WHAT IS A GOOD INVESTMENT?

What is investment was on the lips of many some years back but, the question has dramatically changed to what is a good investment now that the global economic crisis and its adverse effects still stir on the faces of many people.
I have explained what an investment is in a previous article that can be accessed following the link above. In this article, I will be pointing out characteristics / features of a good investment / investment opportunities.
FEATURES OF GOOD INVESTMENT
Financially sound: financial analysis is part of the due diligence that every investor must invest his or her time into before dolling out his fund for investment. Cash flow analysis/ projection is one aspect that you will really need to be convinced of before you invest your money into any perceived investment opportunity. If you lack the necessary financial analysis skills needed to carryout analysis that will ensure that what ever project is financially sound.
Ability to secure our initial capital: there is no point investing in projects that will not ensure the safety of your initial investment / capital. Inflation and other variables that affect your investment need to be fully incorporated into the business operation of any business that you want to venture into. You really need to particularly watch out for all forms of investment scams that are everywhere now. Investment scam is one threat that has come to stay amongst the investment community- or how can you explain pandemic nature of Ponzi scheme? A Ponzi scheme is an investment scam that collects money from new investors to settle the claims of old investors without doing any business with the gathered funds.
Presence of an exit strategy: you must ask questions that will help you see the end from the beginning. You will really regret ever going into investment if an exit strategy is not in place. There is not point having billions of paper profits in paper that cannot be easily converted into cash.
Lack of fraudulent and illegal activities: be sure not to invest your money into businesses that have been tagged as being illegal or fraudulent. You will easily lose all the money you make from illegal business defending yourself in law court.
I always tell my clients to ensure that they look out for these characteristics of investment before staking their hard to find money. Actively looking for the above features of good investment will not only ensure that you are financially sound but, will equally give you peace of mind which is what money cannot buy.
I encourage you today to invest your time today into carrying out these simple analyses so as to enable you identify good investment opportunities.

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