This is not investment advice and is not a recommendation of purchase or sale of any security. Opinions expressed are those of the individual only.
As millions of Americans have started receiving their stimulus checks from the federal government, the question of how and where to spend the checks is at the forefront of everyone’s minds.
While many have been deeply impacted by the economic downturn, many others have found themselves in more fortunate economic situations and are looking for helpful ways to put their stimulus checks to work. We’ve been hearing this question very often: How should we use our checks to help bolster our local economies?
Investing in local businesses is one of the ways that you can create a positive impact and shape what your community looks like after the pandemic.
We’re excited to hear from Lisa & Jared, two new members of the Honeycomb community. Lisa & Jared are first-time Honeycomb investors who used their stimulus checks to invest in local businesses. Here’s why they decided to do so!
Why did you decide to invest your check on Honeycomb?
Because we weren't sure how the stimulus check would affect our taxes next year, Jared had initially suggested just keeping the money in a savings account for a rainy day. Yet, unlike many others, we have both been able to keep our jobs, so I saw Honeycomb as a great opportunity to both help small businesses during this crisis while also growing our initial investment. We felt this was a win-win, where the money could both grow and do some good instead of just sitting in a bank account.
How was your experience making an investment on Honeycomb?
It was great! Everything was very transparent and it was easy to access the information on all the business with open campaigns.
How will investing benefit small businesses, and/or your personal portfolio diversification?
First, we hope that our investments will help these small businesses survive the pandemic and come out profitable on the other side. Second, this is our first time investing in small businesses like this. We have the conventional stocks, mutual funds, etc. so this is an opportunity to have more well-rounded investments.
How did you pick which small businesses to invest in?
We tried to do some background research on the internet to see which businesses had the most positive reviews from their customers. We considered the interest rate and also looked for campaigns that we thought we'd want to check out if we were in those cities.
In your perspective, why is it important to support local businesses now? What does socially responsible spending mean to you during quarantine?
When you read the stories about large companies with tremendous resources getting public funding to help weather the storm, it increases the motivation to do something, even if it is small, to help balance that.
We've been trying to think about what our city is going to look like on the other side of this pandemic and if it's just massive companies that had the finances necessary to get through the quarantine, then honestly that's kind of a boring place to live.
Jared grew up in a medium-sized town with a thriving downtown, and what made it special was going to businesses that you couldn't find elsewhere. Jared has thought quite a bit about what his hometown will look like after this if the only places that survive are giant chains. Honeycomb provides an outlet for supporting these types of businesses in a time of need.
Ready to dive into investing in local businesses?
Start creating positive impact like Lisa and Jared by investing in local businesses on Honeycomb. Businesses that run Honeycomb loan campaigns have big plans and ever bigger dreams—and they’re waiting for you to say yes. Start investing with $100 and you could earn up to 5-14% interest.