3 Mistakes new Investors should AVOID in 2025 (Beginner Tips)

It is critical to understand not all Investment opportunities are smart opportunities. 3 Questions you must know before you invest in any company. In this post, I'll walk you through 3 key factors you should be able to easily identified before you push the "Buy" button.

INVESTORS GUIDE

John

12/31/20242 min read

The Journey is On LED signage
The Journey is On LED signage

3 Horrible mistakes new Investors need to avoid in 2025

People

Any quality company should you be transparent, this includes introducing the public to its key staff and management team. You should be presented historical data and metrics in which you can measure the individual performances within the company. Bad management can have a direct negative effect on business profits and share price regardless of the product. Before you buy a stock, research public perception and sentiment around the company's team. Not being familiar with the "People" is the first mistake new Investors often make. Please avoid this common mistake, it can absolutely cause you to fail.

Process

What is the process? Is it recession proof? Does the process make sense (common sense)? Is the process easily duplicatable. Is the process sustainable long-term? All questions new Investors don't think about before investing. These actually should be the first questions you confirm. All companies, if legit and ran properly should have a clear process in which determines the over-all health of the company. A company's process dictates everything, including profits, growth, revenue, debt, free cash and more. Investing in companies without a successful track record of implementing sound processes will eventually prove to be unfavorable.

Product

Without a tangle product or services... it's not a company I would recommend for any Investor. This should be a major RED FLAG and you should ran as fast as possible in the other direction. "Taking your money with you"! The foundation of any legit company is its product or services. New investors often are so eager to get started... they get side-tracked with bells and whistles, however the entire time not establishing a real product or service. In other words, "how does the company earn income". Don't get blind-sided by this common mistake new Investors make.

Final thoughts

Please research the company's people, product and process before you invest.

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