The Easiest Way To Own A Business And Get Paid

Buying stocks is the easiest way to own a profitable business.  And get paid part of their profits.  And you don’t even have to work at the business to get the money.

Because when you invest in stocks, you are actually buying something called shares of stock.  So what is a share of stock?

Well, let’s think about a pizza pie.  And let’s say you and your friends all chip in and buy a pie together.  So you will all share slices of the pizza pie.  I just said the word “share,” didn’t I?

So you cut the pie into slices.  And you share the slices with your friends.  They each get their share of slices and you get your share.

Now let’s say you and your friends want to buy a business together.  Maybe a nice wine shop to go with the pizza.  So you will all share in the business.

You cut (divide) the ownership of the business into slices (shares).  And you share the ownership (slices, shares) with your friends.  They each get their share and you get your share.

That’s all a share of stock is.  It’s your slice (share) of the business.  It’s your share of the ownership.  And it’s your share of the profits, too.  And you will be paid those profits, because you are an owner of the business.

Corporations slice their ownership up into shares also.  And anyone can buy a share.  Or you can buy more than one share.  Just like our pizza example.  Let’s say the pizza cost $10 and you cut it into 10 slices. That’s $1.00 a slice. That’s the price of a share.  If you were really hungry, you could have chipped in $2.00 so you would get two slices.  So you would have bought two shares.

Of course, corporations are a lot bigger than a $10 pizza pie or your small business you started with your friends.  So they cut the ownership of the corporation into millions of shares.  And you can buy more than one share.  You can buy 12 shares, or 100 shares, or a 1000 shares.  You can buy as many shares as you want and can afford.

But it is exactly the same idea as the 10 shares of pizza pie above.  You are buying your slice(s) of the corporate pie.  You are buying your share(s).  And you are buying your portion of the profits.

And the corporation will gladly pay you those profits, every month or every quarter.  Because you are one of the business owners.  And what’s great about this is you don’t have to do any work for those profits.  Al of the employees of the corporation are working hard every day to make those profits for you to increase your wealth.  And so you will receive the biggest payment possible.

So here’s a real world example for you.  Pizza Hut is one of the largest pizza companies in the world.  They are owned by the YUM Brands Corporation.

Do you know how many shares they have divided their corporation into? (I don’t really expect you to know this).  They have 466,000,000 shares.  Each share costs about $50.  If you bought all of the shares it would cost over 23 billion dollars ($23,000,000,000) to buy the whole corporation.

That’s a lot of money.  So isn’t it nice they slice the company up into many little shares so we can all afford to buy part of it?

So if you had $50 you could buy a share of YUM Brands Corporation.  And be one of the owners.  And get paid part of the profits.  Or buy 10 shares and get ten times as much in profits.  Or 100 shares, and get 100 times, etc.

And you won’t have to work one single minute to get those profits, over and over, month after month or quarter after quarter.

Which is why buying stock is the easiest way to own a business.  And it’s how some people have built fortunes over time.  And you can too.

To learn more about how to get your share of corporate profits, and start building your wealth, you may want to check out my latest book Stock Investing For Beginners.  You can browse through it for free right here

To your health and prosperity – John

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