Starting a venture post retirement? Here are 4 tips to manage your finances

Table of Content

1. Plan in advance

2. Engage a financial advisor

3. Be frugal

4. Ensure your responsibilities are fulfilled

For some people, retirement is a new opportunity to pursue unfulfilled dreams - especially those who wish to start up. There are multiple instances of individuals starting off after retirement. Starting off during one’s retirement phase enables one to leverage one’s experience and network. Hence the learning curve can be shorter. There are certain individuals who are retiring early to start their own venture. Others are starting it to have a purpose and create a mark.

If you are planning to start a venture post retirement, here are 4 tips to manage your finances:

Plan in advance

If retirement is a few years away and you are keen to start up, then plan in advance. Consider a retirement plan like HDFC Life Systematic Retirement Plan that offers guaranteed income. If you are able to enjoy stable income during retirement, you won’t have to worry about financial ups and downs in business.

Engage a financial advisor

Quite often, new entrepreneurs find it difficult to separate their business and personal finances. It is important to do this so that your personal finances aren’t impacted by your business decisions. By engaging a financial advisor, you can manage your personal and business finances effectively. This will help you to focus completely on your business.

Be frugal

While working full time, you would have had a big office and even a company car. However, you may not need all these for your venture. You may want to explore a shared office space instead of renting an office. Apart from this, you would have to be careful with spending for your businesses expenses and keep a sharp eye on cash flow.

Ensure your responsibilities are fulfilled

While starting off during retirement can be exciting, you may still have multiple responsibilities to fulfill such as paying for the education of your children or handling household related expenses etc. You may also have to clear debts. Therefore, it is imperative to fulfill all these responsibilities before starting up.

Apart from these factors, you may also want to take your family into confidence before starting up.

ARN : ED/10/22/29840