You still have to save some extra money for any other unplanned activities or emergency that may arise. For me I may not likely have to invest everything at once but I'll still have some percentage with me in case needs arises .
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It is very important that when you start a new business, you will reinvest so that you would improve it except if you have enough capital when your business just started.I understand your point , when you started your business with the little amount of money in your hand , and you are the type of person that wanted real improvement , then it's normal to reinvest all your gain in the business if you are sure of its outcome.
It's good to do that but I'll advise you to be very careful at doing to avoid stories that touches the heart , as far as the business is good I think it's wise to do soFor me it’s a Yes. What about you?
Personally, I think it is wise to reinvest all profit earned back into the business at an early stage of the business. It builds growth and provides monetary backings for the business when needed. When starting a business , it's very important for the business to manage it funds and other resources.
Is it wise to Re-invest all your profit as startup?
I don't think it is a good idea entirely. As a prudent business man, it is advisable to have some savings because there are uncertainties in business that can happen anytime without notice or warning.This is majorly what most of the new business owners does. A new business need a lot of capital to run and if you do not have enough capital to do so, you will need to reinvest the profit that you have made inorder to make the business stand.
You still have to save some extra money for any other unplanned activities or emergency that may arise. For me I may not likely have to invest everything at once but I'll still have some percentage with me in case needs arises .
There's nothing wrong with this , but the most important thing is how you can trade profitably in the market because if you are investing all then you have to make sure that your account is not liquidated.I used to reinvest all of my profits when I used to trade in cryptocurrencies. Re-investing the profit increases your chances of making more profits if the market conditions are right.
The process of reinvesting all your profit into your business that needs all the financial support to grow is very neccessary,you will be doing the business lots of good by providing the livewire to growth which is the neccessary funding.I don't think there is anything bad in re investing all the profit in a business as a start up person. However, if you have other business idea I think you can use your profit to diversify on other business opportunity
We are not all perfect and even if we are perfect , we must have a reserve fund just in case , because at times , some business might be funny and flops and if we don't have a reserve fund , our business will be hit negatively .There's nothing wrong with this , but the most important thing is how you can trade profitably in the market because if you are investing all then you have to make sure that your account is not liquidated.
Business spare funds can sometimes help in treating emergency crisis that may arise is in a business. Sometimes people who are struggling to establish a business with small capital may not have access to spare funds for the business.We are not all perfect and even if we are perfect , we must have a reserve fund just in case , because at times , some business might be funny and flops and if we don't have a reserve fund , our business will be hit negatively .