Posts

Your Business is not Guaranteed to Succeed; you are more liable to run at a loss

avatar of @gbenga
25
@gbenga
·
0 views
·
2 min read

While growing up, I remembered my siblings and I using piggy banks to save money, we usually save a percentage of our daily pocket money or allowance. I was always faithful with my savings and this made my piggy bank manager (my mum) call me to either upgrade my savings plans or withdraw my savings. With joy, I decided to remove the savings and used all to buy two puppies. The puppies were happy souls and I enjoyed every moment with them. I had the intention to caring for them till they were matured enough and then start selling off their puppies. I had my hopes high until one day when one of the puppies got ill, I was very worried and tried to save its life so I won’t have to regret my actions of buying the dogs with my savings after which I have been doing a lot of additional spending on them from the money I was suppose to save. Soon, the sick puppy died and then I decided to nurture this remaining one with all I had. It was doing exceedingly great and when she got pregnant and had lots of puppy, I was able to sell the puppies and recover my saving and profits.

Credit

Just like the story, the fact that you invest into a business does not mean that you will make profit from the business or the business will succeed. Your money remains yours only if it is still in your pocket, but it can become a small or great profit or loss when it is out on the field of business and investing. There is no guarantee for a business to survive, did I survive, there is no guarantee that your business would even start if you are careless with the capital, the only guarantee you have is that your money will be leaving your hands.

Your savings is yours and could make a few bucks as interest if left for a very long time but your savings could be affected by inflation at the end of the saving period leaving you to little loss or your money having no additional value. If your money was kept at the bank, it is certain that the bank already used your money for the lending business while you wait for the crumbs from the profitable business as your share in interest but the bank doesn’t always win all the time as well. Your stops being yours when you put it into an investment, you cannot lay claim to its certainty in bringing in profit.

There are more business failures to business successes, but the successes always cover the failures at the long run.