Creating growth

Having a surplus in your business capital means you have more money available than is needed to cover ongoing operating costs simply because your business is doing well. There are opportunities to invest and grow on these.

Put the capital to work

It is important to put the money to work rather than just leave it in a low-interest account. Good returns on surplus liquidity create greater opportunities in the future for survival, repayment to shareholders, and investment, for example. The problem for many people when saving their business capital is that inflation eats up the returns from a low interest rate.

Inflation eats up interest returns

An inflation rate of 2% means that every million kroner of capital decreases in value by SEK 20,000 per year. The interest on the savings account is generally eaten up by inflation, and there is no increase in value. Failure to invest surplus liquidity, therefore, has a longer-term impact.

It is important to have a buffer against unexpected expenses. However, keep the money in an account that gives you savings interest back on the capital.

Optimize finances and increase profits

Capital that exceeds the buffer requirement is suitable for investment and yields a return. It will generate income outside the company's operations, and by making the best use of your surplus, you can optimize the economy and thus increase profits.

The risk of the investment should maintain the overall objective of preserving the purchasing power of the capital. In this respect, it is advisable to choose an investment that can first and foremost provide stability on the downside while offering a good return in both the short and long term.