Start with new business after you retire

By Charles Hopkins Published 08/8/2006 | Social Issues

Many of you dont get a reason to live when you retire. Your being on earth is automated deprived of any liveliness. Though you begin on a stress-free note but gradually find yourself isolated. And for no reason either you find difficult to adjust with your surroundings or the compatibility between you and your social being gets diluted. 

The sad part of the story is you are the same person whose exuberance had that cutting edge power to grab on time and motion. Alas! Now you keep to your corner and play the disguise role that you are doing it out of your choice. Is it really so?

Retiring doesnt mean retiring from the spirit of living. You are too young to begin again. So why dont you plan out for a business after retirement? The funds that you have stored and saved for all these working years in the name of retirement plans can be rolled again in further investment.

You really dont dream of becoming a business tycoon at this age. But you can obviously pave the path for a rising business to the future generation. Your entrepreneurship skills will get a new start when others of your age group sink behind to set down.

In the United States looking for a new business is no big deal. But keeping it alive in the highly competitive market is really challenging. Whenever you set out for a new business, you must be clear about the five Ws and one H probability. What, when, where, who, why and how these are to be answered in facts and figures even if you presume the end result to be hypothetical.

In a nutshell whether your business runs, has many determinant factors operating in the market. If the chalking of plan is clear and utilization of funds is done in a patterned structure, then optimum success can be achieved. The demand-supply ratio cannot be taken for granted in case of any business.

Oh! Dont worry. You must be thinking how all these will be possible at that time. How will you initially arrange for the funding to raise the infrastructure?

Do you know about Employment Retirement Income Security Act (ERISA)? You have heard of it but dont have a clear brief. Ok! This Act is the medium by which you can convert your retirement funds into capital to be used to begin a business operation. Again the Small Business Operation (SBA) is a financing medium where you can substantially use your retirement funds to start with a business.

General ways of storing money in the retirement funds are 401(k) plans, pensions, shares and IRA which can be used as capital for the new set up without going for debts and large taxation. This is quite hassle-free and once your business is smooth, the turnover revenue and profit dont go in returning debts and dues.

What are the areas you can explore? You can take up a franchise of a running business. You can also begin a small firm of things you would like to do. That can be consumer products or services. Just anything!

How do you make the best use of the retirement funds? For the initial set-up from the office room, the interiors and the equipment you need money. The different apparatus and tools are also to be bought and then paying off the management people and employees. All these cannot come under the return of profit making subject. In the first stage it is your stored funds that will take care of these aspects.

Most businesses droop at the onset because of insufficient funds. You are lucky enough to give your business a right start with no deficit in initial funding. Now its your turn to chalk it out and make the best possible use of retirement funds.