I have 8k available for 6-months, what should I do?

[grincher]

I could put it in the bank at 2.75% gross, but can I do something else.

I have considered a) stock market b) lending it on zopa c) starting a business...any ideas?

the key is I need to repay by 1st March 2011 and the capital must be protected.

 

[Christine Hough]

Lending on Zopa is for longer term loans.

You missed buying lottery tickets!!

But sriously, starting a bisiness all depends on what business, where, and whether you are interested in it.

You may even want to consider loaning it to someone else you know to start their business if you have no particular passion.

 

[Geoff Carter]

Having £8k and six months is a wonderful opportunity to
create a business working from home, but only if you like
the idea.

It's plenty of time to really get going and to generate an
income that could ultimately enable you to have the life
you truly desire.

The key is do something with it.

Action is essential...

I know many folk who would just love what you have and
be able to build a life and business.

Enjoy exploring possibilities... but don't wait until next year to
really get started.

I wish you well with this.

 

[grincher]

thanks for the quick replies!

ironically, I dont gamble

I had considered lending it to a friend as a short term loan to finish his property, but I like to keep friends and I would like to build something more longer term around a business.

Maybe import in demand items I can resell here online.

I was trained as an Economist and then moved into accountancy, but I left all that behind me years ago. Since then I have been restoring victorian floors...a big change I know! However, business is seasonal and quietens down in winter.

 

[Liybpg]

What will happen if you lose the money? Are you really prepared to take that risk? I don't think you can make a massive return anyway

 

[Christine Hough]

I still think the key to this is what are you interested in?
Any business is a bit risky with regard to protecting the capital for 6 months. Even things that work out well may overrun.

So to start your own business needs a cool headed analysis.

Also beware with buying and selling. If you are intending on using ebay and paypal I have seen people's businesses decimated when a few rogue buyers claim they have not received their goods and, despite recorded delivery signatures, they loose the money. If your margins are tight this can be the difference between winning and loosing.

 

[mike.davis]

Having £8k and six months is a wonderful opportunity to
create a business working from home, but only if you like
the idea.

It's plenty of time to really get going and to generate an
income that could ultimately enable you to have the life
you truly desire.

The key is do something with it.

Action is essential...

I know many folk who would just love what you have and
be able to build a life and business.

Enjoy exploring possibilities... but don't wait until next year to
really get started.

I wish you well with this.

What are you talking about? Its only 8k! You say "many folk would love what you have and be able to build a life and business"?! It's enough to start a a business but not a life.

Your talking like he said 80k, realistically there's no point in trying to go into business unless you have an idea, the idea comes first then the money not the other way round.

 

[Geoff Carter]

I appreciate your observations, Mike.

Of course an idea needs to be established first.

My comment was about a business from home,
not a bricks and mortar business.

So, 80K, 8K or even 1K is not needed for an Internet-based
business (I'm not talking about eBay - though nothing wrong
with it). In fact, I've helped clients start their own business
for a little as $80. Opps! £50.

And a life? Once you have the business you want and it's
successful, you'll have the life you want too - yes, and may
be freedom.

Helping individuals and businesses start and or grow their
business is exactly what I do...

 

[KidsBeeHappy]

Premium bonds. Just like the lottery, but you have the added advantage of keeping your capital.

(it's where my tax fund stays, all the way up to the payment date!!)

 

[kate1]

I agree with you Mike,

Im looking to start something with my partner (I am freelance telesales have been for 10 years) But with the current job market the way it is, I feel that doing something of our own backs is the only way to go, he has been employed for 25 years without a break really, we moved back from Malaysia where he had been working and job market here is not good.

Having the idea of what you want to do is a nightmare. What we can both do

Yes look at the hobbies, what were interested in, etc etc, that didnt turn over much lol.

8K isnt a massive amount but you maybe able to start something off small, like Geoff said

 

[adventurelife]

the key is I need to repay by 1st March 2011 and the capital must be protected.

Forget any business deals due the above statement. If the above is a must and it sounds like it is then you have the choice the bank or bonds etc.

Everything else is to much of a gamble if you must pay the cash back 6 months time

 

[Homshaw]

First of all don't go around telling people you have money burning a hole in your pocket. There are plenty of people who will see it as a challenge to relieve you of it. It's amazingly easy to be caught up by a slick operator.

You should put it somewhere safe with the best interest possible. One day you will need it.

 

[Christine Hough]

I understand that with premium bonds it is a couple of months after buying them before they get put into the draw.

Bearing in mind the time of year a fairly safe bet might be to buy stock for a 'Christmas shop'
whether in an unused shop or a market stall.

They seem to have done well in the past.

