Many savvy investors want to talk about their ROI’s, their ability to make massive amounts of money, and all their other various financial accomplishments. All of those things are very important when making sure you financially get out of a business what you’ve invested.
However, there are a lot of other non-financial factors that should go into a potential investment. This could be the emotional satisfaction one gets when giving lots of people jobs. It could be the personal fulfillment received when investing in a cause that’s greater than any one person. It could even be for legacy reasons and to carry on a name through generations.
Whatever the reason, it’s important to remember that buying a business should definitely be thought of in terms of the finances of the deal, but it should also (equally if not at the same time) be thought of in terms of the other factors that go into it. What it will accomplish. What it means for your personal reputation. What it means for future transactions.
Investing with a purpose is the mindset of taking on a business challenge and, not forgetting about the financial component, but remembering that there’s a lot more moving pieces to it than just the ROI.
I encourage you, during your next business transaction, think about all the various factors that are part of your investment. Think about investing with a purpose.