This article was written by Features co-ordinator Amitabh Sharma and published by the Gleaner earlier this year.
The changing paradigms of economies across the globe have redefined how one works and at the end of it all, when does one 'retire' from work. Retirement is no longer seen as a time for chilling out on the beach and slowing down in life, it is about pumping more to keep pace with the times.
Entrepreneurship is a viable option for those who want to continue to work post-retirement.
"More people are drawn towards self-employment after they have retired," says Aldain Reid, an entrepreneur and the president of the Young Entrepreneurs Association of Jamaica .
According to Reid, a recent study found that 76 per cent of retirees work post-retirement because they need the money, while an equal number reported they worked for the enjoyment of it.
Reid says that there are three key factors driving people to become entrepreneurs:
1. People are living longer and are in better health.
2. People are recognising the need for additional income, especially those forced into early retirement because of layoffs.
3. People are looking for intellectual stimulation.
In Jamaica, Reid says, older people are drawn to self-employment for a variety of reasons. "Some are disenchanted after years in corporate Jamaica and crave the autonomy of being their own boss, others see a chance to finally pursue a dream or hobby," he says. There are others who are driven by pure necessity, " they need income and can't find other work," adds Reid.
But not everyone is prepared for the realities of being self-employed.
"One of the biggest risks to starting a business later in life is money," says Reid. By their mid-50s, many adults have stashed away a nest egg or have inherited money that can be used to fund a new business.
"But unlike people in their 20s or 30s," he warns, "50-year-olds don't have decades to recover from a failed venture, and their retirement savings can easily be wiped away."
International studies have shown that about 66% of start-ups with employees close in their first four years. Reid suggests that one should not put his or her entire retirement savings on the line.
Then there is the challenge of keeping pace. "Older adults sometimes tend to lack the energy and stamina to work 80-hour weeks and constantly promote their businesses," says Reid.
Years on the corporate treadmill can drain people emotionally, they are used to following orders and often have not had the experience of being rejected, so they can become easily discouraged.
Reid suggests prospective entrepreneurs to do some groundwork and before they test the waters.
Defining your drivers
"Not everyone is cut out to be an entrepreneur," Reid says. "You have to know what motivates you - learning, creativity, accomplishment or recognition, that will guide you on what business you can focus on."
A good start is critical, it is imperative to know the market and understand the needs of the market. "Knowing what you want is a good start," Reid says, "but it won't mean a thing unless someone else will value what you offer."
Reid also recommends to acquire technical skills. "One should have a knowledge of computers and software," he says. "There are many local resources where people can acquire new skills, The Jamaica Business Development Centre is an example."
Planning
Take your time and fiddle with your plan before you commit to it. A smart plan can be the difference between success and failure.
Seek counsel, Find people you trust and create your own board of advisers. Older entrepreneurs are at an advantage to the extent that they can tap into a lifetime of professional contacts.
"It is never too late to follow your dreams," says Reid, "but if you are close to retirement and you decide to start out on your own, make sure you have given it good thought."
Possible business ideas
"I have looked at retirement businesses that capitalise on the qualities that a mature person brings to the table," says Aldain Reid. Some of the areas that one can explore for entrepreneurship are:
Coach (life, executive, transition, career)
Freelance commercial writer
Motivational speaker
Virtual assistant (VA)
Internet business owner
(For details, log on to www.go-jamaica.com/jobsmart)
amitabh.sharma@gleanerjm.com
See article online at:
http://www.jamaica-gleaner.com/gleaner/20080302/news/news7.html
No comments:
Post a Comment