10 Smart Ways to Make Money With $10k in 2025

Having $10,000 sitting around is an exciting position to be in. It’s enough money to make significant moves, but not so much that you can retire on it (yet!) If you’re wondering “how can I make money with 10k?” – you’ve come to the right place. I’ve researched the most effective strategies to turn that initial investment into something much bigger.

Why Your Investment Strategy Matters

Before jumping into any investment, it’s important to know why you’re investing. Your goals will shape your strategy:

• Paying off debt? You’ll want lower-risk options
• Building a college fund for kids? Longer-term investments might work
• Trying to multiply your money quickly? Higher-risk options could be appropriate

Let’s explore the 10 best ways to make your $10k work for you in 2025.

1. Buy an Established Online Business

One of the fastest ways to start seeing returns is by purchasing an existing business that’s already profitable. Thanks to marketplaces like Flippa you can find online businesses for sale that match your budget and expertise.

The advantage? You skip the difficult startup phase and jump straight into running a business with

• Existing customers
• Proven revenue streams
• Established systems

I recently spoke with a couple who bought their first online business through Flippa for around $10k and made back their investment within 8 months. They’ve since purchased three more businesses!

When buying a business, look for:

• Consistent profit history (at least 6-12 months)
• Reasonable seller explanations for why they’re selling
• Business models you understand or can learn quickly

2. Invest in Real Estate (Without Buying a Whole Property)

Real estate has created more millionaires than perhaps any other investment class, but $10k won’t buy you a house in most markets. Instead, consider these alternatives:

Real Estate Crowdfunding

Platforms like Fundrise allow you to pool your money with other investors to buy income-producing properties. With $10k, you can invest across multiple properties, reducing your risk while still earning rental income and appreciation.

REITs (Real Estate Investment Trusts)

These companies own and operate income-producing real estate. By investing in REITs, you essentially become a partial owner of multiple properties. Many REITs pay attractive dividends from the rental income they collect.

The average annual return on real estate investments has historically been around 10%, but with the right strategy and timing, you could potentially see higher returns.

3. Flip Products or Websites

If you’ve got a good eye for value, flipping items can be profitable with a $10k budget.

Product Flipping

Look for products on sale or clearance that you can resell at higher prices on eBay, Amazon, or Facebook Marketplace. With $10k, you can purchase inventory in bulk at lower prices, maximizing your profit margins.

Website Flipping

Buy undervalued websites, improve them, and sell them for profit. Typical improvements include:

• Better design and user experience
• Enhanced SEO to increase traffic
• Improved monetization strategies
• Adding additional content

Website flipping typically takes longer than product flipping, but the returns can be substantial. I’ve seen people buy sites for $5k and sell them six months later for $15k after making strategic improvements.

4. Invest in Index Funds

For those who prefer a more hands-off approach, index funds are a reliable option. These funds track entire market indexes like the S&P 500, giving you broad exposure to the market.

The average return on S&P 500 index funds has been around 10.26% historically, making this a solid option for growing your $10k over time.

Some top index funds to consider in 2025 include:

The beauty of index funds is their low fees and passive nature – you can set it and forget it while your money grows.

5. Invest in Mutual Funds or ETFs

Similar to index funds, mutual funds and ETFs (Exchange-Traded Funds) allow you to invest in diversified portfolios managed by professionals.

Mutual Funds

These funds are managed by professional investors who select stocks, bonds, and other securities. With $10k, you’ll easily meet the minimum investment requirements for most funds.

ETFs

ETFs trade like stocks but represent baskets of securities. They typically have lower fees than mutual funds and can be traded throughout the day.

Some top-performing ETFs in 2025 include:

6. Invest in Dividend Stocks

Dividend stocks are shares in companies that distribute a portion of their earnings to shareholders regularly. With $10k, you can build a portfolio of strong dividend-paying companies.

Benefits of dividend investing include:

• Regular income from dividends
• Potential for stock price appreciation
• Compounding returns when dividends are reinvested

Look for companies with:

• History of increasing dividends
• Strong balance sheets
• Reasonable payout ratios

Popular dividend stocks include companies like Johnson & Johnson, Procter & Gamble, and Coca-Cola, which have increased their dividends annually for decades.

7. Try Peer-to-Peer Lending

P2P lending connects borrowers directly with lenders, cutting out traditional financial institutions. With $10k, you can spread your investment across multiple loans to reduce risk.

Platforms like Prosper and LendingClub allow you to choose which loans to fund based on:

• Borrower credit scores
• Loan purpose
• Interest rates
• Repayment terms

Higher interest rates usually come with riskier borrowers, so you’ll need to balance your desire for returns with your risk tolerance.

I’ve seen investors earn 5-10% annually through P2P lending, but it’s important to remember that some borrowers may default on their loans.

8. Invest in Cryptocurrency

Cryptocurrency remains one of the most volatile but potentially lucrative investments. As of 2025, Bitcoin has reached new all-time highs above $123,000, showing the potential for significant returns.

With $10k, you could:

• Purchase Bitcoin or other established cryptocurrencies
• Invest in a diversified crypto portfolio
• Stake certain cryptocurrencies to earn interest

The crypto market is extremely volatile, with Bitcoin experiencing both dramatic rises and severe crashes. In July 2025, Bitcoin demonstrated this volatility, reaching new highs driven by:

• Record inflows into Bitcoin ETFs
• Congressional consideration of Bitcoin-friendly legislation
• Continued accumulation by companies like MicroStrategy

Remember, while some investors have made fortunes in crypto, others have lost substantial amounts. Never invest more than you can afford to lose in this high-risk asset class.

9. Start an Online Business

With $10k, you have enough capital to start a variety of online businesses:

E-commerce Store

You could launch a dropshipping store, create private label products, or start a print-on-demand business.

Digital Marketing Agency

Offer services like SEO, social media management, or PPC advertising to small businesses.

Content Website

Create a niche website that generates revenue through ads, affiliate marketing, or digital products.

Starting an online business requires significant time and effort, but the potential returns can be enormous. We’ve seen entrepreneurs turn $10k investments into six-figure businesses within a couple years.

10. Open an Etsy Store

If you’re creative or crafty, Etsy offers a platform to sell your creations to a global audience. With $10k, you can invest in:

• Quality materials and equipment
• Product photography
• Marketing and advertising
• Inventory management systems

Successful Etsy sellers can make anywhere from a few hundred dollars per month to six figures annually. The key is finding a profitable niche and creating products that stand out from the competition.

Final Thoughts: How to Choose Your Path

When deciding how to invest your $10k, consider:

1. Your risk tolerance – How comfortable are you with potential losses?
2. Your time commitment – How hands-on do you want to be?
3. Your expertise – What industries or investment types do you understand?
4. Your timeline – When do you need to access your money?

I personally believe a combination of strategies often works best. Perhaps put $5k into index funds for stability, $3k into an online business for growth, and $2k into cryptocurrency for potential high returns.

Whatever you choose, do your research, start small, and be prepared for both successes and setbacks. With patience and persistence, that $10k could grow substantially over time.

Remember, all investments carry risk, and it’s important to be in a financial position where you can handle potential losses. Consider consulting with financial experts before making significant investment decisions.

Have you tried any of these methods to grow your money? I’d love to hear about your experiences in the comments!

To turn $10k into $100k, you can combine investing in the stock market (with consistent contributions), starting a business, or investing in real estate.