What Can Your Business Invest in to Make Your Money Work for You?

Investing your hard-earned money back into your business makes complete financial sense. Invest in your people, products, and services, and reap the financial rewards in the future. However, you don’t have to let any excess business funds sit stagnant in a bank account. You can put it to work by investing it. If you aren’t sure what investment options might be worth exploring, you can find a few potential options below:

Commercial Real Estate

Type commercial real estate plus your location into a search engine, such as ‘commercial real estate Sydney’ or ‘commercial real estate New York’ and you might be surprised by how many listings there are in desirable business locations. Once you see the average per-square-foot dollar rate of these properties, you may realize that commercial property investment may be an option worth exploring.

Alongside purchasing your own business building, you can explore commercial buildings for other businesses to enjoy. There’s potential for you to enjoy a range of benefits, such as tax advantages, a steady cash flow, and increased equity.

Stocks

If you want to ease into investments and learn everything there is to know, stocks can often be an excellent place to start. Stocks come to exist through companies dividing their business property into shares and selling them for profit. Buying a share means you’re investing in its profits and assets. While risky since there’s a chance of loss, there’s also potential to make money. If you buy shares for a low price and they go up, you can sell them and turn a profit.

Managed Funds

If you’re struggling to choose between multiple investment opportunities, managed funds can be a worthwhile option to explore. This investment product enables you to invest in a broad range of assets because you’re contributing to a fund alongside other investors. Not only does this mean you can invest funds easily in multiple assets, but it can also spread out the risk. There are multiple managed fund types to learn more about, like investment funds, exchange-traded funds (ETFs), and indexed funds.

Annuities

If you’re a small business owner worried about your retirement fund or future earning potential, now might be the right time to explore annuities. Annuities are insurance contracts from financial institutions that mean you can be paid out invested funds in the future.

Purchasing annuities involves investing in monthly premiums or making lump-sum payments. The company holding your annuities will issue payments to you in the future and, often, for the rest of your life.

Gold

While gold may not be your first choice when exploring business investment options, it’s worth considering when you’re worried about leaving too much of your business funds in the bank.

Gold can be considered an asset or investment and can be an excellent hedge against inflation. While you don’t make any money while in ownership of gold, you may make a profit when the time comes to sell it. If you end up making a loss, you may be able to offset the loss against profits from other investments and potentially reduce your tax burden.

Your business profits don’t have to sit idle in a bank account. You can put them to work. Now might be the right time to research commercial properties, gold, stocks, and other potentially lucrative investment opportunities to bolster your bottom line.