WHEN you celebrate your 50th birthday, your
friends lie to you and tell you that 50 is the new 40. It makes you feel young
again. It's a good lie filled with good intentions. That' what friends are for
anyway. Mutual denial of good times gone by and hoping to create more “feel
good” days ahead.
At 50,
you start evaluating your next 10 years of your life. As your kids will be
going to University in a few years, you peek at your EPF and other savings and
start wondering whether is it sufficient to pay for their overseas education
and still have enough for a comfortable retirement.
If you
are lucky, you have an asset or two that can be liquidated if ever there is a
need. For most people, somehow the finances look precariously stretched and
they realise that they might have to work beyond 55.
Most
companies tend to extend employment for a year upon retirement age and then you
are on your own. Should you go into business then?
Many
retired and retiring readers write to me saying that they want to go into
business and want me to recommend a business to them.
Darn!
If I were a conman, I will have tonnes of get rich schemes to recommend to
them. Unfortunately, I am 52, unemployed and a bloody straight Chinaman to
boot.
Being
allergic to politics and politicians since young, I am honestly at a loss when
it comes to advising the readers on how to make easy money. I know you must be
disappointed. Please accept my apologies.
Most
people continue working past the retirement age of 55 because they need to or
want to. For those who have been in employment all your life, your personal
balance sheet of assets and liabilities determines your level of needs. And,
not to mention the requirements of your immediate family. Can you take it easy
or do you still need to slog it out for a few more years?
For
those already in business, there is really no retirement age. You need to
continue working until your children take over, you sell out or you conk out.
You can take it easier if you have a capable team running the business for you
but there is no escape from the responsibilities and the commitment for the
entrepreneur. It is easy to start a business but damn hard to get out of it. Be
prepared to run the distance.
For
those who want to continue working, money is never the motivation. Look at Tan
Sri Teh Hong Piow of Public Bank Bhd. A billionaire into his 80's, he is still
actively running the bank and enjoys the adulation and admiration of his
shareholders clearly seen at the bank's Annual General Meeting. And deservingly
so.
Then
there are the high flyers who wants to maintain their social status quo, afraid
of being left out by the “in” crowd if they stopped working. Not being seen or
associated with the high and mighty would send them into a great depression.
The
driven entrepreneurs will continue working and continue to build and build.
That's because they have no idea as to what to do with their life outside their
business. It totally consumes their whole life because success is addictive.
Politicians
who are involved in business directly or indirectly must continue working to
remain in power. Power ensures membership into the “untouchables club”.
Termination of membership in this exclusive club removes the invisible cloak of
protection from litigations and all kinds of charges. That's why retired
politicians strive very hard to remain influential as the power brokers behind
the scene. Until they feel it is safe to let go.
So
should an employee become an entrepreneur when he retires from his job?
That's
really a million dollar question. His million anyway. His life savings, EPF and
properties. My answer is totally idiot proof, a no brainer, pleases his wife no
end and ensures his children's education. My answer is Yes and No.
Yes, if
he has spare cash to invest after putting aside the necessary funds for his
retirement and children's educational needs. Yes, if his financial investment
is minimal and his new venture utilises more of his experience, contacts and
knowledge. Yes, if he still has the drive and motivation.
No, if
he has to risk all his family savings in a winner takes all scheme. No, if he
is undertaking a totally new business which warrants a steep learning curve. At
55, his brain picks up new tricks like old dogs do very slowly.
No, if
this new business requires his 24/7 attention and care. At his age, he needs
time off to colour his white hair, visit his chiropractor and fit some new
dentures. No, if his venture has no exit visibility till death does he part.
If you
have no family business to inherit, then you should gain sufficient working
experience and establish appropriate contacts in your industry before you
venture out on your own.
The
best age to venture into business will be late 30's and early 40's. Just old
enough with sufficient industry knowledge and experience but young enough with
the required stamina and motivation to run nonstop for the next 10 to 15 years.
However,
if you intend to work till retirement and then try your luck as an
entrepreneur, may I suggest you start planning now? Build your contacts and
start evaluating business opportunities in the course of your work. Who knows,
you might just find an ideal business that you can actually excel in.
Just
remember there are no easy money projects. There are no shortcuts to success.
TAN
THIAM HOCK
The
Star
Business & Investment Opportunities
YourVietnamExpert is a division of Saigon Business Corporation Pte Ltd, Incorporated in Singapore since 1994. As Your Business Companion, we propose a range of services in Strategy, Investment and Management, focusing Healthcare and Life Science with expertise in ASEAN. We also propose Higher Education, as a bridge between educational structures and industries, by supporting international programmes. Many thanks for visiting www.yourvietnamexpert.com and/or contacting us at contact@yourvietnamexpert.com
No comments:
Post a Comment