The term “capital investment" sounds so sophisticated, doesn’t it? It conjures up mental pictures of smartly dressed professionals wheeling and dealing from across mahogany desks and behind heavy, brass-handled cherry doors. Let’s make it a simpler concept by breaking down the term into the two basic words that make up this economic concept.
Capital is basically money that is paid to purchase or acquire something that may have an innate value or a personal use. This may be in the realm of the business world, or it may be as simple as a major home repair. Yes, you the homeowner, make capital investments every year. You may not have thought of it in this way, but replacing windows, a furnace, or even a hot water tank could all be considered a capital investment. These purchases are made with “capital" or money and they are made with the intention of acquiring something of permanent use or value with the end goal being to improve an existing situation.
The second term is investment. An investment is simply money that is put or deposited into a business or home. When this business makes a profit on the item or items that were purchased with the initial amount of capital, it is considered a worthwhile investment. Those involved with the initial investing process are sometimes referred to as stakeholders. These individuals or groups may receive a dividend or a return on their investment once the total expenses are subtracted from the entire process.
For the most part, this profit is usually in direct correlation to the amount he or she initially placed in investment. So, if I invested ten dollars, and you invested twenty, your take on the profit should theoretically be twice as much as mine after covering operating costs. The expenses may range from utility consumption to benefits for employees. If this is a complicated business venture, the expenses may be numerous so a business plan must be in place to safeguard the business from possible financial demise. In other words, it is imperative to “think" before purchasing a large ticket item that may have little to no return.
Today’s business economy is global in nature. Businessmen connect to others through the use of the Internet on a daily basis. Wouldn’t it make sense to locate capital investors using this method? Well, that is exactly what Australian Investment Network did. This Australian web based company helps entrepreneurs connect with interested investors. These private investors are referred to as business “angels".
This user friendly web site provides detailed descriptions of business plans and proposal summaries that may peak the curiosity and interest of potential investors. The one hundred and ninety-nine dollar referral fee allows you to access contact details of all the investors who are interested in your project for a ninety day time period. The website modestly boasts that it takes the time consuming and frustrating ordeal of searching for an investor and simplifies the process bringing thousands of investors in Australia and abroad into contact with business entrepreneurs hoping to make their dreams come true.
Do you have a business dream you would like to see turn into a reality? If so, this global connection may be the ticket!
URL : http://www.capitalinvestmentsaustralia.com.au/?page_id=6