The most reliable investment projects online in 2020

Investing in real business is an interesting topic that attracts many - from aspiring entrepreneurs to cool billionaires, corporations and large international funds. Investing in securities is profitable, but it is no more profitable than creating and releasing to the market a sought-after product, the sales of which will bring potentially unlimited dividends.

But the problem is that choosing a promising niche and creating a competitive product is very difficult. Therefore, for an “outsider”, investing in a business involves a huge risk. But risk is a noble cause, as we know, so let's go.

Why is it worth investing in business?

In my opinion, investing in an existing business is a great idea. And here are the reasons:

1. It's more profitable than starting your own business. With his share, the investor does what he wants, whenever he wants. If business growth slows down or it loses relevance, we simply take the money and leave.
2. Freedom and healthy nerves. The lion's share of the work is done not by the investor, but by the business owner and his team.
3. More free time. Investments in business are almost passive income. Yes, we will have to do some physical movements - control, supervision, keep our finger on the pulse, make sure that our money is not wasted just like that. But again, it’s not the investor who does the bulk of the work.

The biggest mistake, in my opinion, is to assume that investing in an existing business will be interesting and exciting. This is wrong. Get ready for a routine and a lot of exhausting running. But no one said that money would be earned by playing.

Advantages and disadvantages

I'll start with the advantages of such investments:

1. The most difficult stage of the launch is already behind us. If a business stays afloat, it means that its founders are not fools and approached the matter thoroughly, and the investor has a chance to recoup the investment.
2. Immediate return. When you start a business from scratch, you only spend. Investments in a ready-made business immediately provide a profit.
3. A ready-made business develops faster. If the business is already working and generating some profit, it means that it has a positive financial history, which other investors will see and will also want to invest money. This means that the profit from our investments will also be higher.
4. The market has already been formed. There is no need to test the waters - the client already exists. The product is backed by real demand, which means the business will start working immediately.

The only downside I see is that not every business has prospects. Many businessmen attract investments to keep unprofitable or ineffective projects afloat, hoping for a miracle. And after bankruptcy, you can't force them to sell a kidney to pay you back. Just keep this in mind.

Risks and how to reduce them

All in all:

1. General market risk. All markets have ups and downs due to the economy, interest rates, inflation or other market factors. Investors cannot eliminate them, but they can hedge against the consequences with a diversified portfolio.
2. Specific risk. Associated with a specific industry/asset. Regardless of the chosen niche, uncertainty is present in any case. To get more guarantees, it is better to invest in evergreen niches. For example, printing artificial meat on a 3D printer is a risky business, but if you produce regular sausage and sell it at the nearest market, there will always be a buyer.
3. Liquidity risk. Money is an asset with 100% liquidity. Shares are easy to sell on the stock exchange, albeit with losses. Selling a share in a business is more difficult. And the more intricate the business, the less likely it is to find willing people.

Bottom line: Investors should be aware of these risks and consider them when making investment decisions.

How to find an investor for a new business

It is more difficult for someone starting a business from scratch to attract someone else’s capital than for a “seasoned” entrepreneur. It is important to understand not only where to find an investor, but also to understand the intentions of this person.

A large number of Russian citizens earned their capital through many years of work. They can increase their wealth through bank deposits or the purchase of mutual funds.

These people will show interest in the newcomer if the novice businessman convinces them of the greater profitability of his proposal. If the project promises high income and interest on investments, they will willingly provide money to open this business.

One conversation with a potential lender is not enough. Clear guidelines should be developed and adhered to. This will help you find your business angel – a person who is ready to provide support at all stages of the company’s existence. Success in finding such an “angel” is equivalent to success in the further development of the enterprise.

Types of investments

In the modern economy there are different classifications of financial investments. Therefore, I will focus on the main categories of investments.

By right of ownership

First, invest in your business. Having free money on hand, you can invest in your projects or buy a ready-made business. Many people consider this option to be the best, because in this case you are your own boss and all the money goes to you. But there are many more risks and pitfalls.

In my opinion, the most obvious problems are:

• you are responsible for everything;
• you need knowledge and experience to successfully start a business;
• high initial costs.

Secondly, investing in someone else's business. It’s easier to invest money in someone else’s business, but there are still plenty of risks here. On the one hand, you don’t need to take on all the work, on the other hand, you don’t have complete control over your money and there is no 100% guarantee of what the common people call a scam.

By investment volume

Based on this criterion, investments are divided into two categories:

1. Full financing. The simplest example is to raise money and open your own business. All the money comes from one investor and all the profit goes to him.
2. Partial financing (equity participation). When a business is already operating and there are good prospects for expansion, its owner can attract investment from outside. Typically, investors receive a share of the business equivalent to the investment. The exact conditions, as well as issues of rights, obligations and powers of the parties are agreed upon in advance.

