The reasons why I started the best business after retirement will become clear as you read this article. Many people who are about to retire or have retired are considering starting a business venture after retirement. My analysis of questions on this topic asked on Google indicates that there is a growing number of people who want something meaningful to do after retirement. A sense of purpose of your will. And of course, some need supplemental income. Join me in this article as I share my thoughts before I started a business after retirement.
During my younger years, I worked for corporations and started several successful businesses. I sold the last business and stayed on to manage that business then “retired”. My wife and I had planned my “retirement” several years in advance and my wife and I decided to move to the Mississippi Gulf Coast from California to enjoy our retirement with all of the toys and great climate.
I did not experience work one day and no work the next
A month before I retired, I moved to the Mississippi Gulf Coast and worked from home. My going away party was held before I left so I did not have the experience that many have when they go to the party and retire the next day.
Let’s stop here. After reading my article, I noticed that by telling you I started new businesses before retirement may scare you away. Don’t think for a minute that because I started my own business earlier in my life it was an easy decision after retirement. One reason is that many people consider their years of experience working in their previous job as a launch pad to starting a new one doing much the same thing in retirement as pre-retirement.
Yes, life experience is very important. If you worked as a travel agent for someone else and decided to start your own agency, that’s a much easier decision than if you are creating something entirely new.
A different path to starting a business
Many who will read this article may want to follow a different path. You know the saying “been there, done that”. I created the business that I sold and retired from 22 years ago. It grew into a national corporation across most of the United States. It required much travel and managing many employees.
When I started thinking of the business model, it was never going to be in the same industry or as large. I wanted a good work-life balance. Because I wanted a change, it took more thought and research. Granted, I had been a property investor for years while I was growing my company. This did help in my ultimate decision described below.
The comprehensive article “Starting a Business After Retirement”
I wrote a comprehensive series of articles about starting a business after retirement to help others in their decision-making process. I recommend that you start with the first article “The Ultimate Guide to Starting a Business After Retirement”.
One thing that helped me decide is something that I have espoused for many years. “What type of business are you in”. Often employees, employers, and owners who offer goods or services only think vertically.
My company collected household-generated hazardous waste from homes. Seems clear what the business did right?
This is what the business was actually doing:
🚛 Transportation Focus – Operated a fleet of trucks for collection and delivery.
♻️ Recycling Initiative – Prioritized recycling materials from collected waste.
🛍️ Public-Facing Service – Functioned similarly to a retail business, directly serving the community.
🏛️ Government Contracts – Partnered with cities and counties for waste collection services.
☣️ Hazardous Waste Management – Specialized in safe disposal of non-recyclable hazardous materials.
📢 Marketing & Education – Developed public outreach materials to inform and engage the community.
My point listing the above is that if you worked in this type of business, you could leave and start a business in any one of those categories without actually starting a competitive business doing exactly what that company did.
I helped others actually start businesses doing things such as transporting recyclables and other items. Creating a paint recycling business from the collected unused paint. This is where all of those personal experiences will help you create a new business that while not the same as you left, has some similarities.
The physical move also kept us somewhat busy so it was not night and day as it is for many. Most of my family who have retired went to the office one day and stayed at home the next. I believe that most of my readers who are already retired have experienced this type of situation. Being retired gives you lots of free time to think about what you want to do with the rest of your life.
Many spend more time at work than at home (except sleeping)
Consider this. Many of us have spent more time at work than we have at home (not including sleeping). If our spouse worked, we have spent even less time at home. All of a sudden you wake up and find that your lifelong spouse is someone you will finally get to know. FYI, this is a good thing.
You are reading this article because something is telling you that you should consider that this is a perfect time to become your own boss. Lots of people who have worked in a career reporting to others, working up the ladder wondered about starting a new venture.
The fact that you are reading this means you have arrived at decision-making time. You want a sense of fulfillment or your personal finances require an injection of income. You have no health issues and think it’s a good idea to start a side hustle or a more serious business.
I decided to become a Real Estate Agent
After arriving on the Mississippi Gulf Coast I decided to become a real estate agent. I took a course many years prior and had been an avid investor in properties. Working a full-time job and managing my businesses, there was not enough time and I did not need the income.
