn't enough to start up the business, what would be your decision or advice?
1. Invest the $15,000 into a smaller business hoping that the returns will yield the remaining $15,000 in a short period. Note that this has the potential of failing and wasting the already-saved $15,000.
2. Keep the $15,000 while doing other work that will yield the remaining money over a long period.
Would love to see your input or a better suggestion apart from the ones I pointed out above.
N/B
This is the typical situation a friend finds himself and we are just brainstorming in what best to do.
I will choose the first option because there is a risk that I have to take because I am still young. It is better to try or not at all than if I save my money in the bank, it will not increase the money but the money will sleep and be exposed to inflation. It is better for me to invest so that the money That works for me too because I also know that no investment is guaranteed to be profitable, there are risks too