Investing a SMALL amount of money/Starting a "business"?

Discussion in 'Community Discussion' started by 7254278, Jan 7, 2008.

  1. 7254278 macrumors 68020

    Joined:
    Apr 11, 2004
    Location:
    NYC
    #1
    Hey all,

    Let me start off by saying I know nothing about investing money or starting a small business, nor do I have a product. This is simply a post to educate myself on possibilities as I am very ignorant on this subject.

    I just came into a small amount of money. $500 give or take a bit. I have no use for this money so I want to experiment a bit now that I am young and maybe get some educational value out of it and maybe make a small profit. What if anything would you invest this money in? Are stocks an option? I also toyed with the idea of starting a small ebay business, but I dont have a real product. I was kinda playing with the idea of buying broken ipods and maybe replacing parts and reselling them etc. But I am not really sure on anything, nor would I really know how to go about it in the business sense(is it profitable, ETC). I guess I'm kinda asking if you had a sum of around $500 dollars what would you invest it in or do with it, apart from spending it or just saving it? What would you do to attempt to turn these $500 into more profit? I am aware I am very limited and I might end up failing but as I am new in the business world I guess even if I fail, I will take it as a learning experience. . . I just wanna see what my options are. Any ideas to help out a newbie trying to learn a little bit in the business world?
     
  2. da2005pizimp macrumors 6502

    Joined:
    Jan 30, 2006
    Location:
    Gilbert, AZ
    #2
    well i started buying and selling clamshells 2 years ago. I just started by finding good deals (and sniping) on ebay and then reselling them on ebay, i would find a better time and day to list them. I then started to find clamshells that needed repair, then i would buy them fix them and resell them. it wasn't until i found the oppurtunity of a lifetime that i really started doing this. I bought 366 graphites for 75 each, but they all had airport cards in them, i made about a grand out of a couple of hundred. and from there i have just been trying to buy up lots of ibooks in need of repair. So basically what i'm saying is that if you don't need the cash and want to try something new i'd go for the ipod thing, that is what i was thinking of doing next so you may have some competition soon ;) trust me, if you enjoy doing it and can make a few extra dollars then it's well worth the time. just my 2 cents, probably not worth anything though.
     
  3. 7254278 thread starter macrumors 68020

    Joined:
    Apr 11, 2004
    Location:
    NYC
    #3
    Hmmmm, wow, sure sounds like you've been doing alright for yourself. . . Im gonna do a little more research before I do anything though, but thanks for the opinion.
     
  4. da2005pizimp macrumors 6502

    Joined:
    Jan 30, 2006
    Location:
    Gilbert, AZ
    #4
    no problem, i just know that you have to have alot of money for stocks or anything like that.
     
  5. prostuff1 macrumors 65816

    prostuff1

    Joined:
    Jul 29, 2005
    Location:
    Don't step into the kawoosh...
    #5
    My suggestion is to talk to your parents, if that is an option. I know what i would do with the money. I would probably put it into a high yield savings/mutual fund that earns a lot of interest. A CD from your bank would even work. You could also look at stocks and bonds as another option,
     
  6. da2005pizimp macrumors 6502

    Joined:
    Jan 30, 2006
    Location:
    Gilbert, AZ
    #6
    I may be wrong but i just don't thank that the return on a CD is really worth it. I looked into it awhile back and remember that it paid very little to have it tied up for a long time.
     
  7. wordmunger macrumors 603

    wordmunger

    Joined:
    Sep 3, 2003
    Location:
    North Carolina
    #7
    Actually you can open a brokerage account with $500. With $9.99 per trade costs, you could actually invest in the stock market. However, trading in individual stocks is risky.

    But it might be better to start with mutual funds. Here's a list of mutual funds with a $500 initial investment.
     
  8. themadchemist macrumors 68030

    themadchemist

    Joined:
    Jan 31, 2003
    Location:
    Chi Town
    #8
    One thing to watch out for on mutual funds are all the fees. They can really eat into your profits. I would check out Fortune magazine to see their recommendations; they have good advice on low-cost funds and rankings of which funds have performed the best historically.
     
  9. jeanpollux macrumors newbie

    Joined:
    Sep 29, 2009
    #9
    Profit comes with opportunities. Opportunities come with passions. Find a domain where you will likely invest your time and efforts first and you'll no need 500$ to make profit.

    Forget trading if you don't have more than 10000$.
     
  10. maflynn Moderator

    maflynn

    Staff Member

    Joined:
    May 3, 2009
    Location:
    Boston
    #10
    The only advice I can provide is that starting a business stakes a lot of things and doing is just to learn may not be the best reason. Consider how this may affect potential customers if you close up shop because you're done with it.

    Starting a business typically takes money, hardwork and motivation. Back when I was in college, I lept hearing that the single reason for small businesses to fail is being under-capitalized. To that end, that 500 dollars may be inadequate. Also if you don't have a product or a desire you may not have the motivation to stick with it during the hard times.
     
  11. heehee macrumors 68020

    heehee

    Joined:
    Jul 31, 2006
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    Same country as Santa Claus
    #11
    You guys know this is a 2 year old thread, right?
     
  12. Darth.Titan macrumors 68030

    Darth.Titan

    Joined:
    Oct 31, 2007
    Location:
    Austin, TX
    #12
    Don't be too harsh. A spambot jumped in and brought it to the top of the pile, that's all.
     
  13. iPhone 62S macrumors 6502a

    iPhone 62S

    Joined:
    Aug 18, 2009
    #13
    The best way to learn business is to do it. If you want to learn, it's best to do so early too.

    However, if you do have a product eventually, it'd cost a lot more than $500 to get up and running.

    If you want to invest, Apple stock is very profitale at the moment, but you would need to wait for it to go down before you can profit from it, which might not happen for some time.

    EDIT: Oops, just realised the age of the thread!
     

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