By investment stage

There is no generally accepted classification, but I see two main investment options:

1. Investing at the seed stage. At this stage, most often there is only a business plan. The founder develops the concept and business model, prepares an action plan, coordinates permits and decides other organizational issues. Simply put, everything is already in place, all we need is investment.
2. Investments in an already running project. Launching a business is half the battle. For it to grow, you also need to invest money in it. And these are additional costs that require additional funding. Such investments are interesting because it is immediately clear whether there will be any benefit.

According to the form of profit received

Profit from investments can be active or passive.

Active profit is if the business owner himself participates in all the affairs of the company and without his participation the company will cease to function.

Passive income does not require personal participation in all work processes.

For example, like with real estate - you buy an apartment and rent it out. It seems like you are doing something (organization, control), but 90% of the time you are doing what you want, and the money is dripping into your pocket.

Where to start investing on the Internet - 5 requirements for a novice investor

The main goal of a novice investor is to achieve financial freedom with the least material (and moral) losses. Making profitable investments requires some preparation.

It’s not even a matter of having enough money to invest: you need basic knowledge and skills. The Internet is full of scammers and swindlers who are ready to profit from other people’s money. You need to be able to recognize deception and avoid such offers a mile away.

In addition, not all investment areas are suitable for beginners - some of them require some experience in the financial sector.

For a more in-depth study of this topic, read our article - “Investing for Beginners”.

And now – the basic requirements for novice investors.

Requirement 1. Availability of Internet access

The first condition for successful financial transactions is the presence of a stable and as fast as possible Internet connection. There was no need to talk about this requirement, but the fate of your money often depends on the quality of the connection and its consistency.

In addition to the Internet itself, investors actively use electronic payment systems, as well as any other reliable methods of online money transfers. And remember that any unsecured account poses a threat to your finances.

Requirement 2. Basic economic knowledge

Investing without basic economic training is like getting into the water without knowing how to swim. You shouldn’t invest in the first project you come across without learning the basics of smart investing.

Educate yourself. This will take a little time, but you will understand the principles and mechanisms of profitable investments.

Start with thematic blogs and forums, then move on to reading specialized literature. There are a lot of useful books written in accessible language that will help you figure out what’s what within a week or two.

I recommend Robert Kiyosaki's book, Rich Dad's Guide to Investing. There is a separate material on the resource about who Robert Kiyosaki is.

Want to know more about Robert Kiyosaki's key ideas? You can get a recording of how to apply the knowledge of “Rich Dad” in Russia and the CIS in practice and gain financial freedom. Order a recording of Kiyosaki's two-day intensive session using the link.

Requirement 3. Stress resistance

The right psychological attitude and resistance to stress are essential qualities of a successful investor.

It is extremely difficult for a normal person to part with his money and not feel worried about this. But you need to let this anxiety not prevent you from making sober and informed decisions.

And be prepared for the fact that investments are not about immediate profit. You should prepare yourself in advance for a long-term wait. Real results will appear only after a few months, or even years. The longer the investment period, the higher the income.

Requirement 4. Preparedness for financial losses

Managing financial risks is a complex task. Any beginner can lose some money, this is an inevitable side effect of the investment process.

Remember: luck is not constant. Even experienced investors face financial losses. The main thing is not to lose your cool in such situations and make any decisions only after a comprehensive analysis.

Requirement 5: Objectivity

This refers to a sober assessment of your capabilities. You cannot make a profit beyond what a specific financial instrument can provide.

Determine for yourself the time frame and investment goals in advance and only after that begin a gradual, measured movement forward.

Ways to invest in business

I'll name the main ones.

Own

Owning your own business is not just about getting all the profits yourself. There is no measured schedule of 8 hours a day, 5 days a week. You will have to work hard, often sacrificing your rest and personal life. Not to mention all sorts of hardships and savings on everything in order to collect start-up capital.

Personally, I see the following advantages of owning my own business:

1. Profitability. In the long term, you can get much more money from investing in a business than from being an employee.
2. Autonomy. You are your own boss - you plan your own schedule, make your own decisions and reap the results of your labors.
3. Influence. If you provide jobs, attract new investment and boost the local economy, you are no longer just a businessman - you are a well-known and respected person, which also has its advantages.
4. Safety. If you are your own boss, no one will fire you.
5. Self-realization. By bringing your projects to life, you grow professionally, and you know from personal experience what works and what doesn’t.
6. Connections Working with clients and suppliers, you establish personal and business connections, which is always useful.
7. Interest. When you do what you love and do a job that you really enjoy, it’s no longer a job, but a highly paid hobby. I didn't come up with this, but I agree one hundred percent.

