Now that you’re retired, you’re probably thinking, What’s next? You could travel, spend time with family and friends, or take up a new hobby. But what if you’re not ready to give up work just yet? If that’s the case, you should consider becoming a remote entrepreneur. Becoming a remote entrepreneur could be the perfect option for retirees looking for a new adventure. There are many benefits to this type of work, ranging from flexibility and independence to a chance to make new friends all over the world. Read on for our top twelve reasons retirement is the perfect time to start your own remote business.
Remote entrepreneurship after retirement offers many advantages
From having your very first business credit card and all the benefits that that entails, to meeting people from all over the world, starting a remote company offers many advantages to retirees. Also, as you can probably imagine, your life experience is a big head start when considering entrepreneurship compared to when you’re young. However, there are many more benefits besides these.
We can divide these benefits into two main categories:
- The benefits that life experience brings to business success
- The personal benefits retirees get from starting a new remote business
The first set of benefits has to do with the pros that being retired brings to your chances of succeeding when launching a remote startup, while the second set covers the benefits that remote entrepreneurship brings to you as a retiree. Keep reading to find out why this is a match made in heaven.
Benefits of remote entrepreneurship after retirement from a business success standpoint
When it comes to business, the benefits of being a retiree are numerous. With years of experience under your belt, you have a much better understanding of how businesses work and what customers need and want. In addition, you’re likely to have a large network of contacts that you can tap into for advice, mentorship, or even funding. And because a 9-to-5 job no longer ties you down, you have the freedom to work on your business full-time, meaning you can put in the long hours needed to get it off the ground.
These and other benefits make it likelier for your remote startup to succeed than if it was a 20-year-old starting a new company. Let’s take a closer look at what these benefits look like.
#1 Financial literacy
As unfortunate as it is, most people only start worrying about their personal finance when they’re nearing retirement age. Yes, many do start investing early, but it’s not common to see someone in their 20s or early 30s breaking down their expenses into categories, tracking where their money is going every month and figuring out ways to make their resources last for as long as possible and to invest them as effectively as possible.
However, once you reach retirement age, you start worrying about where you’ll get your retirement income from, start taking a serious look at your financial health, start budgeting, and start making the decisions you need to make to secure your livelihood during your golden years. In the process, people learn a lot about how money works, taxes, mortgages, assessing risk when investing, keeping healthy credit, controlling debt, and much more.
These are all essential financial skills everyone should have and put to use during their life, but they’re particularly important in business. This financial literacy can mean the difference between success and failure for any startup, remote or not.
#2 Retirees usually have stronger finances
On a related note, another benefit of being a retiree is that you’re likely to have your finances in order. This contrasts with young entrepreneurs who are just starting and are still working on getting their financial lives together.
Additionally, if you plan well for retirement, you’ll likely have a good nest egg by the time you retire. You can devote part of that nest egg to your startup, which removes one of the biggest hurdles startup founders have to cope with: raising funds to launch their business.
If you’re not keen on giving up all or a part of your savings, your nest egg can still serve as a safety net that can get you out of trouble fast if you need an important amount of money for any unforeseeable expense. This takes away a big part of the risk of failure from starting a new company.
#3 You have plenty of experience in your niche
When you’re young, you can be a successful entrepreneur in many industries because you have the time and energy to learn everything there is to know about the business you’re in. However, as you get older, it becomes harder and harder to switch industries or learn new things because you don’t have the time or patience for it. However, this can be a good thing when starting a new business.
If you’re starting a business in an industry you already know well, you have a big advantage over younger entrepreneurs. You know the ropes, what customers want and need, you know the competition, and you likely have a network of contacts that can help you get your business off the ground.
Not all businesses can be run remotely; there are some in which in-person human interaction is essential. However, for those that you can run from home or a virtual office, having experience in your niche can give you a strategic advantage over younger entrepreneurs allowing you to grow much faster since you can avoid going through so much trial and error (you already learned from plenty of trial and errors when you were employed).
#4 You have a broader professional network
Your professional network is usually limited to your immediate circle of friends, classmates, and colleagues when you’re young. However, as you get older and move up the corporate ladder, you have the opportunity to meet more people in your industry and develop a broader professional network.
This is important because when you’re starting a new business, it’s all about who you know. The more people you know, the easier it will be to find customers and partners, and the more likely you are to get funding for your business if you need it.
Of course, young entrepreneurs can also develop a strong professional network, but it takes time. If you’re starting a business later in life, you likely already have the network you need to get your business off the ground.
#5 You can leverage an impressive CV
While the previous four benefits are related to entrepreneurship in general, this one is more relevant to remote entrepreneurship. The thing about online businesses is that the lack of in-person interaction leads to a lack of trust from potential partners, backers and customers or leads. But if you retire after a long and successful career in any industry, you’ll have a strong CV that commands confidence.
You can use your experience, skills, and accomplishments to give people confidence in your abilities as an entrepreneur and help them understand that you’re not some fly-by-night operator.
#6 You have the freedom to travel to other places and meet your remote team
Some remote entrepreneurs are tied down to a particular location for different reasons. Some are people who work for another company, either part-time or full-time and decide to launch their remote business to get some extra income. This is not the case with retirees.
