Guest Post: The Best Advice for Retirees Aiming to Start a New Business

Written By: Jim McKinley

There are many different reasons for starting a new venture after entering retirement. Maybe you want to pursue a business idea you never had a chance to realize before, or maybe you miss putting your knowledge and skills to work. No matter what’s driving you, your first priority needs to be keeping your financial future secure and intact.

Check Your Perspective

Your first step toward developing a successful business during retirement is developing a realistic fiscal outlook. As Inc. explains, thinking in terms of the financial future is a must. Even if you retired at a young age, are currently economically sound, and are in great health, you need a strategy oriented toward long-term success on all fronts. According to some statistics, nearly a third of all retirees must dedicate 40 percent of their retirement income toward existing debts, and if you have a situation where you’re starting out your business barely making ends meet, you are more apt live with stress and financial struggle instead of making good headway.

Examine Debts

Acknowledge any debts you have, including your mortgage. If you already owe money to creditors, make it a point to become debt-free as soon as possible. It might be a good time to downsize your home, and you should examine what you have in your retirement savings. Also, take a hard look at your credit report and examine it for any accounts that don’t belong to you, clerical errors such as incorrect dates, or old debts which should be removed. According to ConsumersAdvocate.org, investing in a credit repair service can mean entering into your new business venture with solid financial footing and better peace of mind for your golden years.

Solidify Your Plan

Once you have a good feel for your financial position, take an earnest look at what you expect to be doing. US News notes the largest part of success for small business owners is making a solid business plan, which includes recognizing an existing need and then finding a way to meet it. Are you offering the right product or service at the right time? Do you already have the abilities to fill that niche, or do you need to invest in special equipment or training? Some retirees turn a hobby into a small business, such as making handyman repairs, landscaping, or selling handcrafted items online. You might decide to be a real estate agent, in which case you should check the requirements where you live.

Resources for Funds

According to the Muse, if your business idea requires a substantial investment, you might decide to take out a loan or find investors willing to help finance your endeavor. You could reach out to friends and family members through crowdfunding, or connect with specific people you think might be as passionate about your idea as you are. Think about the need you intend to meet as well as who will be impacted and how. Be creative in your outreach, be ready to pitch your idea, and you might be pleasantly surprised at the outcome.

Pathways and Exits

How long do you plan to work at your new venture? Depending on your objective, you might only intend to work for a set number of years. For instance, some people work until they reach a particular financial goal or a specific age, while others develop their businesses with the intention of passing it along to someone else later. Have a plan in place for how you will later exit your business. Your business’s legal structure can help determine your exit strategy as much as your goals, and certain formats can also help protect your personal finances. You may wish to explore the AARP’s entrepreneurial resources when deciding how to proceed.

Taking on a new venture during retirement is a big step. So, weigh your situation carefully to ensure your financial well-being. With some careful planning, you can start a new business without risking your future.

Like this article?

Share on Facebook
Share on Twitter
Share on Linkdin
Share on Pinterest

Related Posts

Typing stock photo

My Spouse and I Opened a Business and it’s Ruining Our Marriage — What should We Do?

Starting a business with your spouse sounded like the ultimate team effort — until disagreements over how to run it started spilling into your marriage. The good news is that couples run successful businesses together all the time, and it usually comes down to a few key adjustments. Here’s how to define roles, set expectations, and keep work from taking over your home life.