The disadvantages have already been mentioned above - no guarantees. It was the bosses who poured caps on you at work, then they poured caps on the bosses themselves, and then everything returned to normal. Business works like this: you made the wrong decision and ended up without pants. Investing in anything is always a risk.

Share

Equity participation is a common practice in modern business. It simplifies the start for potential entrepreneurs, and makes it easier for existing businesses to find money for development.

In simple terms, equity participation is a method of attracting investments in which a lender, investing money in someone else’s business, receives an equivalent share. A good option for individual entrepreneurs and companies that do not list their shares on the stock exchange.

Startups

Investing in startups is an attractive option. Its advantage is high potential profit. The investor does not need to invent a brilliant concept - this is done for him. The investor only analyzes startups and selects the most promising business, in his opinion.

In the USA, for example, more than 400 thousand new startups are opened every year, and global platforms (such as Kickstarter and others) collect millions of promising projects, so there is no shortage of proposals; the main thing is to carefully assess the risks and build your investments in a safe place.

Stock

A share is an ownership interest in a company. Shares are traded on the stock exchange and are freely traded - anyone can invest in shares of a public company and become its business partner. Almost all successful companies (for example, Google, Apple, Disney and Coca-Cola, etc.) are traded on the stock exchange, which allows ordinary people to become investors and get a part of this business.

Pros of shares:

• dividend income;
• diversification of investments;
• liquidity.

There is only one minus: if the issuer is a loser, its shares are worthless. Therefore, for an investor, knowledge of fundamental analysis and the ability to painstakingly study economic calendars will at least not hurt. Without good knowledge of hardware, there will be no success either in business or in investments.

Bonds

Bonds are fixed income investments. The issuer pays a fixed interest rate for a specified period and then returns the principal amount of the deposit to the investor.

The main difference from stocks is that a bond is actually a loan note. It does not give the investor the right to a share in the business. But if a company goes bankrupt and its property is auctioned off, bondholders receive compensation first. Therefore, bonds are less risky compared to stocks.

Hedge funds

Hedge funds accumulate investor funds and transfer them to fund managers who invest them profitably in real businesses. Hedge funds are not as accessible as other investment vehicles, such as ETFs or mutual funds.

They differ from the latter in that they are not required to register with the SEC and operate with almost no regulation or control. On the one hand, this is a minus, but if an investor needs more freedom and does not want the tax authorities to know what amounts he operates and what business he invests in, hedge funds will come to the rescue.

Mutual funds

Investments in mutual funds are a hundred years old, but for many reasons they are still attractive to investors. Mutual Fund is diversification and professional management.

You invested the money and that’s it - they will select securities and rebalance the portfolio for you. You only give away part of the profit by paying for the manager’s work. Much easier than investing or creating a business yourself.

Investment projects

“Dodverie” is a new format of service for delivering household goods to residents of their homes (emphasis on food) Russia

