It's never too late to become a business entrepreneur and many people decide to start small businesses during retirement years. Starting a small business during retirement does have certain advantages, including utilising previous business experience.
There are plenty of people who do not even consider slowing down at retirement age. It could be that they enjoy staying active, do not want to stop working or are always on the lookout for good business opportunities. With maturing pensions comes the chance to start a business. Using a lump sum from personal and occupational pensions to start a business can be an investment that brings a good return.
Starting a business is not just a question of finances, although this is a major issue. Retired people often have many resources to back up business ideas. They may have a wealth of work experience and business skills built up over the years. They also now have the time to build up a business at their own pace. With business tools, such as the internet, at their disposal it has never been easier to obtain advice, network, market, and advertise a business.
Age does not actually make much of a difference when it comes to starting a business - ability is the key. Business knowledge will also be very useful and there are plenty of routes to take to gain this knowledge. Organisations such as Gov.UK have a vast database of information and advice for anyone considering starting a business. If certain skills are lacking, such as accounting skills, you can look at external organisations to fill the gap and provide help. Anyone considering starting a business should take full advantage of these business organisations.
One of the most popular business choices for retired people is consulting which involves using skills gained during previous employment and passing these on to other businesses. This could be in the form of trouble shooting and helping other businesses with solutions to business problems. Consulting can be a lucrative venture and doesn't have to take up much time.
Previously gained work skills can be sold directly to other businesses or individuals. Retired people who have experience in bookkeeping, tax experience, Information Technology and accounts have valuable skills that are in demand. Small businesses will frequently use individuals on an ‘as needed’ basis for this type of work. With the internet it's quite easy to start up a business and advertise services to other businesses. Business networking sites are one of the best ways of getting a new business out into the marketplace.
Retired people do tend to stick to a certain pattern when starting a business. Choosing a business and industry that they are familiar with is the less risky option. The groundwork in terms of experience is already set and low risk businesses have more chance of success. In most cases it'll also mean they enjoy this type of work. Business advice is the most common route but tutoring and lecturing are also very popular. Enjoying work will make it easier to put the maximum effort into it and get the maximum rewards back.
Business knowledge will always come in handy, and the plus side is that most of the advice is free. There are numerous organisations that'll pass on invaluable information including funding advice, including:
(Also see the Self Employment Section on WorkFriend.)
Starting a business, no matter how small, will be investing money for the future and taking control of the retirement years. Being your own boss can be hard work but for successful entrepreneurs the rewards will be worth the effort.
This article was written by the career coaching experts at Renovo.