Entrepreneurs Just Get Better With Age

Q: I'm thinking about starting a business after I retire next month. I'll be 65. Am I too old to start a business? -- Milton A.

A: Milton, congratulations on your pending retirement. I find it admirable that after many years of hard work you are thinking about starting a business. While most men your age would be content to sit on the porch and watch the world go by, you are considering a ride on the entrepreneurial roller coaster. You're certainly tall enough to ride this ride, but are you too old?

Here's my standard answer: It depends. It depends on your health, your energy, your drive, your goals, and of course, your finances. If all those are in good shape and you have your spouse's approval (that's a biggie), then there is absolutely no reason why you should not start a business at your age.

In fact, the numbers are actually in your favor. According to recent studies 22 percent of men and 14 percent of women over 65 are self-employed. That's compared to just 7 percent for other age groups.

According to a Vanderbilt University study the number of entrepreneurs age 45 to 64 will grow by 15 million by 2006.

That's compared to a 4 million decline for entrepreneurs age 25 to 44.

A 1998 survey of baby boomers conducted by the American Association of Retired Persons (AARP) revealed that 80 percent of respondants planned to work beyond retirement age, and 17 percent of those planned to launch new businesses.

The study noted, "Self-employment among American workers increases with age, with the most dramatic jump occurring at age 65."

Older entrepreneurs may also find starting a business easier than their younger counterparts because older entrepreneurs tend to have more experience to draw from and more assets with which to finance a business.

Further evidence comes from a report released by Barclays Bank entitled Third Age Entrepreneurs - Profiting From Experience. The report shows that older entrepreneurs are responsible for 50 percent more business start-ups than 10 years ago. This amounts to around 60,000 business start-ups last year alone.

The survey also showed that today's third age entrepreneurs (as the report calls entrepreneurs over the age of 50) don't mind putting in the hours required to build their business. Nearly 49 percent work an average of 36 hours or more a week.

Third agers also rated holidays, lack of stress and a balance between work and home life more important than their younger counterparts.

The report further showed that only 27 percent run the business as the only source of household income, with 51 percent supplementing their pension.

Other key findings showed that third age start-ups account for 15 percent of all new businesses, and third age entrepreneurs are three times more likely to be male than female. There is a downside (isn't there always?). Many businesses fail within the first few years and older entrepreneurs may be less able to handle the financial loss than younger entrepreneurs.

It's one thing to lose everything at 25, but it's a much bigger deal to be financially ruined at 65.

So my advice, Milton, is that if your health and finances allow (and the Mrs. gives the green light) by all means start your business.

Climb on the entrepreneurial roller coaster and hang on tight.

You get the senior discount, by the way.

Just try not to lose your lunch when things get bumpy and you'll probably do just fine.

Here's to your success.

Tim Knox

Small Business Q&A is written by veteran entrepreneur and syndicated columnist, Tim Knox. Tim serves as the president and CEO of three successful technology companies and is the founder of DropshipWholesale.net, an online organization dedicated to the success of online and eBay entrepreneurs.

Related Links:
http://www.prosperityandprofits.com
http://www.smallbusinessqa.com
http://www.dropshipwholesale.net

---

Franchises - Success and You

Many people believe owning a franchise will make them rich,... Read More

Staying Ahead of the Perils, Excerpt of Entrepreneurial Motivation Speech

Running a business is not an easy endeavor, it takes... Read More

Starting Your Business By The Book

I've gotten several questions recently about the legalities of starting... Read More

Youth Entrepreneurship, A Disappointing Truth

The psychology of entrepreneurship can be very rewarding to one... Read More

Time Management Tips for Solo Entrepreneurs

Does it seem like everyone and everything is vying for... Read More

The Use of Common Stock in Venture Capital Transactions

When raising capital for a business venture, a company can... Read More

Can a Microbusiness Help You Enjoy a Better Retirement?

Not having enough money for a comfortable retirement tops the... Read More

Achievements Outweigh Education and Experience

Q: When it comes to succeeding in business, which do... Read More

10 Ways Entrepreneurs Shoot Themselves In The Foot

Entrepreneurs and their businesses have a tendency to ambush themselves... Read More

Determine Your Niche & Be Successful

What's a niche?Dictionary.com provides a great, twofold definition:"A situation or... Read More

Traits of The Successful Entrepreneur

Want to know why certain people succeed and others don't.... Read More

Face The Fear, Ladies

Okay, I'll begin by telling you that I've been divorced... Read More

How Entrepreneurs Succeed - The 5 Qualities Needed For Business Success

What is it that sets a successful businessperson apart from... Read More

How To Get More Clients and Customers; Dont Sell Be of Service

Whether you are just starting your business or focusing on... Read More

Health Insurance for Solo Entrepreneurs

One of the most important benefits employed people enjoy is... Read More

Identify the Growth Factors

In "The Incredible Hulk", mild-mannered scientist Bruce Banner discovered that... Read More

Be An Entrepreneurial Artist: Paint A Picture, then Commit It to Canvas

James had an original concept and he needed an investor.... Read More

Build Your Own Board Of Experts

The most successful entrepreneurs rely on their advisory boards to... Read More

How To Grow Your Micro-Business

If you want to grow your micro-business (defined as a... Read More

PTO; Justification of the Means and the Ends

Some would say about certain issues that the means do... Read More

Success Secret - How To Find Million Dollar Opportunities

They're really are powerful million dollar opportunites everywhere.Ok, let me... Read More

Does It Really Take Money To Make Money (Online or Offline)? A Reality-Check of 2 Case Studies

The short and simple answer to this question is NO!Now,... Read More

Franchise Business and Franchise Businesses

Franchise business is being part of a successfully proven business... Read More

The 7 Traits of an Exceptional & Successful Entrepreneur

How often have you either referred to or considered the... Read More

5 Habits Of Successful Entrepreneurs

Habits get a bum rap. When you think about your... Read More

Why eBay Is A Smart Choice For Entrepreneurs

Attention entrepreneurs: If you think the search for the ultimate... Read More

Business Development: The Basic Ingredients

Cooking isn't much different than building a business. You have... Read More

An Entrepreneur Is

An entrepreneur is an innovator. She sees a need in... Read More

Create Your Entrepreneur Dream Team

I hear it all the time. "What should I do... Read More

Entrepreneurial Hate, its out there

Today, I got an email from a lady who hates... Read More

The Magic of Float

If you've ever received a service today and paid for... Read More

Rx for Falling Corporate Profits

Once again the squeeze is on as renewed inflation worries... Read More

Work On, Not In Your Business

Are you busy? Everyone's busy! Ask anyone they'll tell you... Read More