Making Your Money Work: Investment Planning for SME Owners

By May 24, 2023 Insights


If you’re an SME owner, you know that managing and growing your wealth can be just as important as running your business. But where to start? Don’t fret – we’re here to help you understand the ropes of investment planning and how to make your money work for you.

The Importance of Investment Planning

Investment planning is a key part of financial management. Not only does it help you grow your wealth, but it also allows you to prepare for the future and ensure financial security for yourself and your business. According to the Federation of Small Businesses, 45% of SMEs aim to grow their business in the next 12 months. A well-thought-out investment plan can play a crucial role in achieving this goal.

Understanding Your Risk Tolerance

Before you start investing, it’s essential to understand your risk tolerance. This is the amount of risk you’re willing to take with your investments, and it’s generally based on your financial goals, investment horizon, and personal comfort with risk. It’s okay if you’re a bit uncertain here, many are. Our piece on Risk Assessment for SMEs is a great place to learn more!

Diversification: Don’t Put All Your Eggs in One Basket

One of the golden rules of investing is to diversify your investments. This means spreading your money across various investment types to reduce risk. The old saying “don’t put all your eggs in one basket” rings true here. According to a study by Vanguard, diversified portfolios saw a 91% success rate over 30 years, compared to a 68% success rate for individual stocks.

Long-term Investing: Patience is a Virtue

Investment planning isn’t about making a quick buck; it’s about growing your wealth over time. Long-term investing can help you navigate market volatility and reap the benefits of compounding. Remember, Rome wasn’t built in a day, and your investment portfolio won’t be either.

Utilising Professional Advice

Investment planning can be complex, and there’s no shame in seeking professional advice. A financial advisor can provide personalised guidance based on your financial situation and goals. Remember, we’re always here to lend a helping hand at Devonshire Green.


Investment planning is a crucial part of wealth management for SME owners. By understanding your risk tolerance, diversifying your investments, focusing on long-term growth, and utilising professional advice, you can make your money work for you. So, why wait? Start your investment planning journey today!

Need Some Help?

Book your FREE consultation with us today

Book Now