The Economy Man

Why To Invest ? 🤔 In this previous blog we will describe the basics of stock market. Recap -: But why anyone want to learn when you have the option to directly invest and learn from practical experience. The Answer for this question is very simple -: “Because you can't build a great building on   a weak foundation!” Now , Take a look at these points -: WHY TO INVEST? At some point, you’ll have enough money saved up where you’ll think, “Wow, I should probably invest this somehow.” Whether you are a doctor, a teacher, a student, a government servant or a part of the private corporate world, you need to invest. In order to build your wealth, you will want to invest your money. Investing allows you to put your money in vehicles that have the potential to earn strong rates of return. If you don’t invest, you are missing out on opportunities to increase your financial worth. Of course, you have the potential to lose your money in investments, but if you invest wisely, the p

You are the average of 5 people you spend your most of the time with. The people you spend the most time with shape who you are. They determine what conversations dominate your attention. They affect to which attitudes and behaviors you are regularly exposed. Eventually you start to think like they think and behave like they behave. As Darren Hardy writes in The Compound Effect: “According to research by social psychologist Dr. David McClelland of Harvard, [the people you habitually associate with] determine as much as 95 percent of your success or failure in life.” That’s huge. And it has important consequences. The dream in your heart may be bigger than the environment in which you find yourself. Sometimes you have to get out of that environment to see that dream fulfilled. It’s a fact of life that some people hold us back, while other propel us forward. That’s just the way it is, so you might as well accept it and learn how to deal with it instead of wishing that reality was

Crowdfunding Or Bootstrapping In this blog we're going to cover the both the topics which help you to decide which type of funding is suitable for your startup Crowdfunding -:  Crowdfunding is the practice of funding a project or venture by raising small amounts of money from a large number of people, typically via the Internet. Pros and cons of Crowdfunding  -: PROS: Reasons to Consider Crowdfunding 1. There’s not much financial risk 2. Your campaign could go viral 3. A successful campaign validates your business idea 4. You keep all of your equity 5. You can tap into an existing community—and build your own CONS: Reasons to be Cautious With Crowdfunding 1. It takes time and money 2. Your campaign might not succeed 3. Someone could steal your idea 4. You have to pay several fees 5. It doesn’t work for all businesses If crowdfunding isn’t right for your company, you’re not out of hope. There are other small business financing mechanisms to choose from. Use Startup India Scheme to g

Factors Determining Stock Price 📉🔗📈 In this blog we're going to describe some factor's which really has an impact on stock price . First take a look at demand and supply theory and  Stock prices rise when buy orders outnumber sell orders, and prices decline when sell orders outnumber buy orders. Demand is proportional to four factors: earnings, economy, expectations and emotion. Stock prices usually rise when all four factors are positive and fall when all four are negative. This is some basic coverage of Rising and Falling of stock price . Let's try to understand that how these 4 factors affect a stock price in detail ? 1) Earnings Publicly traded companies typically report earnings about three weeks after each quarter end. Investors punish the stocks of companies that cannot meet their own projections or the consensus estimates of research analysts. Stock prices generally rise when companies meet or exceed published estimates and provide optimistic guidance about up

Risk Management We're going to cover all aspects of Risk management in this blog. So Try to read this article without any distractions as this blog post is going to help you in real life . Risk management -: Risk management is the process of identifying, assessing and controlling threats to an organization's capital and earnings. These threats, or risks, could stem from a wide variety of sources, including financial uncertainty, legal liabilities, strategic management errors, accidents and natural disasters. Now, take a look at how to professionally Start managing Risk ? Five Steps of the Risk Management Process Risk Management Process.  Step 1: Identify the Risk.  Step 2: Analyze the Risk.  Step 3: Evaluate or Rank the Risk.  Step 4: Treat the Risk. Step 5: Monitor and Review the Risk By Following the steps given above . You get an analysis about the risk and its key factors to avoid it and how to get out of it ? Or how to square off it ?  Now, Look at how to develop risk mana

Power Of Compounding Effect In this blog we're going to explore about Compounding Effect 📈. Let's start with some basic concept -: What is Compounding Effect ? Compounding is the ability of an asset to generate earnings, which are then reinvested or remain invested with the goal of generating their own earnings. If you extrapolate the process out, the numbers have the potential to grow as your previous earnings start to provide returns. How is Compounding Effect help you & me to beat inflation ? Or to become Financially Independent ? Let’s say you have Rs.100 and you put it in a savings account that earns 5% interest each year, compounded annually. At the end of the year, you earn Rs.5 in interest and it’s put into the account. The next year, thus, you’re earning 5% on the new Rs.105 balance. At the end of the following year, you’ll actually earn Rs.5.25, giving you a total balance of Rs.110.25 at the end of the year. Notice that the earning has gone up, even though the in

 How to Start a Startup / Business ? In this blog we help you to Start your own business by following the points given below . You can also say it as a roadmap from thinking of an idea to setup in the market place . Points To keep in mind while thinking of  How To Start a Startup/Business 1) Clearly define your business by doing your own research. 2) Know the Marketplace by determining the right customers. 3) Develop a business plan by having a strong mission. 4) Decide how you'll cover your start-up costs.   5) Get Your Business Registered and Open Bank Account For Business Purpose  6)  Secure Intellectual property -: Get Your Brand's Trademarks Registered to create monopoly . 7) Get GST and other business related licenses ( varies from industry to industry)  8) Take your business online by Starting getting into E-commerce by getting into Social Media , Website and use digital marketing to increase sales and reach . 9) Get Your business Setup in a market it can either be onlin