9 Money Mistakes to Avoid

We can all learn from these common mistakes

Photo by Daniela Holzer on Unsplash

Most of us start our journey in life with little or no preparation on how to manage our money…

We don’t learn it at school.

We don’t learn it from our parents.

We don’t learn it from friends.

So, we start our life journey without this important knowledge and as a result, we end up making too many mistakes. Some will learn from their mistakes, others will not.

And we’ve all made mistakes with our money. I have certainly had my fair share and today, I want to share nine of these mistakes so you can avoid making them on your journey to financial freedom:

1. Never borrow money that accrues interest to start a business that is not proven. If you’re starting a business that is unproven, e.g. a technology start-up, it’s a big mistake to borrow money that accrues interest expecting that the business will be viable enough to generate cash to repay the loan plus interest. This is taking too much risk. Instead of using debt, use equity capital when you have unproven business ideas. Look for angel investors that will invest in your ideas without taking unnecessary risks. Only use debt once the business model is proven and you’re certain the business can generate cash to support the payment…