Small Biz Watch: Baby boom business owners
The first of the baby boom generation is hitting 60 this year, but many probably aren't thinking much about retirement. Oh, they may indeed be pondering leaving their current jobs. That doesn't mean, though, that they're ready to hit the couch–it's just time to start a new chapter in their working life.
A 2005 study by Merrill Lynch found that 76 percent intend to keep working and earning in "retirement." And unlike many younger entrepreneurs who have to tap credit cards or friends and family for funds, the "graying entrepreneurs" often have lots of ready cash, having been given severance packages or buyouts from their old gigs. "Such packages can be repositioned toward new business costs or give them much larger borrowing power at the bank, where they are more likely to be seen as good credit risks with collateral to back up a small business," explains small-business consultant Anita Campbell [www.smallbiztrends.com].