How soon should one start to spend from his business?

[Sarfraz Ali123]

You want a steady growth pattern on your annual reports and if you can show this year after year, you can honestly say your business is financially successful.when your business start to grow you can spend.

 

[Seun4luv]

It all depends two to three years is the standard estimation for how long it takes a business to be profitable. That said, each startup has different initial costs and ways of measuring profit. A business could become profitable immediately.

 

[Donkiz]

A business cannot be said to have started making profit until you break-even. After recouping the capital invested in the business that is when you can talk about profit. It is advisable to try and reinvest a huge part of the profit in the business, and only spend from the remaining part.

 

[Diamond07]

A new business needs time to grow before you can begin spending out of it. Once you are making enough profit that can take care of your needs. while spending out of your business, keep track, do not spend beyond your capital

 

[Nicklas22]

As soon as you observe that your business is now stable and you have gained a lot of customers and you're now permanently in a good environment to carryout your business activities
You can start spending from your business if you know the money you will spend won't affect the growth of your business
Spending from your business will be good if you know your business is producing some good amount of profit.

 

[Blessedsam60]

As we know consistency and self dedication is the art of developing a business but one must be conscious of how he or she manages the available profit and capitals so as to make the business ascend so quickly. If care is not taken, a business might not experience growth soon if all the profit made is mismanaged.

 

[btaliat]

I suggest that you only spend from your business to plough back the money into the business. Taking out money from the capital without ploughing it back will spell a room for the business. I advise you to earmark a paltry sum as your salary which you can spend anyhow.

That's a nice suggestion. I even suggest a business owner to be paying himself or herself salary. This will allow her or him to easily identify wether is making profit or loss. And it will prevent him or her from spending money meant for business.

 

[Oloritoks]

One can only start spending on the business right from when you made a big profit that exceed the targeted one or when the business is beginning has expanded to a considerable and appreciable level.

 

[Hdre3m3n]

Lots of new businesses established did not actually last before they wind up or crashed. One of the reasons to this is because some entrepreneur are too much in haste to start spending from the little profit the business has generated. Instead of re-invesitng the profit to roll over and produce huge profit.

How soon can one begin to spend from his business profit?

Spending from the little profit generated from a new business will surely ruin the business. A new business profit should used in investing more into the business. You can spend a new business profit if you have other means to finance the business.

 

[Azhar119]

If possible, self-fund your business idea and then go for funding when you can create a growth story. This might cause you to break up your product/service offering into smaller pieces so you can fund the early stages and get some traction and experience.

 

[Sake]

When it starts to earn profits more than how much it's cost to be established for me. But it's also not bad to take a small percentage every month from your business profits if you don't any other work to financially support your everyday needs.

 

[Hasan Raza]

Look dear it is advisable, that anyone who want to venture into business should set out a particular capital for that business only and not using the business process to solve personal problems. I see any business man who uses his business money to solve personal problems as unserious and such a business cannot last. He must reinvest profile for one or two year from business starting.

 

[Abelcairo43]

You must grow your business to a stage where your income from the business is multiple of the capital that you use in starting it. You must have an estimation of your daily income which you determine your profit from. There is nothing wrong from spending from the money generated from the business.

 

[Chumzy]

The growth of every business takes different time length to actualize and that is what matters. You have to ensure that your business has grown to a certain level and can stand without external support. That way you can take part of your profit to actually do other things you want to because that is the fruit of your labour.

 

[Folaham]

Spending from business kills business. One should try as much as possible not to spend from business rather he/she should determine a reasonable reward scheme for himself/herself by way of salary but mut be reasonable and should be well below the profit from the business.
Reinvestment of profits makes business grow and eating up the profit will kill the business. The cost of materials in the market is not fixed and what look big together wont tomorrow without proper reinvestment of profit to make the business grow.

 

[Trexxxy]

Yes, j agree, this is a bad culture and it happens occasionally. But there are some cases that the environment isn't safe for the business to thrive, someone sets up a business even before the profits starts coming in, various expenses keeps coming up.

 

[EMMANUEL]

Fantastic question, how soon can you start spending from your business, I wouldn't say you shouldn't spend from your business, but point will be from this angle,
How much is your profit?
How do you spend ?
How frequent do you receive gain?
If you can give a little bit of calculation as regards this you will no what particular amount your are to spend, because if you spend not spending it is highly impossible not to spend on your self as the owner of even on your family.
There should be disciplined as to your spending techniques because when you are spending more than you invest you definitely digging a well that will swallow up all your business in no time.

Be guided
Be disciplined.

 

[Sotherefore]

If you're starting a business newly and i think the little profits are making from the business should be used to upgrade the business and you can only spend a little amount like 10% in all the profits in it and use the remaining one upgrade your business, with this the business will keep moving and flowing.

 

[Samuel77]

According to my own point of view, I believe one has to start spending for his business when he realized that the business is not doing well. Every business need good capital and when you don't have much customer, you will need the do some advert.

 

[Planet408]

Before you think of spending from your business, there's a couple of things to consider. You must have gained back your initial capital. Secondly, you must have gained back the capital again for the second time which is your profit, and thirdly, you must have gained the same capital again for the third time which you should reinvest in your business to take it to another level before you can now think of spending some money from your business.