When investing -- whether for the first or millionth time -- growth is a word you hear a lot.
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FOX Business spoke to Charles Schwab about this term and why it means so much in investing.
He used Starbucks and McDonald's as examples.
"They all started with one outfit, one unit," Schwab told FOX Business. "If it's successful -- people love the hamburger, love the coffee -- they grow to two stores, then they grow to three stores, they grow to 100 stores, 1,000 stores, and that's called growth."
But, Schwab mentioned, it takes time to do properly. The key is to find the company's who have a product or a service you believe has the potential for growth.
"You don't want to get something that's just going to flatline across, you want something that's going to grow."
Schwab said before throwing your money behind a company, you should ask yourself: "Is that a product I love? Is that a product I can use?"
"That's where you're going to get the wonderful growth because your friends are starting to use that product," Schwab said. "That's what you want to hear."
Charles Schwab is the founder, former CEO, and current chairman, of The Charles Schwab Corporation. Among the giants of the financial services industry, he is one of the most successful entrepreneurs and leaders in American business.