500 000 ₽

"Dodverie" is... a collectively managed, transparent, trade and logistics, information and aggregation ecosystem. We are creating a service for delivering food and non-food products of everyday demand to city residents by courier to their doors or through parcel terminals (modules with cells for storing orders) that we install in their homes. Service using our it platform. We start with St. Petersburg (May 2020-2021), from 2022. We plan to scale it across the Russian Federation and other countries. Min. investment amount: physical person – 10,000 rub./legal entity. face – 100,000 rub. We attract at 20% per annum. Goal, objectives: to unite into the non-profit Union "Dodverie" primary Suppliers / Manufacturers of different categories (from large to small), Logisticians, Consumers, Environmentalists and other persons interested in the project with the aim of jointly creating a fair system for the food market, making food products, incl. high-quality, accessible to consumers both physically and in prices; solve environmental problems, for example, introducing returnable packaging. We are doing what no one has done before. We are building a holistic, fair, transparent mechanism for commodity, labor and business relations. The result is that all participants and links in the process receive the maximum increasing “win-win” effect. Quality products at affordable prices! In harmony with nature! DIFFERENCE from existing trade aggregators?? These projects today are focused on spontaneous consumption and niche goods. But most importantly, they are trying to monopolize the market. A good example is the rapid monopolization of the taxi market, in which almost all players were destroyed due to the fact that they did not have time to unite and form a collective response to the digital revolution. The Dodverie team invites suppliers and manufacturers of goods to take into account the sad experience of taxi market participants and join forces to create an open aggregation digital infrastructure. DIFFERENT from existing traditional store delivery providers? Companies that deliver goods from hypermarkets buy them at a markup from chains, do not significantly expand their assortment, and are therefore an obvious extra link in the supply chain. This is what accounts for their slow development. Thus, Dodverie offers participants a new format of interaction: Unite into a Union and independently determine the goals for the development of the Dodverie system and control it. Without resellers (represented by stores, resellers). We make products cheaper than in stores, making quality products available to consumers. Open for small production - equal, transparent conditions for all suppliers. A new delivery model is to parcel terminals at home. Cheaper orders, easier to receive for consumers. We solve environmental aspects, for example, the introduction of returnable packaging. What is the stage of project implementation? The project is at the 2nd stage of implementation “Pilot” - the launch of the delivery of goods to residents of one microdistrict of St. Petersburg (emphasis on everyday food products, niche and high-margin goods). Stage duration: March 2020 – 3-4 quarters of 2020 Planned budget for the Pilot stage - 5-8 million rubles And what will happen in 3-5 years? Within 3 years, 80% of the districts of St. Petersburg will be covered with a parcel delivery and logistics network. 30% of purchases from traditional food retail and non-food online trade should go through the Dodverie information and logistics network. For 5 years, the same figure has been observed in Russia. Financial model for making a profit? The organizer of Dodverie is not the owner of the goods and an intermediary between the manufacturer and the consumer; he receives 3-5% (the rate varies) from the turnover of the Dodverie service. The Organizer has minimal fixed costs (the wage fund is paid from its own profits, there is no rent, there are no other fixed expenses; all “expensive” project tasks, such as an IT platform, are developed using contributions from Union members and attracted investments). The organizer makes a profit with 5-10 million rubles of turnover per month. Who are we, the organizer of Dodverie? Our team has experience as founders of companies in the fields of: logistics of perishable food products, production of parcel lockers, production of healthy/farm products, creation of business communities and building self-governing organizations, financial analyst, professional in IT technologies, etc. Currently the team has 14 people, and it growing. Among us: Evgeniy Potapenko - 20 years in food logistics. For 13 years, NTK, its own group of companies for warehouse, transport and logistics services, is among the TOP 5 largest logistics operators in the North-West of the Russian Federation for perishable products. Launched an engineering educational project. “I like to expand the boundaries of the known, for example, (from the last) I tried myself in the “Leaders of Russia” competition, reached the semi-finals. 4 children. 3 higher education diplomas and a candidate's dissertation. Hobbies: yachting skipper RYA and IYT, skiing, roller hockey, football, basketball, yoga, practices, playing musical instruments: keyboards, strings, drums.” Evgeniy Konovalov is the manager and co-founder of the parcel locker and logistics company TelePort, one of the leaders in St. Petersburg in parcel locker logistics. A large number of valuable connections in the field of e-commerce. Specialist in marketing, politics, management and construction of parcel terminal networks. “I am an economist, graduated from FINEK St. Petersburg, Faculty of Economic Theory. For 10 years he headed a socio-political organization that consisted of almost 5 thousand people. Created several socially significant projects, including the international film festival against racism and xenophobia “Open Your Eyes!”. Worked as a marketing director in several different companies.” Dmitry Karpunichev is the founder of the Happy Partner company, one of the market leaders in Russia in corporate gifts. Experience in creating and building self-governing companies based on sociocracy. Yaroslav Sokovnin is the founder of the Etalon business club. Experience in building business communities. Social engineer. Legal sector in Dodverie. Stanislav Krasnoyarov is the founder of Redsteep, a company for the development of complex IT projects. Maria Maksimova is an expert in business analysis and management accounting. Experience working in large Russian and Western companies. Founder of the company Simple solution. Implementation of software to automate reports for managers and business owners. Management of projects and project teams from 3 to 20 people. Certified practitioner of Lean Manufacturing methodology. In Dodverie – financial sector. Andrey Nikolaev is the founder of the O-Soda baking soda import company. Tatyana Kulikova - food technologist, extensive experience in the supply of food raw materials and ingredients, organizer / director of a production branch in St. Petersburg from “zero” 2013-2017, currently a product developer, head / co-partner of the production of healthy products food supply in St. Petersburg. In Dodverie - the sector for working with Manufacturers and Investors. Dina Kozhnazarova - psychologist, coach. One of the most authoritative recruiters in St. Petersburg. More details

Where is it profitable to invest in 2020?

Not all investments and lines of business are equal in terms of profitability. As entrepreneurs, we are free to choose from an infinite number of options. What investments are most relevant today? I’ll say right away that there are as many ratings as there are agencies.

