Fade out? Bow out? Forced out? A Big Challenge Facing Older Self-Employed People

People choose self-employment for many reasons, including flexibility with regard to retirement.  As the 19th Annual Transamerica Retirement Survey noted , “unfettered by employers that can profoundly influence when and how they will retire, the self-employed have a strong vision of retiring on their own terms.  Many intend to work beyond traditional retirement age, while others have no intentions of ever retiring.”  

Intentions are one thing, but reality is another.  Some older self-employed people retire as planned, but I’ve seen so many instances where ageism chipped away at their business and altered the trajectory of their retirement.  

Clients tell me that the changes are typically subtle at first, not terribly different from other slowdowns they’ve experienced. Inquiries begin to taper off.  Satisfied customers don’t refer business with the same degree of regularity.  Over time, professional contacts become more distant, responding to emails several days later rather than the next day.  Networking starts to feel different.  One person said, “Larry, maybe this sounds weird, but I’ve noticed that when I’m at an event and ask people about themselves, many of them don’t reciprocate.”  Invitations to speak and requests to serve on panel discussions gradually diminish.  Inexplicably, it takes more effort to engage prospective clients, and rapport feels more difficult to sustain.

These are decent people who have spent years honing their skills and serving their clientele.  They can’t sell their business because they are their business.  Their future feels uncertain no matter how much they try to stay current, no matter how diligently they attend to their network, no matter how strategically they adapt.  As their income declines, they question whether it makes sense to keep trying.  A few years earlier, their age signified experience and expertise, but now they wonder whether people still see them as relevant.   

There has been a lot written about how older employees can tailor their approach to thrive in multigenerational work settings.  Older self-employed people can make similar adjustments such as refining their service offerings and marketing efforts.  That said, in my experience many self-employed older adults are already doing the right things, and yet they’re not always able to counter the pernicious effects of ageism.  They vacillate between justifiable feelings of discouragement and frustration, while ruminating about what else they can do to turn things around.  In the face of a threat to their business that they cannot control or eliminate, some take solace knowing it’s not personal; they’re not the only older adult being marginalized.  For others, crafting a phased business exit can feel proactive and constructive.  

If you’re an older self-employed businessperson, how will you respond if you get the sense that your age is working against you?   You may work by yourself, but you don’t have to go through this by yourself.  Seek out trusted peers and advisors to help you navigate these waters.  Don't shy away from acknowledging the losses you’re feeling but try to stay objective about your situation.  Identify near-term steps you can take to ensure optimal decisions long-term.  Take stock of your accomplishments and look after your self-worth; others may define you by your age, but you don’t have to compound the damage by internalizing those views.  If ultimately you decide to shift toward retirement, I can help you plan for a satisfying next chapter.  Please feel free to reach out via my website if you have questions (www.donewithwork.org).