|Tip 1||Lead or Bleed?|
If you’re going to invest your money, a lot of options are available to you. You could put it in a savings account, but the interest it accrues probably wouldn’t keep up with the pace of inflation. You could put it in government savings bonds. Again, you don’t make much money as a result, but they’re safe bets.
Or, you could invest your money in a small startup company. You may, for example, put up several thousand dollars in exchange for a small portion of ownership in the company. If the company’s idea is good and it’s able to execute effectively on that idea, you could potentially make a lot of money. On the other hand, you have no guarantee that you’ll even recoup your original investment.
This concept is nothing new. ...