Business tips for retirees: it’s funny–you can spend your whole working life waiting for retirement, and by the time it actually rolls around, many people find themselves bored with the lack of structure and productivity. It makes sense, humans are working animals. We started out on this planet spending our days procuring food and shelter with the meager hope of making it to the next sunrise. Life expectancy at birth averaged around 30 years, with only those who made it out of their perilous teen years possibly making it to “old age.” Basically, it’s normal to feel restless and longing to get some work done even after retirement. We are not a species that is accustomed to leisure.
Perhaps nowhere else is this more obvious than in the start-up sector. People aged 50 and older are more likely to start their own business now than ever before. Armed with experience, knowledge, energy, and financial backing, retirees and seniors are using their resources to build their very own second careers and even producing some extra jobs for the economy at the same time. Not only is starting a business personally fulfilling, but it can also be a way to provide a service people both want and need and build relationships and connections in your community.
If you are retired and interested in starting a small business as a way to fill your days, consider the following business tips for retirees to help ensure your success.
Do What You Love
If you loved the market you made your living in all those years and you want to continue working in it, that’s great! You can use your expertise and contacts to leverage your second career in that same field. Look into consulting or perhaps another other niche services you can provide to those looking for your skill set.
However, for most people, the last thing they want to do in retirement is to commit to a business that is more of the same thing done day in and day out in their nine-to-five careers. Starting your own small business in retirement is your opportunity to create a second career you love, so build your business around that idea. For instance, if you always loved animals and spending time with your pets, use that passion to start your own business providing services like pet boarding and dog walking. Your love of the work will translate to customer satisfaction and a solid bottom line.
Identify Your Market
If you want to start a business, you need a target market. Thankfully, there are people willing to spend their hard-earned cash — you just have to find them! When planning your small business, conduct research to identify your market along with information regarding how they spend, what makes them loyal to a brand, and the best ways to reach them. Sometimes that research will provide some surprising results that might require changes in your business plans. Figuring out how to adjust your company early on can prevent big headaches in the future.
Figure Out Your Start-Up Costs
Just because you have some money to help with your business’s start-up costs doesn’t mean you have enough. Calculate how much it will cost to get your business up and running plus the funds you will need to sustain at least a year of operations before making any real money. It’s not uncommon for a start-up to operate for two to three years before turning a profit.
Some start-up costs to consider include:
- Equipment
- Utilities
- Rent
- Licenses and fees
- Inventory
- Insurance
- Taxes
- Travel
- Advertising
- Web presence
Humans are working animals, so for many of us, retirement doesn’t feel like a good fit. If you are over 50 and have the resources and drive to start your own business, it really is the perfect time. Be sure to do what you love — even if you spend your time working, retirement should be enjoyable. Follow the business tips for retirees outlined above. Identify your target market, and do research to learn about spending habits and how to generate brand loyalty. Finally, you can’t start a business until you calculate your start-up costs. Many businesses don’t turn a profit until they’ve been in operations for years. Knowing where you need money will help you figure out if you need to look for alternate sources of funding when it comes to starting your small business.
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