Investing in a business as a financial partner

[Alexandoy]

A friend suggested to me that I can invest in the business of his nephew who is a car mechanic. They need to expand their shop and they also need some new equipment. In other words, they need more capital. However, I do not know anything about a car shop even if I have a car. What would happen to my investment after a year and how would I know if the business is earning or not? That may be a very risky proposition that I tend to decline.

 

[Mildredtabitha]

You can choose to lend them the money and charge an interest when it is returned.

You can also research more about car shops then you will be in a better decision to decide.

You can finally talk to a financial advisor in the car sector.

You can also tell them that you are not willing to invest in their business if you don't want to.