If you’re looking to invest cash someplace, you may think of putting your funding into a startup enterprise. Investopedia breaks up all the various kinds of investments into these fundamental classes : investments you own, lending investments, and cash equivalents. Meaning if the company goes bust, the debt has precedence over the stockholders (the equity buyers).

Business: Placing cash or time toward starting your own business—a product or service meant to earn a revenue— is another type of possession investment. Stocks or equity are shares which might be issued by corporations and are bought by the general public.

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