Baby Boomers Have Left Retirement in the Rearview Mirror – Looking Forward to Investing in Franchises to Stay Focused and ActiveDate : Mar 1, 2018
Baby Boomers and the Increasing Trend
Baby Boomers – The generation that sprung right after World War II has other plans for their old age than retirement. That’s right. Baby boomers are increasingly looking forward to buying business franchises as part of their retirement plan. In fact, they have taken early retirement or golden handshakes to support their new plan already.
A Merrill Lynch Retirement Study conducted in 2014 showed that according to the new retirement work-scape, near future has a very low percentage of not-working retirees. The new study also highlights little to no pensions, heightened life expectancy, re-visioning of earlier life along with increasing uncertainty about finances.
The stark reality that 22 percent of older boomers have alarmingly lower levels of retirement savings supports the notion that business franchise can be a good source of a bit increase in income. This challenge of unemployment in the old age and the resulting lower finance has been challenged by baby boomers strong headedly. Kauffman Index of Entrepreneurial Activity shows that 23.4 percent new business starters are aged between 55 and 64. The new interest in business by boomers is due to the latest downsizing trend in the US. The boomers deem it unnecessary to spend twice the time in looking for a new job. Therefore pursuing a passion along with investing in a safer business is a way better idea to follow one’s interest and generate income for themselves and their families.
Perks of Buying a Franchise
Also, starting a new business and beginning it from scratch altogether can be a little daunting at an older age. For someone who is 20+ and a fresh grad, starting a business might seem like an uphill battle that can still be conquered with all the internal and external resources that they possess. But someone in his 50 and beyond, venturing upon new business, does not appear to be such a good idea. In such situations, a better step is to join an already established business. Franchising a business with a shared interest in yourself can prove to be highly advantageous, especially for the baby boomers. All you have to do is follow the system and go with the flow. The startup phase can mainly be difficult. Therefore, franchise saves you from that hassle and gets your money coming in without any delay and stress.
Furthermore, there are many additional benefits of buying a franchise of already established entrepreneurship. You get to have huge support in locating, supplying and marketing the business from the franchisor and other as you have embarked upon the same journey. Also, other advantages such as proven business models, operational procedures and built-in name recognition come with buying a franchise. If looked carefully, one can observe that purchasing a franchise comes with a host of benefits. This is a jackpot for the older people who have who have little to no retirement savings.
Enjoy Flexibility According to your Finances
Did you know buying a franchise can be as flexible as the finances available to you? Even though most franchise purchases require an initial investment, specific low-cost franchise options do not require a high net worth or large upfront payments. These options include promotional and printing products, residential and commercial cleaning services, numerous services for children or seniors and tax preparation.
Other sources of financing are also available via Small Business Administration loans. These microfinance loans are specially granted to people who intend to start microbusinesses. This is a huge incentive for creative people who plan on starting or expanding their businesses.
Also, buying an already established business franchise instead of starting a new franchise location from the ground up comes with a lot of certainty about your investment. Before signing an undertaking, consult a trusted financial advisor and do a little bit of research on your own to see if buying a franchise or business is your cup of tea. Research is considered to be one of the most important foundation stones before investing in anything. Therefore, make sure you go in well equipped with relevant knowledge.
Bohnne Jones of Nashville spent 31 years in Health Care after which she decided to turn to something entirely different from her field and pursue her interest in fabric, color, and design. She decided to buy an already made franchise, Decorating Den, which comprised of her interest and the advice she got from those like her who were already a part of it was to ‘you will do well if you keep following the system.’
She has owned this franchise in Nashville for the past years now and has been doing great, both financially and psychologically. Bohnne Jones maintained that she had now completed almost eight years of employment without having to worry about downsizing. Her business is strong. She intends to step back in a couple more years and let the business take care of her, after which she might downsize herself!
After having done a job your entire life that might or might not have been of your choice, with owning a franchise, one gets to pursue their entrepreneurial spirit and passion along with making a good sum of money in their later years. It is also a safe way to avoid any uncertainty regarding your infant business or the finances it is going to generate. Buying franchises ascertain financial security, psychological relief and high level of satisfaction with your choice of job.
Furthermore, it also helps one stay focused and active in the later years of life when the activity becomes far more critical than it usually is. Old age calls for being physically and mentally active, even if for a little while. And what could be better than getting indulged in activities that you enjoy undertaking? It provides with an excellent opportunity for being physically and mentally fit along with ensuring financial stability and a good self-made plan for your retirement.