Predicting Business Retirement Satisfaction for Business Owners

Most business owners do not think of selling their companies as "retiring". Instead, these vital entrepreneurs see selling their business as a "transition." For most business owners this does not mean slowing down or endless days of rest and relaxation. Rather they see "retirement" as a new, active stage in their lives characterized by continued personal growth, personal reinvention and new beginnings in work and leisure.

A recent survey conducted by Harris Interactive revealed that an entirely new paradigm for retirement is emerging. The good news is that many people are experiencing long, fulfilling and exciting retirements. The bad news is that many business owners will not be fully satisfied with retirement because of inadequate personal planning.

The key findings are as follows:

· The concept of retirement as a "slowing down" is obsolete. Less than a quarter of business owners surveyed agreed with the idea that retirement is for relaxing and doing nothing. Instead, respondents viewed retirement as a new adventure or chapter in life (38%) or a continuation of life as it is (40%).

· Approximately 95% of business owners expect to work in some capacity during their retirement, but said that money was not the sole motivator. Almost 50% said they wanted to work in retirement even if they received nothing at all.

· Satisfaction with retirement is directly related to how financially prepared the business owner was for retirement. Over 60% of those who said they have more than adequate resources to support themselves in retirement reported that they were extremely satisfied with retirement. However, only 46% of business owners who reported that they had to cut corners in retirement indicated that they were satisfied with retirement.

It is important to realize that historically, retirement was something that relatively few people lived long enough to enjoy. Only one hundred years ago the average life expectancy was 47 years. As a result, most people worked until they became too weak to continue. Around the turn of the century, most adults spent only 3 years in retirement before they died.

However, in the early 21st century, the average life expectancy is 76 years and the average person chooses to retire at age 65. As a result, most people can expect to spend 11 years in retirement!

It is interesting to note that the modern concept of retirement as a time of leisure, travel, family activities, hobbies, and educational pursuits is the result of the passage of the Social Security Act in 1935. With the creation of Social Security, the United States government created a financial incentive for older workers to encourage them to retire in order to enable younger workers to take their place. This was considered good national policy at the time because it stimulated economic growth and progress.

Deciding to Retire

The Christman Group has worked with hundreds of business owners who were beginning to think about their retirement. The Christman Group's independent research identified six categories or groups of attitudes that directly impact a business owner's likely satisfaction with retirement. These categories include:

Perspectives about Work and Retirement
Financial Preparation
Expectations about Retirement
Friends, Family & Community
Health Concerns
Involvement during Retirement

Predictive Model Gauges Transition Satisfaction

Using this research, The Christman Group developed a predictive model to help business owners determine if they are psychologically prepared to exit their businesses and transition into a new stage of life.

The model contains thirty-six questions that gauge a business owner's attitudes, beliefs, and values regarding retiring or exiting from his or her business. These responses can then be used to predict a business owner's subsequent satisfaction with retirement. Understanding how a business owner feels about retirement on both a conscious and subconscious level is important before a business owner makes any important decisions about exiting or retiring from his or her business.

For a FREE copy of this predicitive model visit http://www.christmangroup.com or contact the author.

Author Bio: Rich Jackim, former Wall Street attorney and experienced investment banker has helped over 60 business owners successfully exit their companies and realize their personal goals. He is the author of the recenly published book, "The $10 Trillion Opportunity: Designing Successful Exit Strategies for Middle Market Business Owners." Available at http://www.exit-planning-institute.org Rich is the president of The Christman Group LLC, a boutique investment bank that specializes in selling privately owned businesses. Visit http://www.christmangroup.com to learn more.

Rich received his BA from Colgate University, his JD from Cornell Law School, and his MBA from the Kellogg Graduate School of Management. He is a sought after speaker and has either published articles or been quoted in Business Week, Chicago Tribune, Chicago Daily Herald, Indianapolis Business Journal and numerous other regional and national publications.

In The News:

Free Cobb webinars about small business grants  Atlanta Journal Constitution
Celebrating small businesses  Elite Business Magazine
Small businesses doubt they can survive Lockdown 2.0  The Australian Financial Review
This nurse is using her PPP loan to start her small business  Puget Sound Business Journal (Seattle)

Blowing Your Own Horn ? A Key Marketing Strategy for Small Business

-- Building Credibility Through Success Stories --Successful solo entrepreneurs spend... Read More

Do Your Best; Hire the Rest

One of the hidden perks of raising six children is... Read More

Analyzing Customers in Your Business Plan

The Customer Analysis section of the business plan assesses the... Read More

Get Approved for a Franchise

Deciding to start your own franchise is just one of... Read More

Women and Small Business

In the book Women and Small Business author gives all... Read More

Why the Over Regulation on the Franchising Model?

Franchising is the fastest way to build small businesses, provide... Read More

Getting City Contracts; Local Government Contracting

All cities have a purchasing office and/or a procurement officer.... Read More

Essex Accountant: Accountancy Firm MVP for Your UK Business?

Most business owners know when they need an accountant, but... Read More

The Failures Guide to Small Business Success

How many "get rich schemes" have you joined? Or have... Read More

A Day in the Life of a Self Employed Professional

It's Monday morning and Connie the Consultant sits in her... Read More

How to Curb Antique Shop Theft Inexpensively

If you have ever had your antique shop or mall... Read More

Creating a Dynamite Account Plan

Why do you need an account plan?When you first decide... Read More

7 Tips to Improving Your Cash Flow

Cash is King... That is what everyone tells us and... Read More

Five Tips for First Time Entrepreneurs

It seems so long ago that I started my first... Read More

Hard Money Lenders -- No Money Down The Easy Way

Would it help you as a real estate investor to... Read More

Is Your Success Predetermined?

Your on-line success is based on your efforts and yours... Read More

Knowledge is Power

Why does research and education play an important part of... Read More

Dynamics of Daylight Savings Time on Service Businesses in the United States

The Dynamics of Daylight Savings Time changes the way we... Read More

Home Based Franchise; What About Future Expansion?

As a franchisor I am always asked by new and... Read More

Survival Tips For Your Small Business

No matter type of business you operate you've got to... Read More

Setting Up as an Electronic Repair Authorized Service Center

If you plan to upgrade your workshop into an Authorized... Read More

How to Write a Credit Policy for Your Business

The book, "Become the Squeaky Wheel," by New Hampshire author... Read More

Increase Profits With a Small Investment of Time and No Money

The less a business pays for goods and services the... Read More

How to Profit from Business Consulting Opportunities

Business consulting opportunities might be just what your are looking... Read More

Local Government Relations for Small Business

Most small businesses simply go about their daily business and... Read More