When you think of an entrepreneur, you probably picture a wealthy individual with a well-established business and a huge amount in his/her bank account. while that may be true, most entrepreneurs start small and build themselves up with time. As such, if you are an aspiring entrepreneur, don’t wait to accumulate wealth for you to start investing. In fact, procrastination is one of the killers of profitable business ideas. In this article, we will discuss how to invest $100.
One of the ways to invest $100 is through the peer-to-peer (P2P) lending model. As a lender, you get to loan out money to a qualified borrower at interest. This business opportunity is popular in Africa since it avails money to individuals who may not qualify for loans from banks or are uncomfortable with their terms.
You can choose to use the formal or informal business structure. In an informal set up, lend to someone you know or have been referred to. To safeguard your investment, ask the borrower to present an item of equal or more value as collateral. In Africa, this model is often referred to as a shylock business.
In a formal setup, there are various reliable sites that you can use to earn money as a lender. Farmcrowdy, RainFin, KiaKia, FundColony, are examples of the P2P lending platforms in Africa that you can use to invest $100. You can also do some research on reputable global P2P lending platforms.
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You don’t have to accumulate substantial wealth to venture into forex trading. Some brokers allow a trader to start with as low as $100. Granted, the risk of trading with a small amount of money is higher than when using a higher deposit. However, it is possible to use a micro or nano account to trade with a deposit of $100. To trade with this amount profitably, ensure that you take time on a demo account to acquire the needed skills and experience. Besides, use the least possible leverage when trading.
Undertake a course
Another rewarding way to invest $100 is investing in yourself by enrolling for a short course that will equip you with specific entrepreneurial skills. The course you choose to take depends on your interests, targeted clientele, and the identified need in the market. Once you are certain of the sector you intend to venture in and the effectiveness of your business strategy, approach an expert in the industry.
For instance, the makeup industry has grown tremendously over the past years. Depending on your location, you can find a business opportunity in the form of customers looking to have their makeup done by a professional at the comfort of their homes. If that’s your passion, contact one of the well-established makeup artists you know and have them train you for a small fee. Upon acquiring the skills, start building your customer base through referrals and social media. You can even hire products to use on your first client and slowly scale up from there.
This investment opportunity is not limited to the beauty industry. In fact, the strategy is applicable to an array of sectors including making pastries, public speaking, tailoring, among others.
Start a business
$100 is no little money to start your entrepreneurial journey. Indeed, there are endless business ideas that you can implement with the amount. To begin with, you can go the fashion route. Within this sector, you can choose to sell second-hand or new clothes, shoes, handbags, or jewellery. You can also consider home improvement items or foodstuffs.
To cut on the operational costs, start by being mobile rather than incurring extra costs such as rent. Target your friends, family members, and colleagues as your first bunch of clients. By having good customer service and stocking attractive pieces, you will benefit from referrals. Social media platforms are also an effective marketing approach.
A savings account is an interest-bearing account held at a bank or other financial institution. It is usually a deposit account until the account matures. You can invest $100 in interest-bearing savings accounts. You should conduct a research in your local banks or global virtual banks with high-yield savings accounts that pay high interest with no minimum initial investment requirement. If you are in Zambia, for example, if you maintain a minimum balance of K1,000 with Absa bank in Zambia, you earn 100% bonus interest.
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$100 is not too small to invest profitably. All you need is to identify an apt investment opportunity. Besides, the returns of your investment may not yield overnight. As such, be patient, persistent, and disciplined in your venture.