As for my personal preferences, I would decide to invest in one of the following:

• mobile business (mobile sales/development of games and programs/etc);
• Business-to-Business (B2B) services - in any direction;
• business aimed at children (because it will remain relevant as long as new people are born);
• services in the real estate sector (I won’t say that this is a global trend, but in Russia the real estate market is quite lively and money is circulating here);
• business related to VR technologies.

I also noticed that personalized services are gaining popularity. For example, mobile applications or websites focused on products, fitness, health, services (delivery, animal care).

This is a fresh business trend that is likely to become global soon. If I lived in a millionaire and had an extra dam of free money, I would not hesitate for a moment to enter the game.

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Where to find money to invest in a business

Controversial, but here are the options for finding investments.

Accumulate

The simplest, but slowest way. To begin with, we set a goal of saving 10% of our income. If we can do this without embarrassment too much, we try to save 12%. Then 15% and so on until the savings begin to cause real inconvenience.

If both people in the family work, you can save even more. We put the accumulated money on a deposit. In 3-4 years it is quite possible to collect a million, after which you can already think about your own business or investment.

Take a loan

Today banks offer various programs for small and medium-sized businesses. But I would not call this source the most accessible. Without a detailed business plan there is nothing to do, and the presence of one is not a guarantee of a positive answer.

Therefore, prepare in advance a list of banks where you would like to get a loan, because it is not a fact that it will work out the first time. But even if they give you the money, remember - one delay and 6/8/12% turn into 50/100/150% and more. If they didn’t give it back, they lost everything. In general, I wouldn’t get involved, but you know better.

Government subsidies

After our country set a course for import substitution, there were more government programs to support business, and it became easier to obtain them. Today, the federal government subsidizes entrepreneurs in amounts ranging from 60 thousand to 25 million rubles.

In addition, businessmen can receive benefits for the use of state property (rent of land or premises). Priority areas are the production of industrial and agricultural products, healthcare, tourism, services, IT and Hi-Tech.

Private investors

A private investor is an individual who has money and a desire to invest in someone’s business. Is it easy to get money this way? No. This is a risky investment. No one will just give someone money without clear guarantees.

You will either have to work out a compensation mechanism, or pay off a completely indecent percentage of future profits. And according to my personal observations, in Russia they give money for business much more reluctantly than in the West. But I think that in the future this form of investment will become more popular.

Ways to attract investment

A few more examples of searching for investments.

Close people

Borrowing money from friends is one of the fastest, but, in my opinion, undesirable ways to accumulate starting capital. In general, investing in debt is sitting under the sword of Damocles. I’ll say right away, personally, I would consider it second to last, right after a loan from a bank.

Why? Before asking for a loan, put yourself in the shoes of your sponsor. On the one hand, a loved one asks - it is inconvenient to refuse. On the other hand, the idea is not attractive; we are not sure that the investment will be returned.

And so we lend, sit, get nervous, expect the worst. And God forbid, they haven’t returned on time yet, the relationship begins to deteriorate. In general, borrowing money is bad, but borrowing from relatives and friends is even worse. If something goes wrong, there is no business, and your loved ones look at you like a wolf.

Other businessmen

A workable option, but only if you have both a million-dollar idea and a well-developed business plan. The good thing about this option is that if a person is established in business, he has knowledge and experience that can be useful to us.

But be prepared that a private investor will demand an indecently large percentage for participation. And no, he didn't get drunk. This is normal practice when you ask for money to start a business from scratch.

Funds

In simple terms, an investment fund is a common fund that is collected by individual investors and used to buy large pools of securities. There are open and closed investment funds. Despite the large number of ETFs, mutual funds are still popular. Some of the more prominent global funds include USAA, Polaris, and Steward Global Equity.

Venture investing

Venture capital is an investment in exchange for a stake in a business. But I will say right away that 90% of venture funds invest in already operating businesses that generate at least some profit. Their goal is to lead the company to an initial public offering and either buy a majority stake or sell it to a larger company for takeover.

Business incubators

A business incubator is an organization that invests in small and medium-sized businesses. Very often this is a product of cooperation between the state and large companies and private investors. Incubators work in different ways. Some are like real organizations with offices and a staff of specialists who provide not only financial but also information support. Other business incubators are more like online fundraising platforms and operate on a virtual basis.

Banks

Banks and credit unions also provide loans to small businesses, but getting money from them is not so easy. At a minimum, you need an impeccable credit history and a sound business plan. But this does not guarantee that the application will be approved.

Investments

Investments are a tool that allows you to make a profit through passive participation in a particular project. A competent investor must be able to assess risks and formulate a model for the development of their activities, taking into account all the important nuances.

This is one of the most reliable and simplest ways to get rich. What may be implied when talking about investments:

• standard financial instruments;
• property;
• intellectual values;
• resources.

