Originally Posted by Bassem
Or of course, it may allow someone to 'partner in' with you, when that wouldn't necessarily be required. You take the lions share of the risk, for the opportunity to share the profits. I would beg someone to open another 'high end' hookah lounge next to ours. The profit from buying their goods when they close in six months is quite extraordinary.
Just to be clear, I wasn't suggesting 'high-end'. Simply being willing to consider the options available with a little
more capital. A customer's experience may vary greatly between a $12k investment vs a $20k investment. It may simply be the difference between really nice, clean bathrooms and dingy ones--something that leaves more customers with a bad impression than anything else.
And, since any business' success is ultimately based the customer's sustained satisfaction with the perceived value of the product he receives, carefully directed capital can be a major deciding factor. Sometimes that means spending a little more. The very reason Apple computers has some of the highest customer loyalty in the business, regardless of their high price tags.