Business, Gambling, Investing, and the Risk Associated with Each

“Warriors take risks. Like everyone else, they fear failure, but refuse to let fear control them.” Ancient samurai saying

Three really strong interests that I have are Business, Gambling, and Investing. Three unique playing fields but they all have the same goal, to increase income. Business is the most controllable followed by Investment and then Gambling. I find it interesting how many people use these three words interchangeably. Most people will always tell you that starting a business is a gamble, which is why you are gambling. Investing is risky, therefore you are betting there too. What a joke! Sure, there is a level of probability in investing and trading, however both can be earned or generate positive income consistently over time so it is not a gamble. In the following paragraphs, I clarify things regarding risk when it comes to business, investing, and gambling.

Business requires skill and building a business can be an art. However, just like walking down the street, business can be associated with risk, that risk is extremely controllable and can be minimized through knowledge and skill. Obviously, walking on an urban road can be very risky, and that risk can be minimal if you cross a road in a rural town. Just as we can decide what risk we take when deciding what type of road we want to cross on foot, we can also control business risk by deciding what business we want to undertake and in which industry. We can minimize risk and increase success by increasing our business building skills. Some people with an employee mindset will feel that they have minimized the risk of not starting a business and will instead get a job.

In reality, all they have done is put the risk in someone else’s hands. They leave the risk of the business they work for in the hands of the owner of the business they work for. However, they also leave the risk of their main earned income in the hands of someone else. In this situation, the employee runs the risk of losing his job, due to downsizing, bankruptcy or any other negative consequence that could occur in the business. For the employee who has a family, average family debt, other financial obligations, and dependents, the consequences of losing a job can be catastrophic. It is more risky for me to leave my financial future in the hands of someone else than to take control of it by starting and building my own business. Therefore, I strive to be a successful entrepreneur and not an employee.

Investing once again involves risk, but that risk can be minimized and sometimes eliminated by understanding your investments. Since you typically invest in someone else’s business, there is still some risk associated with investing from him because they are less controllable. In other words, you are investing in someone else’s ability to run a business UFABET  and not your own. In reality, this type of risk is somewhat similar to the risk assumed by an employee. Investing can be less risky than employment for a number of reasons. First, if you’ve done your research, then you have a solid understanding of his investments, the business model they are based on, and the future that awaits them. These are all things that most employees do not research before accepting a job with a company. Also, most people do not get their main income from a single investment, but the vast majority of employees get their main income from their work. In reality, investors can take less risk than most employees if they understand the businesses behind their investments.