If a person wanted to start a business and they took a $200,000 loan, mortgage whatever say 6% interest and spent all that money to make the business operational. Do businesses make returns, as in take home at the end of the year of 50% or 100,000. Does this happen? Assuming low overhead, few employees and low overhead, including low rent on account of small space.
Read more: What kind of return can a business make after loans and fees?