I assessed the real estate business on the Coast and decided it was ripe for investors to buy and rent. Over the years I had my own side hustle of investing in real estate but had to sell my investments when I sold my business and managed it for the buyer.
It was not long after arriving in Mississippi that I decided I could create a new business advising investors about buying real estate rental property. I had already started this blog with the help of my son and with more of his help I created a website dedicated to working with others.
I created a business through the state and opened a checking account. Before long I received referrals from real estate agents to help their clients.
With extremely low start-up costs there was no hurry
Let me backtrack for a moment. My first thought was that this new business could grow and generate significant income. On the other hand, with extremely low start-up costs, I was not in a hurry to make big dollars. Also, I wanted to give this business to my children in later years. I created a business plan for growth and worked on the plan for about one year.
Realizing that there were opportunities for me to acquire properties that could be profitable, I bought some. I expanded the business to include putting together syndicates to own rental properties.
While I was doing this, I acquired a real estate agent license which earned a commission for the syndicate sales. I reached a crossroads, I could continue to help others and be paid or I could earn more by creating more syndicates and making my own investments. I was having too much fun at this point.
Business plan morphed after starting a business in retirement
My business plan morphed into what turned out to be a separate business from my advisor business and even my real estate agent business.
I used very little of my personal savings starting these businesses. There was a cost to earn my real estate license of course but the websites were fairly low-cost efforts. By this time I had created a website for the real estate agent business plus the investment consulting business and of course this blog. I was generating some fairly consistent income now about two years into my “retirement”.
A new opportunity came along. I obtained a real estate broker license and partnered with two individuals with decades of experience and created a real estate brokerage business. This was actually leveraging my real estate agent license and website to improve sales prospects. We needed an office and I purchased a building at a very good price directly from the owner.
We had a base of operations
Now we had a base of operations. I moved everything from my home to the office. Stay with me, now I had the consulting business which I was allowing to fade into the background. My efforts to put together groups to buy properties were moved to the real estate brokerage but My blog sites were active.
Just as I thought my entrepreneurial spirit was quenched, yet another opportunity fell into place. With all of these properties to rent, it was time to create a property management business. Fortunately, it was easy to find a business partner. My real estate broker’s son and wife had lots of experience in rental properties. We started with several properties that I owned and that were owned by the syndicates and it has grown from there.
An important point I want to make here is this: Focus on your business plan, make your business first. Consider expansion of your business into natural areas. Earning my real estate license was a natural extension of my property investment consulting business. Earning a broker’s license and opening an office was as well. I added property management because it was a natural extension to my real estate sales business.
A good business idea but not for me
What I did not try to do is open a landscaping business which actually would have been a good extension from the real estate and rental businesses. I decided instead to help another person get into the landscaping business and gave him all of our properties which was a big jump start.
Another natural extension would be property maintenance. The best option was to help yet another person expand their new business by giving them referrals from our properties.
Pick a foundational business to start and expand after you are doing well with the first business. You could using my example, start a property maintenance business and notice properties that are rundown and make offers to buy those, fix them, and rent them.
This is a natural expansion over time. You could start as a landscaper and find a business partner who can do property maintenance. The two businesses could be very successful as one.
I don’t like the term retirement
Back to my reasons for starting a business after retirement. I don’t like the term retirement. Almost no grass grew under my feet between the time I left my former employer and the time I started my first business. For me, I was not retired. Just doing something else. It was that time of life and a perfect opportunity to do something I always wanted to do. Invest in real estate on an active basis.
Everyone can use additional income so one of the points in starting a business after retirement is to achieve financial success. You know, the money is a way to keep score. Yes, I wanted the extra money for current spending.
Repairs on properties, purchase my 5th wheel, and travel. The extra money is great for spending time with my wife and family. I wanted to try some new things and essentially create what would become a part-time business after it was established.
My business activity did not affect Social Security
I wanted to do something that was not a big financial risk. Yes, buying property is a financial risk, but one me on the low side compared to other opportunities. Also, my businesses did not affect Social Security benefits. Creating a successful business(s) is a psychological reward for me.