Investments are also divided into direct (when an investor invests in a specific object) and indirect (operations on the stock market).

On the website of the financial supermarket Banki.ru, you can study and select instruments that allow you to invest in both domestic and foreign companies. Everything you need is collected here: stock quotes and forecasts for their value, information regarding the payment of dividends, data on stock brokers and management companies from the top ten.

This section was created to help potential investors. In addition to everything described above, there is the opportunity to switch to convenient automated services that make the user’s life as simple as possible:

• AI Advisor from Finam. Allows you to select the optimal investment portfolio to meet your specific needs.
• Robo-consultant from Solid. An improved investment service that selects stocks and bonds that suit the user.

Available investment options

What's on offer on this page:

• stock;
• bonds;
• IIS;
• Mutual Funds;
• investment training;
• a number of special offers (investments in foreign companies and several profitable investment strategies).

Stock

Before purchasing them, you can assess the condition of the companies and the profitability of the transaction on Banki.ru.

Securities available for study and purchase:

• Most often sold.
• Fast growing.
• With sharply falling prices.
• Guaranteeing maximum profit.

The list is always up to date, as the data is updated regularly.

Bonds

You can select bonds and Eurobonds by first assessing the investment period, risk level and potential profit. Investing in this product can bring significant income - more than when opening a standard deposit. The information on the page is also updated regularly.

IIS

An individual investment account is a tool that allows you to receive a tax deduction and ensure greater profits. Only Russian citizens can use it.

Banki.ru will help you select the appropriate products and formulate the right investment strategy. The maximum investment amount is one million rubles annually, and an IIS is opened for three years.

Mutual Funds

Mutual funds are used by those who do not operate independently. A portfolio of income-generating securities is managed by a professional manager.

To get started, you should purchase a share. Profitability is ensured by the increase in its value in%, taking into account the commission paid by the management company.

Education

From Banki.ru you can go to the educational platform “Red Compass”, where users are taught to make the right financial decisions. A person who completes free training will learn how to invest wisely and become one step closer to complete financial independence.

Important rules for finding an investor

There are a lot of rants about this online, but as far as actual actionable advice goes, I can think of three:

1. Make yourself known. Create profiles on thematic platforms and social networks. Tell us in detail about your business, team, progress, current status, future plans. Investments definitely won’t come if no one knows anything about you.
2. Find the right investor. Focus on those that work in your chosen industry. They will not only evaluate the project more adequately, but will also help in organizing and managing the business at first.
3. Build a killer case. I guarantee that 90% of investors will not delve into the long sheet of your business plans, no matter how good they are, no one will appreciate them. Therefore, make a concentrated summary from which the investor will learn why he should invest, where exactly his investments will go, and most importantly, what profit he will get from it.

Rating of companies that provide professional assistance in finding investors

Currently, several companies operate on the Russian investment market:

• Altera Invest;
• Alpha brokers;
• Business Bureau;
• Business Olympus;
• In business;
• Goodwill;
• Deloshop;
• Business sales center.

If you believe the statistics of BCS Premier, these companies conducted transactions worth approximately 100–150 billion rubles in 2020. There are other brokers, but they either work with a select group of companies on separate terms, or for the time being they do not temporarily participate in new projects at all.

Recommendations for placing your investment projects

• Use all the capabilities of
  sites and platforms - be placed on the showcase of investment proposals and ready-made businesses, take TOP in issuing investment projects, send mailings to the investor database, write articles and publish them on the site (
  many sites from the list have this opportunity
  )
• On sites for selling businesses, tweak your ads
  , focusing on passive income for a potential investor (
  no one wants to buy a job for themselves, all investors want to receive money on a card
  )
• Avito is an ambiguous platform
  .
  The “ ready-made business
  ” section is perfect for finding investors if your business is clear and obvious to the masses - on Avito, cool results show investment offers from pawnshops, retail businesses, restaurants, etc.

Ways to invest in startups

There are two forms of investment in a startup:

1. Debt financing. Simply put, an investor is an ordinary lender who gives money at a fixed interest rate and does not claim a share in the business.
2. Equity financing. Conducting a public offering and selling shares on an exchange is the best way to attract real investment, but not the only one. If a company is not sure that it can immediately make a loud statement about itself, it does not go to public trading and distributes shares in the business among a limited circle of investors.

Investments in startups: TOP best directions in Russia where to invest money

Here is my list of the most profitable and safe investments for 2020:

• bank deposit;
• ETF;
• mutual funds;
• stocks/bonds;
• P2P lending;
• own franchise business;
• real estate;
• trust management.