But your first decision is how much you are prepared to risk and how bad it would be if you could not get at all of the money in six month's time.

 

[grincher]

I agree with you Mike,

Im looking to start something with my partner (I am freelance telesales have been for 10 years) But with the current job market the way it is, I feel that doing something of our own backs is the only way to go, he has been employed for 25 years without a break really, we moved back from Malaysia where he had been working and job market here is not good.

Having the idea of what you want to do is a nightmare. What we can both do

Yes look at the hobbies, what were interested in, etc etc, that didnt turn over much lol.

8K isnt a massive amount but you maybe able to start something off small, like Geoff said

Yes. I am looking at something small and build it gradually. In all candour £500 could buy me stock until I can resale and buy more rather than blow the 8k asap on a business.

 

[Stephen_latimer]

If you have time and money all you need is an idea ,one which you like ... a lot for this reason. if you are going to do something it does pay to enjoy it and if you enjoy it you will probably do it well and it wont feel like work either it started a pc shop because i loved fiddling with electronics and now i build the nicest custom computers around i love it good luck. S

 

[grincher]

thanks for all the replies. it has given me something to think about. ideally, yes do something I enjoy. I like using my hands and old things. So restoring and cleaning Victorian floors is ideal. I have also undertaken some project management for friends _ really enjoy this too. I will keep looking into it. thanks once again.

 

[Mustaka]

OP,

As a PSP we see what works well and what does not. What I have seen that works pretty well and is easy to get going with little working capital is selling baby & toddler products online. There is always going to be a demand and it is very easy to go around to local school, creche and day car center to tote for business. One model is you offer a kick back to the lets say day care center on anything that is sold on referral.

1. You dont hold in stock but use a drop shipper.
2. Setup costs are your website and a merchant account.
3. Print stock for flyers. Probably cheaper to use a printer for this though. Lots on here that will sort you out i am sure.

The product that sells the best are prams. The way I would do it is run email campaign to your buyers telling them if they pass on details to someone else they know they get a a credit to their next purchase.

The company that is doing it phoned my company up asking for a terminal. We her in a different direction and she is now doing circa 5m GBP per year turnover. No idea what her margins are though.

Hope that helps.

 

[mike.davis]

So, 80K, 8K or even 1K is not needed for an Internet-based
business (I'm not talking about eBay - though nothing wrong
with it). In fact, I've helped clients start their own business
for a little as $80. Opps! £50.

How? £50 isn't enough for a logo design, let alone a web design - not to mention stock etc.

 

[Experienced IT guy]

Spend it on booze and fast women. If any remains then fritter it away and say "oops" at the end.

Hope this helps - If it does click thanks!

 

Your talking like he said 80k, realistically there's no point in trying to go into business unless you have an idea, the idea comes first then the money not the other way round.

Well my experience is that you need to have the money available to have the idea,as I would be going down a very differnet road with 1 million compared with 8k.

After all in general it is money that makes money ,not ability.

Hence why very few of the less well off ever rise to a position of wealth.

Earl

 

[Bri]

Well theres a guy on another thread looking for 3000 so you'll have two grand left to play with.

 

[Geoff Carter]

Hi Mike

Thanks for your observations about my post regarding
spending just £50.

Yes, I made a mistake...

I meant $50

First, one is assuming a website and a logo are needed.
Well, they are not.

Too often, start-up companies get drawn into ordering
a website when at the outset they don't fully know
what they want it for. A website is just one tool in
the box. Buy one when you need it.

But, let us assume a website is required.

Cost of a domain name: $10
Set up a blog: free
Web hosting: $3/ month.

Add...

Business cards: often free, but pay $15 P&P.

Opps! I'm a bit over my $50

I have worked with countless clients starting with
this model and saved them a fortune... which they
can spend on other things if they wish later, but
not at start-up.

Oh! I nearly forgot... what about the logo?

Hmmm! These can be expensive... but you can have
one designed if you wish for the grand sum of $5 too!

This is a serious post - I am trying to make the point
that all too often people go mad and spend a large
sums to get going, when they don't need to.

I believe my role, and I am sure yours and others here,
is to help people be successful... getting them into a
ton of debt before they earn a button is not what I'm
about.

Lastly, I would also like to add that all the prices quoted
above are indeed correct.

I hope this helps

Cheers

Geoff

 

[grincher]

its been a week or so since my original post and I would like to update the group.

I have had 4 approaches. One was to sell non brand or replica products, which I rejected. A second was to sell razor blades but the supplier wanted a large upfront order which for the obvious reasons I wasnt keen on first off, so I have declined that.

My third offer was to sell pipes and cigars, however, I am not sure this is a runner in the UK or whether I license is required!

My final offer was to be the UK representative for a window and door company.