If you’re starting a remote business after retirement, you have the freedom to travel wherever you want and work from any location. This gives you a big advantage in building your team since you can easily meet face-to-face with potential employees or contractors who live in other parts of the world.
Even if you are running a remote business, meeting people face-to-face can seriously change the game and make everything feel more real (not that it’s not). It gives investors, backers and partners more reasons to trust you, and it improves your remote team’s commitment to your company, especially if you happen to be an outgoing, likable type of person.
#7 You’re more likely to stick to your plans
A great business plan is completely worthless if you don’t stick to it and see it through. When you’re younger, it’s easy to get sidetracked by different things that come up in life. You might meet someone and start dating them, or you might get a great job offer and decide to procrastinate on what needs to be done to grow your business. On the other hand, if you’re retired, you’re more likely to stick to your plans since you don’t have as many distractions.
Of course, this doesn’t mean that you won’t face any challenges or obstacles when starting a remote business after retirement. It means that you’re more likely to see your plans through to the end since you don’t have as many things pulling you in different directions.
Benefits from a personal standpoint
By now, you know that retirement makes it easier to succeed when starting a new online or remote business. However, besides the benefits from a business perspective, there are also many personal benefits of becoming a remote entrepreneur after retirement.
#1 You can finally turn your favorite hobby into a business
Do you have a hobby that you’re passionate about? Perhaps you’ve always wanted to start a business that your field but never had the time or opportunity to do so.
If you’re retired, you finally have the time to turn your passion into a business. And if that passion happens to be related to an industry that can be managed and run remotely, even better.
#2 You can spend more time with your family and friends
Launching a new business can be very time-consuming, and many retirees worry that it’s simply too much hassle. They prefer spending time at home with their grandkids and sharing the time they have left to live with their spouse or partner.
However, one of the best things about being a remote entrepreneur is that you have more control over your schedule, and you get to work from home if you want. This means that you can easily make time for your family and friends instead of losing one or more hours on the commute every day.
#3 You can fulfill your dream of traveling the world while making more income
One of the most common things people want to do after retirement is travel. They finally have the time to visit all those places they’ve always wanted to see but never had the opportunity to do so.
If you’re a remote entrepreneur, you can easily travel and work simultaneously. You can explore new countries, meet new people and have new experiences while still running your business and making money.
#4 You’ll feel better and more productive
When you’re retired, it’s easy to feel like you’re not doing anything meaningful with your time. This can lead to feelings of depression and anxiety.
However, if you’re running a business, you’ll always have something to do and something to look forward to. You’ll feel more purposeful and productive, leading to better mental and physical health.
#5 It forces you to learn new technologies
This can be a benefit or a downside, depending on how you look at it. Successful remote entrepreneurship involves leveraging all the communication and productivity tools you can use. Otherwise, it’ll be very hard to keep track of all the work that needs to be done and the people that need to be doing it.
Productivity tools like Slack, AirTable and Asana may be easy-peasy for your average millennial or gen-Z startup founder, but it’s unlikely that retirees are accustomed to working in these interactive online environments. This implies that there will be a learning curve to tackle when starting a remote company, but once you’re up the hill, it’ll all be smooth sailing the rest of the way.
Becoming well versed in these new technologies has a strong psychological effect on retirees, who often feel left behind by the speed at which technology advances. Starting a remote business is the perfect excuse if you want to avoid ever feeling outdated.
The cons to remote entrepreneurship after retirement
Nothing is ever perfect, of course, and remote entrepreneurship does have its downsides. They do not outweigh the pros, but it’s still important to keep them in mind when starting a new business during retirement.
#1 You may feel isolated from your peers
Most people value meeting their coworkers and chatting with them at the office. For obvious reasons, this is not normally an option if you’re running a remote company so that you may feel isolated from your peers. However, you can avoid this by joining relevant online communities and making an effort to connect with other remote entrepreneurs.
Many coworking spaces cater to digital nomads and remote workers, which can be a great way to get out of the house and meet new people while still working on your business.
#2 You’ll need to be extra disciplined
When you’re working from home, it’s easy to get distracted by things that are not related to work. This can lead to a decrease in productivity and an increase in stress levels.
To avoid this, you’ll need to be extra disciplined and make sure that you’re focused on work when you’re supposed to be working.
#3 You may have difficulty delegating work to others
If you’re used to being in control of everything, a remote business can become a source of stress because it is very hard and time-consuming to be on top of every worker when they’re strewn across the world and working in different time zones.
This can sometimes make it difficult to delegate work to others. However, delegation is essential for any business owner, and it’s something that you’ll need to learn how to do if you want your business to be successful.
The bottom line
There are many pros and benefits to starting a remote business after retirement. Perhaps the most important benefit is that you’ll be able to continue making money and contributing to your household income while keeping yourself motivated and with something to look forward to. You’ll also feel better and more productive. However, there are some downsides to consider, such as feeling isolated from your peers and needing to be extra disciplined when working from home. All in all, the pros outweigh the cons for anyone looking to start a remote business during retirement. So start planning your remote business today.