The Benefits Of The Sharing Economy

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The sharing economy is a developing, remarkably flexible economic network that allows people to borrow or rent assets, such as machinery, services, and skills, with one another. The sharing economy is utilized most often when the price of the resource in question is exceptionally high due to the fact that these resources will be shared at a significantly lower cost than retail arrangements. And although humans have shared the use of resources with one another for thousands of years, the growth of the Internet and services that utilize the Internet has made it easier for the owners of assets and those seeking out those assets to find each other. This sharing economy as allowed individuals to make a profit from their underused assets. Now,…show more content…
The resources can range from unused printers, to desks currently not in use, and even parking spaces. These unused assets cost your company money, so it is in your best interest to become involved the sharing economic network to make money on the side. Another massive benefit that Mint.com would obtain from today’s economy of sharing is saving on equipment that the company only occasionally needs. For example, if Mint.com has only one client that still uses a fax machine to communicate, it is in your best interest as CEO to rent out a fax machine from another company for a specific amount of time, rather than buying one outright. A third advantage to gain from the sharing economy is that it is now easier to borrow money for growth. If Mint.com has a shortage of investors, it will be very hard for the company to do what it wants. As CEO, it is your job to mitigate risks for Mint.com. Borrowing money from banks can be extremely risky, due to the fact that if the business eventually fails the money still needs to be repaid. However, the world of the sharing economy has made it easier for small business to raise capital for growth. An option that Mint.com now has is getting involved in crowdfunding websites, such as Kickstarter or Indiegogo, that have been growing in prominence. These websites make it easy for small businesses to ask consumers for capital, rather than applying and qualifying for a traditional bank loan that has a chance of falling through. While
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