Read More »
Cannon's Upholstery photo

How Cannon’s Upholstery Built the Systems to Scale Past $1,000,000

.elementor-widget-text-editor{font-family:var( –e-global-typography-text-font-family ), Sans-serif;font-weight:var( –e-global-typography-text-font-weight );color:var( –e-global-color-text );}.elementor-widget-text-editor.elementor-drop-cap-view-stacked .elementor-drop-cap{background-color:var( –e-global-color-primary );}.elementor-widget-text-editor.elementor-drop-cap-view-framed .elementor-drop-cap, .elementor-widget-text-editor.elementor-drop-cap-view-default .elementor-drop-cap{color:var( –e-global-color-primary );border-color:var( –e-global-color-primary );} Strong Demand, Stretched Leadership Cannon’s Upholstery, a Phoenix-based upholstery business led by Latrice Cannon, had what most small businesses want most: an established brand, strong market demand, and roughly $600,000 to $700,000 in annual revenue. What it didn’t have was the operational bandwidth to grow beyond that plateau. Production scheduling was reactive rather than planned, job tracking lived in people’s heads and notebooks instead of a centralized system, and Cannon’s own time was stretched across estimating, customer communication, material ordering, accounting, and financial oversight all at once. Ready to Grow, But Not Yet Built to Scale In February 2025, Cannon engaged Waters Business Consulting Group to support the company’s next phase of growth and operational refinement. The core issue was clear: reactive scheduling was creating production bottlenecks and overbooking, and without a centralized system for tracking jobs, it was difficult to know project status at a glance. Forecasting and margin visibility were limited, workflows across estimating, billing, and accounts receivable were inconsistent, and Cannon’s own bandwidth constraints made it hard to delegate or train staff systematically. Staffing challenges called for clearer role definitions and accountability, and marketing lacked a structured, data-driven strategy tied to actual growth targets. Without defined KPIs, it was hard to know whether the business was actually improving month over month — even as ownership pushed to expand both its commercial and residential client base. A 150-Day Plan Built on Data WBCG introduced its Profit by Design™ framework, starting with a comprehensive business assessment across marketing, sales, finances, organizational structure, and culture. A thorough analysis of three years of profit-and-loss trends fed into a two-to-three-year financial forecasting model, giving Cannon clarity on exactly how many transactions would be needed to hit higher revenue and margin targets. From there, the work turned operational: streamlined estimating and scheduling workflows to reduce the bottlenecks that had been slowing production, a new organizational chart with draft position descriptions tied to performance metrics, and pricing and cost analysis guidance aimed at strengthening gross margins. WBCG also completed a break-even analysis to determine when the business could afford to hire an internal bookkeeper and office support, then helped Cannon actually make that hire — developing position descriptions and assisting with training. A data-driven marketing strategy focused on commercial-sector expansion and brand leverage, and weekly coaching sessions kept the whole plan moving through a structured 150-day action plan designed to stabilize operations and set up sustainable growth. The Results: Growth With a Foundation Underneath It By 2025, Cannon’s Upholstery had grown to approximately $950,000 in annual revenue with roughly a 35% gross profit margin — solid progress toward the $1.2 million baseline the engagement was built around. Streamlined estimating drove higher project conversion rates, and the business now has structured financial forecasting, defined KPIs, and clearer operational accountability in place to support continued growth. Just as important, Cannon’s has a documented three-year strategic roadmap and the organizational clarity to pursue expanded commercial and residential opportunities deliberately, rather than reactively — along with the early groundwork for an eventual succession plan. Ready to Build the Systems Behind Your Growth? Strong demand can only carry a business so far without the operational structure to support it. If you’re ready to move from reactive to strategic, a free consultation can help map out what that looks like for your business. Contact Waters Business Consulting Group to schedule a free consultation.

Read More »
Contract signing illustration

Should I Sell My Business During the Downturn or Wait until the Economy Rebounds

If you’ve built a successful business over many years, an uncertain economy might have you wondering whether now is the time to cash out. Selling during a downturn certainly comes with challenges — fewer buyers, tighter credit, more caution all around. But it also comes with some surprising advantages you may not have considered. Here’s what to weigh before you decide.

Read More »

Imagine Selling Your Business…

How Would Your Life Change?

You didn’t start your business just to stay busy—you built it to create freedom, security, and options for yourself and your family. Selling your business can be life-changing, but the real question is whether you’re intentionally building toward that outcome or simply leaving it to chance.

Sign up below for a free consultative session to learn what your business could be worth today and in the future! 

Thank you for your interest in learning what your business is worth. We will be in touch shortly.