By Jenna Cyprus
You’ve finally reached the ultimate small business owner’s goal of generating profit. You actually have some money left over after you’ve paid yourself, your suppliers, your employees, and your lenders. So what should you do with it?
Invest, of course. Any business seeking to grow must use their leftover money wisely to expand their profits. The entire goal of these investments is to reduce overhead costs and increase profitability. Oftentimes, that requires putting some extra cash into an initial investment that will bring yields for some time after.
Any savvy small business owner will make this investment for the growth and success of their business. Here are some investment ideas worth pursuing.
1. Business Improvements
Most businesses have some areas in which they can improve, be it the business strategy or the physical place of business. Align your investments with your business goals, financing abilities, business plans, and current debt.
For example, the interests of your business are your first priority, so you wouldn’t gamble off a portion of your organization just to multiply your assets. Instead, you’ll put the money into something that will lead to growth in the long run.
If you’re looking to invite more customers into your shop, for instance, you might purchase a marquis system or large chalk board that can advertise specials and promotion within the store. In this case, the investment is simple, but it can lead to significant earnings.
2. Online Investments
Investing online can increase residual income without playing the volatile stock markets directly. There are many ways you can speculate online to increase income, such as investing in online content websites, some of which gross millions per month. This investing scene can lead to profitable online reserves that continue with very little effort on your part.
There are other ways to invest online, as well. You might take a look at these online investing strategies from Income Store, a company focused on providing new income streams for businesses. Their actionable suggestions include capitalizing on your email list, selling ad space, reviewing products with an affiliate program, and putting up a pay wall. Each of these ideas can set you up for financial success.
3. A Better Website
Both online and brick and mortar business can benefit from improvements in website design. It’s easy for websites to become outdated and lose their appeal.
“The website is the central component of any business’ digital strategy; it’s how your current and potential customers can most easily find and connect with you,” says an article from Search Engine Land. They go on to explain that one of the most expensive mistakes a business can make is forgoing website improvements. A website that’s been updated regularly brings in continued revenue, but an outdated site will scare away buyers.
It’s good to have a great product, business plan, and website, but there are more investments to be made. Your employees will be the face of your business, and investing in their satisfaction and performance is key. If they don’t perform well, it will impact your brand’s reputation.
Furthermore, high employee turnover, lack of productivity, and poor employee performance costs companies in the United States billions per year. If you make strong investments in your employees, they’ll repay you with better work.
“Typical employee benefits no longer differentiate a company as much as they used to,” says an article from Forbes. “Companies are realizing they must offer unique advantages that other businesses don’t to keep top talent. Investing in your employees is not a new strategy, but there are different ways of creating loyalty among your top performers.”
Forbes strongly recommends using excess funds to better your employees. Invest in coaching, business consultation, thought leadership, personal branding, improved hiring practices, unique benefits, ergonomics in the office, and a better working environment. As your employees adjust to this more positive atmosphere, you’ll see the results in their improved performance and a better brand reputation.
Jenna Cyprus is a freelance writer from Renton, WA who is particularly interested in travel, nature, and parenting. Follow her on Twitter.