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ASK LEO: HOW VITAL ARE EQUITY AND INFORMATION WHEN INVESTING IN BUSINESS INVESTMENT?

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Have you ever seen anyone who invests without the intention that he or she doesn't want to make profit in return? No one,only someone who wants to play card with his or her money. Before you venture into an investment either on or offline Investments,one must have made one or two findings concerning the particular Investment. There are information you will need to gather that will give you percentage of assurance that the investment is worth risking.

What's equity in business?

So before one venture into business either on or off line business,you have to informed on how the business will work. That's a part of the information you need to be told. Let's assume you wanted to venture into business that involve so many group of 10 people who maybe have the intention to build a panel that will generates network, it is certain that not all of them will contribute equally, so it's at this point that there will be a written agreement or statement on how the profit will be shared among the 10 people who contributed to success of the built panel. That's where equity comes in. So equity simply means the fair share of profit contributed initially at the start of a business journey. Meanwhile, there's also equity to the business too.

What should come first information or equity?

Well,it's good to know that both work together in a business firm or Investment but one must surely comes after the other. It's the information that will come first which state how the equity will be in the long run. It's the information that will come in form of a written documents or statement which spells out the equity form. Despite both them playing a viral role in business Investment, they play some major key role such as:

  • Information serves as the foundation of the business.

  • Equity that's spell out by the information gives the business a foresight.

  • Information helps those involved in the business to be aware of what the business entails.


Thanks for stopping by to view my blog. Please do have a wonderful day ahead.@peterale cares🤭

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