What is ROI – Return on Investment?
Imagine your little cousin wants to start a lemonade stand. She comes to you and says, “I need $20 to buy cups, lemons, and sugar. If you give me the money, I’ll pay you back $30 at the end of the week.” Would you do it? Your brain instantly starts calculating: “I give $20… I get back $30… That’s a $10 profit! That seems like a good deal.” Without realizing it, you just calculated ROI. ROI stands for Return on Investment. It’s a simple, magical number that answers one of life’s most important questions: “Was this worth it?” Whether you’re a kid investing in a lemonade stand, a business buying a new machine, a student choosing a college degree, or just someone deciding to fix up an old bike to sell, ROI is your guide. It’s the measuring stick for your money, your time, and your effort. Chapter 1: ROI Explained –…