What I categorically do not recommend investing in:

• Forex;
• binary options;
• precious metals;
• cryptocurrencies;
• art and antiques.

I’ve seen a bunch of ratings that describe the advantages of investing in the listed areas, but people are either out of touch with reality or deliberately misleading. This is a lottery, not an investment.

How and where to start investing with minimal risks

No matter how stable a company or bank is, sooner or later they will all turn into a scam. But at the same time, it is impossible and would be stupid not to work with them, since such tools still allow you to earn income. Next, I will offer several methods, which are among the most popular and in demand. In addition to them, they often rely on bank deposits, but 5% per year income, I must tell you, is not the most profitable option. Investments in business allow you to get up to 30% per year, and if successful, even up to 100% in 12 months, but the starting amounts are not small. Mutual funds are also being considered, but frankly speaking, their time has passed; I recommend foreign ETFs as an alternative.

Stock

For those who are looking for an option where it is better to invest money for a novice investor, securities are the most promising direction. You can trade them through a broker yourself through a terminal or by placing funds in trust for an intermediary. There are stocks to choose from from both large companies and those just entering the market. There is only one rule for making money: try to buy at the decline in prices and sell at the peak.

Bonds and Eurobonds

It’s a good decision to work with different amounts and lend money not only to your own state, but also to others. As a rule, the annual income is up to 10%, but the instrument is considered one of the safest with minimal risks. Bonds are issued not only by central banks or ministries of finance of countries, but also by companies and corporations. You can learn what Eurobonds are and how they can make your portfolio stronger from the material on www.iqmonitor.ru.

ETF

The optimal proposal is to immediately distribute your funds into different instruments. By purchasing a share in a fund, you automatically receive shares in the companies that are included in it. Some companies pay dividends once a year, and if you find 12 different ones with regular payments, you can learn for yourself how to make money on investments every month. Plus, you can include not so profitable, but safe funds as a deposit.

Currency

When studying whether it is possible to make money on investments and what needs to be done for this, many are faced with the offer of currency trading. If you want, you can do this on the foreign exchange market, but only with the help of intermediary brokers. In the usual sense, you get the difference in the exchange rate: having bought a dollar for 50 rubles, wait until it increases in value by 68 and sell. In this case, it is worth remembering that the graph resembles a sine wave - it either rises or falls rapidly.

Startups

Reading the reviews of investors who invest in this instrument, we can note that the time of financing projects on the terms of further payment of dividends and obtaining a seat on the board of directors was the most attractive in the period 2018-2019. In 2020, the popularity of crowdfunding platforms decreased slightly, but by the end of the year, many companies will be looking for outside funds for their development. Income indicators are different. In general, you can get from 5% per month.

Websites

For those who want to know everything about investing for beginners, I recommend taking a closer look at this method of investing, especially if you have experience in independently developing a web resource. You can receive funds in this way using different methods:

1. Create a website yourself, promote it, for example, as a news feed, then sell it.
2. Invest in development and receive income from a company or online store.

Investment strategies

All investment strategies have one common goal: maximizing profit while minimizing risk.

They help us reach our financial goals and grow our wealth while maintaining a level of risk that allows us to sleep soundly at night. The investment strategy we choose affects everything from the choice of assets to how we approach buying and selling them.

The most popular investment strategies:

1. Buy and hold. Its whole meaning is already reflected in the title. The main priority is investing in companies that will steadily increase momentum for many years. The idea is to not get rid of assets when the market falls and the business declines, holding on to them until the bitter end.
2. Value investing. Warren Buffett's favorite strategy. Its essence is buying undervalued shares with good long-term prospects. The investor's goal is to wait for the business to realize its true potential in the coming years and make a profit.
3. Investing in growth. This strategy suggests investing in stocks of emerging companies that are growing at above-average rates. Such a business often offers a unique product or service that competitors cannot easily duplicate. This success is usually short-lived and lasts as long as public interest remains or competitors have not yet entered the market. Therefore, the main merit of the investor is to take the maximum profit while the business grows on the hype.

How to resolve conflicts of interest in direct investment.

I would like to consider one more aspect of direct investment in small businesses. This is an inevitable conflict of interest between the investor and the small business owner. What is this conflict? Almost every investor wants to invest their capital in such a way as to ultimately return the invested funds and, in addition, receive a constant stable source of income. Almost every small business owner wants to use investor money to create a source of income for himself (a sustainable business) and is ready to share it only with someone who puts as much effort, knowledge, and time into its development as he does. Such thoughts especially overcome him after a small business (let me remind you, with the help of investor money) gets on its feet and brings in significant income. He considers the role of the investor in business to be fulfilled, therefore, in his opinion, the investor should limit himself to the return of funds invested in the business and the resulting return on capital. This is where the conditions for the investor’s exit from the business, stipulated in the investment agreement, should play their role.

