I'm more of a boglehead, so for passive income investments (i.e. etfs, real estate, etc.) anything above 7-8% in annual returns is already good news for me. I wanted to further diversify and look for bigger returns so I started looking into businesses to start. I've always been curious about coin laundries so I looked into a franchise website for research. The site "boasts" an estimated ROI of 10%. Even pretending that 10% is a good approximation and not sales talk, is 10% ROI really something to advertise? Why engage in a business and spend your own time(maybe semi-full time?) that gives you back only 3-4% higher returns than investing in the market? Not to mention your startup costs are very high (They estimated 40-50 million yen total)
I don't know if you can make an argument that it will have more consistent returns than an ETF in a short span since it would also be affected by market forces and the 10% could also be a 5% or negative on some years.
So in Japan, do you think an ROI of 10% for a non-fully passive business a good approximation of what to expect?
I don't know if you can make an argument that it will have more consistent returns than an ETF in a short span since it would also be affected by market forces and the 10% could also be a 5% or negative on some years.
So in Japan, do you think an ROI of 10% for a non-fully passive business a good approximation of what to expect?