This is the money you make back after investing in something. It’s a good indicator for whether or not the initial investment makes good business sense. You want this number to be as high as possible, because that means you’re getting the maximum bang for your investment buck. But the “return” part doesn’t always have to be tangible. If you invest in a kick- ass web developer who creates a site that helps to successfully launch your business, you can consider the investment in that person a great ROI (even if there isn’t an exact value to assign to the website just yet). Your favorite LBD (little black dress, duh) might also have a good ROI; if you wear it once per week and it makes you feel like a boss, then you’re likely getting a pretty solid return on that $150 you shelled out for it.
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