Martin Hawes, wealth coach and personal finance adviser, does not believe in the word retirement. He is fully behind people who want to get involved with new business enterprises after their main career ends.
The first thing is it is actually quite common for people to start new careers or businesses after 60. A large number of times I've sat in taxis with retired accountant and engineer drivers, people who have retired, gone home and got bored out of their trees and wanted to go back to some kind of business. I've always been very supportive of this. It gives social and mental engagement and a bit of income.
On the risk side, the business should be small. It should not be capital intensive and there should be no debt. If it is small, in the scope of things, i.e. not more than 20 per cent out of the total amount of a couple's net worth, then I'd be relaxed. And the rest of that 80 per cent should be well and conservatively invested. That way you have on one side, quite a high risk investment in the coffee bar for instance, while the rest of it should be in bonds or something similar.
A common business many professionals take up after they leave their corporate life, is consultancy work. And that makes sense, they do the consultancy connected with their former career. Others, however want a complete change they apply their skills to other industries. In some cases they will do pro bono work, or price themselves a bit lower.
For some they buy a company or start one and, in effect, buy themselves a job. In this case people are often not getting a return on their capital and their time but they are quite happy about that. These people are not looking at building wealth. They are looking for social engagement to get out of the house.
