When you think of retirement, what comes to mind? Perhaps you’re hoping to travel more, spend time with grandchildren or simply relax. Whilst they’re all plans that are associated with retirement, some are keen to buck the traditional as more retirees turn their hand to launching businesses.
Is it something you could see yourself doing?
If the answer is ‘yes’, you’re definitely not alone. Asking workers what they’d like to do the most when they’re old enough to retire, 10% revealed they had the ambition to launch their own business, research from Aviva revealed.
Additional research suggests it’s not just an idea either, many retirees are following through with plans to become an entrepreneur in retirement. Findings indicate that the over 50s are now responsible for one in nine small businesses. Among those stepping into the world of start-ups when over 50, four in five are starting a business for the first time. From turning a hobby into a money spinner to putting an idea that’s been in the back of your mind into practice, there are endless options.
Launching a business certainly isn’t a traditional pursuit associated with retirement, but it is part of a wider trend. With healthier, longer lives, many approaching retirement age are finding they aren’t ready to step away entirely from the world of work. Instead, they are favouring a transitional approach that sees them with more free time, but still retaining some working commitments. Of course, finances are playing a role in the decision, but other factors are often just as prominent.
Being your own boss gives you an opportunity to set out a work-life balance that suits you as you reach retirement age. Technology advancements mean it’s easier than ever to work flexibly and still drum up business. It means it’s possible to mix starting a business with other retirement aspirations, including spending some time abroad.
Aside from this, there are other reasons why retirement may be the perfect time to launch a business too:
If you’re thinking about launching a business in retirement, there’s a lot to consider. Among the areas to think about is how it’ll affect your personal finances. Financial planning can help you understand how your savings can help you live the retirement lifestyle you want whilst building a business. For example:
Starting a business in retirement can be a dream, but it comes with challenges too. Knowing your personal finances are in order can give you the confidence needed to face them.