I needed a challenge and I found several. Another benefit of owning an established business is that I have come into contact with many people. I have learned from most of those with whom I have come in contact and worked with.
Some of us have come from a work environment with others in the same office or shop. Having the opportunity to talk about anything for a few minutes per day is important. It’s a reason to get out of bed. Lots of people who are retirement age are still working because they want the companionship of others.
Sitting on the beach drinking an umbrella drink gets old after a few days without company. For those of you who want to start a business after retirement because they don’t want a boss, think again. Your customers/clients are your new bosses.
My Reasons for Starting a Business After Retirement:
✔ Engage with Others – Stay social and build new connections.
💰 Boost Income – Earn supplemental funds for financial security.
🏆 Achieve Goals – Enjoy a sense of accomplishment.
✅ Check Off the Bucket List – Fulfill lifelong dreams.
🤝 Give Back – Share my success by helping others start their journey.
🏡 Create a Legacy – Leave my business to my family when I truly retire
Exit Strategy
You must read our other articles because they get into the concept of “exit strategy”. This is important for seniors starting a business. At some point, your health will probably require you to stop working. Plan ahead, who will take over your business? Can you sell it? Will you give it to your family? Knowing this at the start of your business makes planning easier and less stressful.
Health Reasons to Start a Business After Retirement
Starting a business after retirement can offer numerous health benefits, enhancing both mental and physical well-being. Here are some key advantages:
- Mental Stimulation and Cognitive Health: Engaging in entrepreneurial activities challenges the mind, promoting continuous learning and problem-solving, which can help maintain cognitive functions and reduce the risk of mental decline.
- Enhanced Physical Activity: Operating a business often involves increased movement, whether it’s meeting clients, managing operations, or handling products, contributing to better physical health and mobility.
- Social Engagement: Entrepreneurship fosters social interactions through networking, customer engagement, and community involvement, combating feelings of isolation and promoting emotional well-being.
- Sense of Purpose and Fulfillment: Starting a business provides a renewed sense of purpose, structure, and daily goals, which can enhance life satisfaction and overall happiness during retirement.
Embracing entrepreneurship in retirement not only supplements income but also contributes significantly to a retiree’s health and quality of life. Checkout the sources for this information below.
Think you are ready, these are my suggestions:
💰 Save Wisely – Don’t invest all your retirement savings; keep a financial cushion.
📊 Plan Ahead – Allocate a portion of retirement income to support your business.
⏳ Define Your Commitment – Decide if this is a spare-time venture or a full-time pursuit.
🚶♂️ Set Your Own Pace – Build your business gradually without pressure.
🤝 Lean on Support – Seek encouragement and guidance from family and friends.
💡 Use Your Experience – Leverage past work knowledge to choose the right business.
💼 Embrace the New Role – A strong work ethic transitions you from retiree to entrepreneur.
10 most frequently asked questions about Starting a Business After Retirement
What are the best business ideas for retirees?
Something that connects with past experiences. Click the button below for our article on this topic
How can I fund a new business without risking my retirement savings?
There are lots of very low-cost businesses see this article and click on the button below
What steps should I take to start a business in retirement?
Research, create the business and marketing plans, and form the business. Click on the button below to read more
How do I balance running a business with my desired retirement lifestyle?
Many businesses can be run part-time. To read our extensive articles about this topic click button below
What legal and regulatory considerations are there for retiree entrepreneurs?
Great question, we explore this in our series of articles, click the button below
Can I use my 401(k) or IRA to fund my new business?
Yes. There are programs to use funds after retirement. Read more in our series of articles below
How can I leverage my existing skills and experience in a new business?
Identify your skills, and compare them to the types of businesses you want to start. Read our series of articles click the button below for more answers
What are the tax implications of starting a business after retirement?
If you take Social Security before age 67, there are consequences. Read more in our article by clicking the button below
How do I market my new business effectively?
We have created an entire article for marketing in our series, click on the button below
What resources are available to help retirees start their own businesses?
The SBA is great. Our series of articles are excellent resources, click the button below
Starting a Business After Retirement
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