Hmmm… Should I borrow? That’s the question we are all faced with at one time or another when debating the purchase of a new gadget or investing in our small business. No matter what we decide, the question will continue to linger in the back of our heads for a while. Personal purchases I have a few factors and rules that I follow when purchasing a gadget for personal pleasure. First and foremost, I look at the gadgets long-term use potential. Am I just excited about this right now or will continue to use it for the next 6 to 12 months. If I decide that it’s a spontaneous purchase, then I’ll only buy it with my extra disposable cash. However, if I decide I have a long term use for it, I’ll take it to the next level and debate if the pleasure it will bring is worth the cost. If yes, then borrowing at a low and reasonable rate becomes an option. For these types of purchases the best option is generally a low interest rate credit card or a personal loan like the ones you find on Getmoney.com. Personal loans are both very quick and easy to apply for. You’ll generally have your cash in hand within 24 hours. Investing in my business This is where things get a little complicated. We are no longer making decisions based on emotions and wants. We now have to calculate margins, potential revenue, cost savings and all the other effects on the business. There is no easy solution. For example, if you automate the business, you’ll have long-term cost savings and will most likely face some up front tech expenses with long-term savings. If you expand your show room, you’ll have more items on display which could require a larger inventory, which means you’ll need a bigger warehouse and a higher line of credit. Basically, there is a domino effect to everything you do and you have to take everything into consideration. Fortunately, the rates are business loans are generally moderate and affordable. If you are absolutely certain of what you need and when you’ll do it, then a business loan is a great option. If you are debating it and not sure how much you are going to put into it, then get a business line of credit. The beauty of a line of credit is that you’ll only pay interest on the portion you’ve drawn which give you great flexibility.