Editorial

We’ve Only Just Begun!

You’ve seen the headlines: 60 is the new 50! Or maybe even 45! A report issued by the White House Conference on Aging on September 16th recommended to the Social Security Administration that it increase its longevity assumptions. Baby Boomers, the report says, will be living younger longer. Generally, boomers will have better health as they age and their aging process may be notably slowed. Our expectations for what we should be doing at any given age have changed dramatically from those of the past generation or two. And one of the major attitude changes has been the concept of retirement.

According to a recent study conducted by Merrill Lynch, 76 percent of baby boomers, the leading edge of whom turned 60 this year, intend to keep right on working past traditional retirement age, many after launching a new career. They not only expect to live and work longer than their parents, they intend to look and feel young longer.

Here at FranChoice (where we provide a free service to people looking for a Franchise opportunity that best matches their skills, interests and financial requirements) we are finding that almost 80 percent of the people we place as franchisees have left corporate America to find a new career. And of this group, almost half are over 50! People are scrapping the notion that their senior years equal “old age.” Like the song, Americans are starting to realize that even after 50, “We’ve Only Just Begun!”

Here are some of the top reasons those people starting the second half of their lives are choosing franchise ownership as a next career:

Buying a franchise can be a chance to fulfill a lifelong dream
A traditional job may pay the bills but isn’t necessarily fulfilling. As people reach middle years, they begin to realize that if they don’t start perusing their dreams now they may never get the chance. Many want to try things they’ve never done before. Some want more personal freedom and the ability to set their own hours. Others just want to parlay their skills and experience into an opportunity to make some real money.

But who wants to start at the bottom of the food chain when they are 50 or 60? One of the benefits of Franchising is that a franchisor will provide you with the tools and mentorship to run your very own business. A banker can leave the stress and routine of corporate America and start a new life as the owner of a pet grooming business. A nurse can find new challenges and excitement as the owner of a coffee shop.

Buying a franchise can let you try an entirely new career in a new industry. You can be your own boss, set your own goals and schedule, and make your efforts earn money for you instead of for others. All while benefiting from the help, training and ongoing support of an established and proven business. A popular phrase in franchising is that you are in business for yourself but not by yourself.

It’s not easy to find a good job when you are past 50
Many corporations have lost that “family atmosphere” prevalent throughout the U.S. for a good part of the last century. Today it is commonplace for someone with ten or twenty years at a company to be suddenly let go and replaced with a younger worker.

There also seems to be a prejudice in U.S. businesses against older employees. Employers may see people in their 50s as less creative, less flexible and more expensive than younger employees. Studies conducted for AARP show this not to be the case; even with their higher salaries, older workers are generally a better value for a company than the cost of hiring and training a cheaper, inexperienced replacement. Still, looking for a job in your 50s or beyond can be both frightening and frustrating.

Too young to retire?
Even those people who can afford to retire don’t necessarily want to. After all, you can only play so much tennis, golf and bridge. The Merrill Lynch survey found that 67 percent of the boomer generation who intend to keep working past traditional retirement age are motivated to do so because of the mental stimulation and challenge work provides.

And not everyone one can afford to retire. Statistics show that boomers have a higher credit card debt than any other group and owe many, many years on their home mortgages. People are having children later in life and therefore it’s not uncommon for people in their 50s and even 60s to have children in college. For a great many people, retirement at 65 is just not an option.

A report prepared by CDC’s National Center for Health Statistics (NCHS), shows life expectancy at 77.6 years in 2003, up from 77.3 in 2002. And that’s just the average. People nearing 60 today may live another 20, 30 or more years. For many of those approaching their senior years, this time of life becomes more about, “What’s next?” rather than, “Is that all there is?”

Whether through choice or necessity, more and more Americans are giving the traditional idea of retirement the old heave ho. And a large number of those people are finding business ownership through franchising a great way to start the second half of their lives. A career as a franchisee is not about starting over but about starting new and using the wealth of skills and knowledge you’ve developed over the years. Perhaps Jack Benny had the right idea and we can all plan on staying 39 forever.

Enjoying the Second Half!

Stories from the FranChoice File

Charlie, 60, and wife Jane, Southbury, Connecticut
Charlie was a project manager for a large corporation when he was laid off after a 38-year career. Approaching age 60, Charlie had long wanted to start his own business but, with six children, he had always needed the security that a corporate job would offer. He looked at being downsized as a chance to finally fulfill his dream of business ownership.

Because he understood the difficulty involved in starting a business from the ground up, Charlie wanted the turnkey opportunity that franchising provides. After two years in business, Charlie is sure he made the right decision and is having fun running his own company. “I couldn’t sit around, I have no plans to retire and I enjoy what I’m doing. Corporate America eventually became a rat race and was always stressful. With a franchise, you can make money and enjoy what you are doing. When I do get to the point I want to retire, I can turn it over to my children or sell it for a profit. It’s a good situation to be in.”

Rebecca, 52, Sarasota , Florida
Rebecca spent her entire career as a corporate trainer. While she wasn’t ready to retire, she did want to make a change that would allow her more time flexibility so she could take care of her ailing mother.

The obvious solution for Rebecca was to buy a franchise that would allow her to work out of her home. She purchased a home-based business and is now looking forward to being her own boss.

Jim, 60, Petaluma, California
Jim is a lifelong entrepreneur. At age 60 he had just shut down his seventh start-up company. While he loved the upside potential and the excitement of start-ups, he felt he just couldn’t do it any longer because shutting down a company and letting go of employees was too difficult. Retiring wasn’t an option for Jim because he felt he had too many good years left. Also, he wanted to build equity in his own business.

The answer for Jim was to buy a franchise. With a master’s degree in electrical engineering and computer engineering, Jim is now able to use his talents in a computer education business that provides the operating model and support he will need to be successful.

Dan, 66, Stamford, Connecticut
Retired for five years, Dan kept active with golf, tennis and teaching community education classes. But what he missed was that “adrenalin rush” that working provided.

Dan was a senior executive with a mutual funds company on Wall Street for 23 years before taking retirement. While he enjoyed his freedom, he began to feel he had lost his identity without the satisfaction of achieving goals. At 66, he knew he wasn’t going to be anyone’s employee again so he decided to become a franchisee of a business coaching and training company.

“I’m thrilled to be able to again use my business skills,” said Dan, “and I expect this new phase in my career will help me stay in good condition – both physically and mentally. Working again will also help me maintain my energy level and help me to live more vibrantly.”