retirement

Help! I’m Burnt Out and Want to Retire: A Small Business Case Study

Help! I’m Burnt Out and Want to Retire: A Small Business Case Study

As a result of Finagraph’s banking and business owner seminars, I occasionally get asked to step in as a consultant to help small businesses. The most common challenge they seek help with is retirement planning. Their question – “I want to retire, but don’t know where to start.”  It’s natural to be apprehensive when your life is about to make a dramatic change, but thinking about it early and taking the right steps can ease your fear.

We preach that a successful business owner starts with the end in mind.  After a seminar in Las Vegas last fall, I was approached by a couple who own a professional services firm in Los Angeles. They were in this exact situation – looking to retire, and hoping to transition ownership of their firm to their son.  The business is 30 years old, and the son has been with the firm for the past 11 years.  It’s a profitable company with a niche service, ripe for growth or sale. 

Small Business as an Investment

Small Business as an Investment

There are many reasons to start a small business.  They may include being passionate about the work, a desire to work for yourself, or a need to give something back to society.  Successful business owners also want to retire using the money they generate from their business.  In my case, this became the focus of my investment strategy.  It wasn’t always, but this last “great recession” changed my mind.

Goodwill – No; not the thrift store. The pot of gold.

Goodwill – No; not the thrift store. The pot of gold.

Are you hoping to turn your small business into your retirement?  Then you should know how to build goodwill!  Goodwill is the amount of money someone will pay you for your business, over and above the value of the assets.  It’s a big imaginary number that represents how well you run your business, and how safe a purchaser thinks your business is to buy.