Start Your Own Business
Starting your own business can be a challenging but rewarding endeavor. Planning for success is one of the best ways to ensure your efforts will be profitable. Before you establish your own business, make sure you've reviewed these essential considerations.
Data from the Kauffman Foundation shows the highest rate of entrepreneurship in America has shifted to the 55–64 age group, with people over 55 almost twice as likely to found successful companies than those between 20 and 34, and individuals between the ages of 54 and 64 represented 22.9% of the entrepreneurs who launched businesses in 2010. The business formation rate for people ages 45 to 54 is also higher than average.
A third of workers age 55 and older who were laid off in the past 12 months and did not find a job said they were considering starting their own business, according to a CareerBuilder.com survey
Although many older Americans have started businesses with comparatively little capital investment it is important to recognize that most businesses will not generate much revenue for some time and you must plan to have enough cash on hand to pay for your living expenses in addition to possibly having to put more money into your start up. Check our funding your business pages by clicking here. You should also be aware that hours are long and the failure rate is high even during boom years.
Make sure to check out our list of franchise businesses appropriate for boomers, seniors and retirees by clicking here.
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Before starting your own business consider...
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- Talk with your accountant to help you set up a bookkeeping system and other accounting necessities. Do not attempt to do this on your own as the time you will have to spend later converting your systems to workable bookkeeping and reporting will be substantial.
- Write a business plan that will give you some guidelines and update it regularly as your business develops. Your plan should include cash flow projections and a p&l statement. This plan will also be necessary should you need to borrow moneys.
- Talk with an attorney to see if you should incorporate as an LLC, corporation, sole proprietorship, partnership or other corporate entity like offshore companies. Review local laws for home operated businesses if you plan to operate from home.
- Talk with an insurance professional to see what kind of coverage, if any, you may need in your new business.
- Pick a name for your company and check to make sure it is available and that the URL is available and if so register it immediately. Remember the first impression you will make on potential clients or customers is your business name.
- Secure adequate start-up capital in advance of starting your business. Your business plan should provide the information necessary to secure these funds.
- Acquire the appropriate licenses to operate your business.Some of this information comes from CorpNet. For more information go to: CorpNet.
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Older Americans are Starting Businesses
In this economy many older Americans are finding it difficult to find employment or make ends meet during their retirement. At the same time most do not have the capital or wish to risk their savings in starting their own business. We have complied a list of small business enterprises that have been successfully started by our readers. These businesses required little or not capital investment.
Carrie Bledsoe started her own concierge business. She runs errands for her clients including buying groceries, shopping for gifts, arranging parties, making vacation plans, seeing their pets are taken care of while clients are on vacation, etc. She started doing this for friends while she was in between jobs and has turned it into a full-time job. She told us she has even hired reliable people to help her during the holidays as this is her busiest season.
Doreen McManus collects used-goods that others throw out and makes small purchases at yard sales and sells them on Craigslist. She regularly checks the alleys and the front of people’s homes on garbage collection day. She found that baby items, bunk beds, video games and electronics sell well. “It is amazing what people discard that has value,” she wrote. “Anyone who is not afraid of getting into other peoples junk can do this,” she went on. “After a while you learn what will sell and what will not.”
Bill Franks, a retired engineer, spent a great deal of time designing landscaping for his own house and wrote us that he was successful in starting a small landscaping business. He began working on his friends and neighbor's properties and has expanded throughout his community. Bill now employees a staff of 6 who work on a project basis.
Betty Pohler has two dogs that she walks regularly and said in her email "I thought why can't I take care of some other people's dogs and get paid to do so?" Now she employs 3 other neighborhood "dog people" to assist her growing dog walking business and she even has been given keys to the houses of some of her clients so she can feed and check on their dogs while they are on vacation.
Peter Minter, a retired fireman, said he was always handy around his house and now has a growing business painting and doing small repairs in the neighborhood and said he has even been contacted because of a referral to work in a town 30 miles away.
Marge Blankenship has her grandsons helping her to cut grass in the summer and remove snow in winter. Her small enterprise has grown to the point where she now utilizes neighborhood kids to help keep her customer's properties looking well maintained. She told us "its easy, why didn't I think of this before.".
Morrie Cravits wrote to tell us he was always a good organizer and thought "why can't I put this skill to use" and as a result he has built a business cleaning out and organizing garages. "You wouldn't believe how much junk piles up in people's garages," he told us and "almost everyone I spoke with were real glad to have me pitch in to clean and organize." He urged us to tell others to try this as a source of income.
Corey and Sally Bridgewater started selling their handicrafts at a small craft market 2 years ago and now they travel to many craft shows and flea markets where they not only sell what they make, but sell all kinds of goods they get on consignment and even purchase items to sell "if we can buy them right" said Sally in her email to us.
Francine Taylor was always a good organizer and put her talents to work as a Move Manager. She assists people coordinate their move including separating what is to be moved from what needs to be sold, given to family or charity and thrown out. She helps with some of the packing and labeling even in the deciding of what items go to which rooms in the new home. Most of her clients are seniors but some are busy younger workers who do not have the time.
Mary Francis Milligan always loved to cook. Now that her 5 kids are out of the house she put her cooking skills to use by helping busy friends and neighbors plan, pick up and cook the food they serve at parties. This led to her being asked to do so for others she did not know. She charges for her time and works within the budget her customers provide. She told us that she has handled a party as big as 50 but had to hire some help to serve and clean up. She has even put together some meals for special occasions for just a couple who wanted to celebrate in their own home.
Katy Walters always considered herself a great shopper. She knew just where to find bargains as well as those special gifts that no one else thought of. Now she uses this ability to shop for others. She works with both men and women who are either to busy to shop for gifts or things they need for their home or just don't like shopping. She receives a percent of the total cost of what she buys but has a minimum charge for her time. She also returns and exchanges things for her customers but cautions she does not provide this service by itself.
Franklin Bhaumer has been a dog lover all his life but as he got older he found he did not have the strength to lift his 65 pound dog into his car. This gave him the idea to start a pet transport business. He purchased a van and hired some high school kids to help with the lifting and now transports larger dogs to and from the vet or where ever their owners so desire. Because of demand he is expanding his business and plans to purchase an old ambulance which can not only be used for just transport but also to move sick or infirm dogs and with the aid of veterinary assistants, keep the dogs comfortable on the way to the vets. |
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