Challenges of Retirement
Retirement kills more people than hard work ever did. – Malcolm Forbes
Don’t simply retire from something. Have something to retire to. – H.E. Fosdick
Some business owners are “serial entrepreneurs,” who build up and sell a series of businesses during their lifetimes. Others have spent a good part of their lives building up one business. It is “their baby”. Many owners have spent more time with their businesses than with their families. Their identity is tied up with the business. Letting go can be stressful and emotional.
Perhaps the surest way of inviting a heart attack is to step out of a business “cold turkey”, suddenly shifting from a hyperactive multi-tasking lifestyle to total passivity. If you are exiting a business to retire, the retirement should be carefully planned and phased:
- What activities would you enjoy after exiting? You may wish to stay with your company as an employee, advisor or board member, start another smaller business, or engage in community volunteering or philanthropy, to name a few—whether full-time or part-time.
- How much income do you need to retire? To what degree do these need to be funded from proceeds of a transaction? Do you need to look after your own retirement income, the financial needs of your family, do you wish to leave funds for future generations, or a legacy? Once again, it boils down to objectives.
The word “transition” is used both for retirement and for exiting a business. At Robbinex we do our best to take into account and assist with both the personal and business aspects of any transition. We want to do what’s right for you and your family.