When it comes to personal wealth, one of the most common ways people grow their dollars is through the stock market. In exchange for investing money, your wealth grows overtime through appreciation of the stock. You may even be awarded with quarterly dividends, or a portion of the company’s profits.
Though the stock market seems to be a popular investment vehicle, it doesn’t come without downsides. You’ll need a good amount of money to buy shares of most companies, and there are plenty of risks involved as the market tends to fluctuate frequently.
In this article, we will explore wealth building alternatives that do not include buying stocks.
Invest in Real Estate
One of the most popular ways to build wealth outside the stock market is by investing in real estate. Depending on your skillset, you can choose to buy undervalued properties and flip them before selling at a higher price. There’s also the option to invest in commercial real estate, rental properties or vacation homes. If you are new to real estate, learning the ropes can be overwhelming; however, if you’re serious about it, there are many resources available to guide you. It can be helpful to learn from other experts or through established real estate players in your area. If managing a property isn’t for you, you can still invest in real estate through crowdfunding, where you invest into commercial and residential real estate notes without having to deal with a physical property.
Another unique option for growing your wealth is by allowing alternative investment groups like Harbor City Capital Corp to do the work for you. Here, buyers get to tap into Harbor City Capital’s substantial investment of time, capital, and expertise without the upfront costs of doing it themselves. Investors buy their bonds at a fixed price and receive interest on a monthly basis. Harbor City Capital, which was founded in 2013 by entrepreneur JP Maroney, generates returns through a strategy known as Digital Marketing Arbitrage. (DMA). The DMA formula is straightforward: Invest “X” in buying digital advertising, get paid “Y” for the lead, and collect “Z” as the profit or ROI. The ROI on a single campaign can range from 5% to 60% or more. The company specializes in implementing strategies that generate reliable yields from the Internet advertising sector.
Consider Buying or Investing In a Franchise
Investing in a franchise is a way to buy the benefits of an established business. Through franchising, you’re essentially creating a new business from the ground up, but you’re doing it within the framework of an already successful business model. There are hundreds of national franchises to choose from, so it’s hard to predict how much ROI potential each one can provide. While some franchises only require a few thousand dollars to buy into, others (and better-known) franchises can cost you hundreds of thousands of dollars. The good news is that some higher caliber franchises will provide the franchisee with financing to get started, but you’ll still need to come up with a large percentage of the upfront investment from your own pocket.
Grow and Sell a Business
If you have an entrepreneurial mindset, starting a business, growing it, and then selling it for profit is a smart strategy to build your wealth. You can do this a couple of ways – one -in the online business world or – two- with a traditional brick and mortar business. People who choose to buy and sell businesses do so with the goal of boosting profitability early and selling in a few short years. Some entrepreneurs choose this avenue more than once, often holding several different businesses at the same time.
If you have the capital and think your skillset and expertise warrants it, buying and selling businesses for profit is worth considering.
The bottom line is that there are many ways to build your wealth outside of the stock market. You can consider any of the aforementioned options, or you could even come up with a new idea of your own. All it takes is some research, time, and a little bit of instinct to get started.