Investing money is only for people who have lots of money to invest in the first place, right? Wrong. If you invest wisely, even a small amount of money can grow to a large amount, sometimes much faster than you’d think.
Don’t let limited funds put you off investing what you have. Get out of debt first, create an emergency fund and then consider these 7 ways to invest $100 and grow it to $1000.
Here Are 5 Ways to Invest $100 and Grow it to $1000
5. Invest in yourself
Why not invest your $100 in online courses that will look great on your resumé? You can learn new skills or sharpen the ones you already have. Either way, they’ll make you more marketable so you can land that dream job with a six-figure salary.
4. Start a business
Starting a business can require quite a bit of money, but as many tech billionaires have shown, you often don’t need much more than a computer, a college dorm room and a vision. Well Kept Wallet says, there are many kinds of businesses that you can start with $100.
It may take a while for things to start blooming, but once your business takes off, you can become very wealthy indeed. To increase your chances of success, you may want to consider relocating to one of the best places for tech start-ups.
3. Invest in dividend stocks
With dividend stocks, the company you’ve invested in pays you regularly based on how well they’re performing financially. Financially stable companies are the best ones to invest in if you want dividends. This is not an “invest $100 and grow it to $1000 in a day” solution, but it is a good option if you’re investing for the long haul and want to retire at 40. As Credit Donkey suggests, you can use your dividends to buy more stocks, which will earn you more dividends.
2. Use robo-advisors
There’s a reason why financial advisors have one of the highest paying jobs for Generation Z. They charge an investment fee and if you have only $100 to invest, much of it will go towards your financial advisor’s fee.
When it comes to investing money for beginners, a great alternative is to go the robo-advisor route. This way, you get sound financial advice online without all the human interaction and fees. MoneySense suggests robo-advisor websites like Wealthsimple, WealthBar, Justwealth and Nest Wealth.
1. Put it into a high-interest savings account
If you’re wondering how to double $100 (and then some), look no further than the bank. The easiest way to invest $100 is to put it into a high-interest savings account. The secret is not to touch that money and let the interest accumulate.
It will take time for your bank balance to really grow, but it’s one of the surest ways to earn money while you sleep. Good Financial Cents points out that once you’ve grown your money to $1000 in this way, you’ll have many more investment options to choose from.