Investing in Local Businesses: How to Invest in Local BusinessesOther Passive Income Ideas
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When it comes to investing in local businesses, many people don’t where to start.
While certainly investing in large multinational corporations is an important part of one’s portfolio, many investors feel a need to give back to their local community and invest in local small businesses.
Ten years ago, such local investments would not have been possible since the administrative and legal costs of raising local capital would have been cost prohibitive to most small businesses.
However, thanks to technology, investing in local businesses can now be done online with as little as $100.
How to Invest in Local Businesses
NextSeed is leading the charge when it comes to connecting small investors like you and me to local businesses who need start-up capital.
With NextSeed, you can invest as little as $100 in local small businesses.
Also, if you use our NextSeed Promo Code when you open your account, you will receive a free $20 to invest in small businesses!
How Does NextSeed Work?
When you make an investment on NextSeed, you are providing funds to a business so they can build and grow.
Businesses expect to pay back your original investment, plus a return on top (think of the return as interest you earn, and what a business pays you to use your investment funds).
Note that, even with the best intentions, businesses — and this goes for local businesses as well as huge companies like Apple and Facebook — cannot guarantee their success.
How Do I Track My NextSeed Investments?
You can keep track of your investments in your NextSeed Account Center.
In your Account Center, you can see which deals you’ve invested in, which have successfully closed, and payments you’ve received from each business.
You can also see your Net Annualized Return on each investment.
Logan is a practicing CPA and founder of Choice Tax Relief and Money Done Right. After spending nearly a decade in the corporate world helping big businesses save money, he launched his blog with the goal of helping everyday Americans earn, save, and invest more money. Learn more about Logan.