Fiducia TogetherReturn on investment
What you got back compared with what you put in.
Please note: This page explains what a term means. It is general information, not legal, financial, tax or investment advice, and it does not know anything about your business. Before you sign, file or commit to anything, check it with an accountant, a solicitor, or the official guidance we link to.
What it means
Return on investment is the gain from an investment less its cost, divided by the cost, usually as a percentage.
Why it matters
It makes different investments comparable — a machine, a hire, a marketing campaign — and it forces the benefit to be quantified.
What it looks like in practice
Include ALL the costs: purchase, implementation, training, the time of people involved, and the ongoing cost.\n\nState the period. A 20% return over five years and over one year are very different things.
What to watch out for
Benefits counted as savings that never materialise. "Saves two hours a week" is only a saving if the two hours are used for something that earns.\n\nAnd payback period, which is a different question from ROI and often the more relevant one for a cash-constrained business.
Where to get proper advice
Your accountant for the discounting if the period is long. Your own honest cost estimate for everything else.
Where to read more
Last reviewed 2026-08-28 by Fiducia Together · Next review due 2027-08-28
Please note: This page explains what a term means. It is general information, not legal, financial, tax or investment advice, and it does not know anything about your business. Before you sign, file or commit to anything, check it with an accountant, a solicitor, or the official guidance we link to.