The task of each investor, even before signing an investment agreement, is to carefully think through the “exit technology”, model various options for the development of further relations with the business and write down in the agreement options for resolving all potential situations that would protect the interests of both parties. On this topic, the famous popularizer of investing R. Kiyosaki wrote:

“The reason why most average investors lose money is that it is often easy to invest in an asset, but difficult to get out of it. If you want to be a savvy investor, you need to know how to get out of an investment just as well as you get into it.”

Investor reviews

Sberbank Venture Fund Manager Viktor Orlovsky:

“The startups we target are not after money. It is very difficult to grow a large company in the Russian market. Growing in such a market means swimming against the tide.

Domestic investors have limited access to capital. There are enough investors on the Russian market who are ready to invest in the early stages of development, but few are ready to pour tens of millions into growing companies that need money for development. And this is the main problem."

Tatyana Bakalchuk is the richest woman in Russia:

“The main principle is not to waste money. Business has two driving forces - cost optimization and product/service improvement. Business must grow and develop, because consumers also evolve and their needs change. If a business does not have the potential to develop, it rots and declines.”

Advantages and disadvantages

Investment business is an attractive line of activity with the following advantages:

• Opportunity to start work with a small start-up capital. A businessman independently determines the amount of investment, guided by the rule that he needs to invest the amount that he is not afraid of losing.
• A chance to realize the creative ideas of an entrepreneur and influence the work of the chosen organization.
• Possibility to choose between various investment objects and numerous business projects.
• Future-oriented. As the investment portfolio increases and diversifies, passive income , which can ensure a comfortable existence for many years.
• Unlimited profit. The investor's income is unlimited; it all depends on how well the investment object is chosen.

Disadvantages of investment business:

• Minimal investments bring little income. To receive tangible dividends, you need to have a large initial capital.
• An ordinary investor cannot influence the development of a company. The management of the organization determines the range of products, production and personnel policies independently.

Alternatives

Even a successful investor and businessman has to look for reliable alternatives to his main income.

So, here is a list of the most promising, in my opinion, alternatives:

1. Peer-to-peer lending. Not a business or an investment in the classical sense. It is no different from a regular loan, except for one detail - the bankers were thrown out of the scheme, due to which the investor receives more profit and the borrower pays a lower rate. Everything works online through intermediary exchanges that charge a small commission. The downside is that it is a risky investment. Plus - the potential profit is higher and there are no reports to the tax authorities.
2. Real estate. An old trick that still works. The main goal is to find a good area, real estate prices in which should rise in the future, and buy an apartment there at the stage of new construction. When the price rises, the apartment can be resold or rented out. Investment and business with passive income rolled into one.
3. We ourselves. A good investment with minimal risk and possibly the best investment you can make. Take several courses to improve your productivity and efficiency, or learn new professional skills. As a result, this will allow you to get a salary increase, a promotion, or even get a new, better-paid job. Yes, not your own business. But you don’t have to worry, live according to a standard schedule and enjoy the full social package. Investing in yourself, in my opinion, is always the right thing to do.

Or take a few classes on investing so you can improve your investment returns. Just first make inquiries about the lecturer so as not to fall into the hands of a charlatan who works on the principle “if you don’t know how to do it yourself, teach someone else.”

Myths about investing online

There are common myths that prevent investors from starting their projects. Fears and stereotypes prevent a sober view of investing and do not allow a reasonable assessment of personal financial prospects.

Myth 1. Investing is only for the rich.

Perhaps 100 years ago, only those with substantial fortunes could really receive passive income. Nowadays, investing can be done with even modest savings. You just need to approach the issue of redistribution of funds wisely.

The threshold for investors to enter modern Internet projects is often purely symbolic amounts. You can take your first steps with just $10 in your pocket. With $100 you can even create an entire investment portfolio by investing in, say, PAMM accounts.

Myth 2. Investing is associated with high risks.

There are risks in any business related to finance. Even a deposit in a Swiss bank does not guarantee 100% safety of the deposit. The risk of losing money increases when you break investment rules or make stupid mistakes.

It's like driving a car through a red light and speeding. Dangerous? Yes, definitely. Can it be avoided? Look around carefully and obey traffic rules.

Myth 3. Investing is for smart people

Making profitable investments is no more difficult than putting in 8 hours of hard, monotonous work every day. Investing is a skill that can and should be mastered.

No special education is required for this. The only thing that is required of you is to understand that money is an asset that can be made to work for yourself.

I recommend watching a useful video on investing from Robert Kiyosaki.