How To Allocate Your Business Profits?

[Spencer]

If your business eventually becomes profitable and you're making money hands over fist, what do you do with all of that cash, do you go buy a sport car, splurge on clothes or dash it to your mom? In this post we will I'll be looking at how to allocate excess business profits.

1) Emergency Funds: as a business owner whose not raining a salary building an emergency funds is key in securing your finances, you can put it in a money market.

2) Reinvest: Since your business is making money, the best thing to do is to pour some profits back and make more money.

 

[Mika]

There are a lot of ways to use your business profits. The most common way is to use it to build your business capital. If you started small, you can use your business profits to grow your business. Another common way to use business profit is for repaying your business loan. If you started your business with a loan, you can pay back your loan through your business product. You can also use your business profit for research and development, or on marketing