For people ready for a second act in life, an encore entrepreneurship may be the perfect choice. Whether you’re retired, unemployed, or looking for some extra income, joining the ranks of entrepreneurs over 50 can be a great opportunity to pursue a business that’s always interested you. Or you may choose to dip your toe in the water of the many unexplored opportunities you never had time for. In this post, we’ll discuss how to get started with an encore business.
Topics: Encore Entrepreneurship
Article originally posted on AARP Oregon on June 1, 2017.
What is encore entrepreneurship?
If you haven’t heard of it yet, you will soon. Encore entrepreneurship is on the rise!
As an artist, writer, design or creative entrepreneur, you have the skills to create great work, but do you have the business skills to get great work? When starting your own creative business, you will need to do some digging into business topics and getting to know your market. Though it might take some trial and error, by doing your homework, you can run an effective business.
There’s something special about the later years in life, including the freedom to do different things like travel, explore, and even start a business.
Those individuals who endeavor to create their own business at this stage in life are often referred to as “encore entrepreneurs”. Individuals who start business after 50 accounted for nearly one-quarter of new businesses started last year. People in this age range actually start businesses at a higher rate than those in their 20s. If you consider full-time independent workers, baby boomers and seniors combined are actually the largest segment at 37 percent according to the MBO independent workforce study.
There are now about 100 million people in the U.S. over the age of 50 - and most of them are going to live a very long time. Life expectancy has increased dramatically over the last century. Now when you turn 65 you can look ahead to 20, 25, even 30 more independent, energetic, active years. Never before in the history of humanity have we had such long life expectancy. What an apportunity.
There is no age limit in the business world. Indeed, a group known as “encore entrepreneurs,” people over the age of 50 who start a business, is on the rise. According to a Kauffman Foundation survey cited by Forbes, those aged 55 to 64 invest in new business ventures at a higher rate than other age groups—making up 23% of all new entrepreneurs. With so many middle aged and older adults taking the lead, entrepreneurs and business leaders from every age group are starting to take note.
Turning your passion into a career may seem like a great way to ensure you love what you do every day, but sometimes your vision and reality do not align. It takes more than passion to know how to capitalize on the things you enjoy and create a profitable business. Recognizing that starting your own business will be a challenge is the first step.