Everyone wants to be financially stable. While there’s no single formula to growing your money overnight, there are safe and legitimate ways to double your income in a short span of time.
Below are four smart ways to boost your income and prepare for your future.
Bonds
Bonds are low-risk debt investments issued by enterprises, governments, and states to fund projects. When you buy a bond, you’re technically lending money to its issuer for a certain period of time. The issuer, in turn, pays interest at an agreed rate until the bond’s maturity date. They will also agree to pay you back the loan’s face value on a specific date.
Bonds provide a steady income stream through interest payments collected usually twice a year. Another way to make money from bonds is to sell them at a higher rate than its initial buying price. Say, if you buy $5,000 worth of bonds, you can sell them for $7,000 once their market value increases. The $2,000 difference will be your profit.
Stock Market
2020 might be a great time to invest in stocks. Strategists report that U.S. stocks are expected to keep rising this year albeit at a more modest pace than last year. Investing in stocks allows you to make large sums of money in a short period of time with a relatively small investment.
When it comes to owning shares, many investors follow the “Buy Low, Sell High” policy. They pay close attention to a stock’s worth at market value and use it as a reference point to make buying and selling decisions. Some investors prefer the buy and hold strategy which requires keeping a stock for a prolonged period of time. This approach requires lower transaction fees and short-term capital gain taxes. Research and forecasting are crucial to ensuring that the stock’s price will rise over its market price.
Franchising
Franchising is a great way to grow your wealth. It’s less risky than buying an existing business or running your own start-up since franchises already come with an established product or service and a perfected system of operations. You simply have to follow your franchisor’s business model. In addition, since franchises are already established in the market in terms of customers and suppliers, you get to spend less in production and marketing compared to independent operators.
Flipping real estate contracts
Gone are the days when flipping houses just meant buying, renovating, and then selling properties. Now, people have moved on to flipping the actual contract itself. Flipping contracts is the practice of transferring the rights of a purchase contract to another buyer for a fee. It requires little capital or credit and no risk if you don’t flip the deal. You don’t even need a license or prior real estate experience. As a contract flipper, you act as the intermediary between motivated sellers and end-buyers to effectively broker the deal and make a quick profit.
Whether you plan to buy Walmart stocks or invest in a lawn service franchise, growing your money requires taking risks. But don’t let any fear get in the way of your taking advantage of huge money-making opportunities. As long as you do proper research and budgeting, you can achieve financial security in no time.