QS Network News – Continuum shares advice for small business owners planning their retirement

continuum-finance-servicesFor small business owners retirement may feel like you’re leaving behind or closing down a project that you spent years building up. You might even see early retirement as defeat, especially if you have built your business from scratch. Whilst some business owners can’t afford to retire or some don’t want to, eventually the business will need to be handed on, leading to many financial questions. Who will own and run it when you go? And will it pay you an income or a lump sum on your departure?
Finance experts at Continuum have prepared the following advice for small business owners nearing retirement age:
“As a business owner, you know the importance of financial planning to ensure the business runs smoothly. It’s still just as important when you are planning to give up running it.

Financial planning is essential

A detailed business exit strategy should be one of your first considerations when planning for retirement. The small business you spend your life building up is possibly your largest asset. If you want it to fund your retirement – and if you want to actually stop working – you’ll either have to liquidate your investment, or find someone who can run it, while you retain ownership. This last is tempting, as it could provide an income as well as letting you retain ownership, but you need to ask yourself if you will be happy watching the manager you bring in make the decisions. You may want to stay involved, which can soon lead to you discovering you have not retired at all.
To prepare to sell your small business one day, it needs to be able to operate without you. It’s never too early to start thinking about how to accomplish that goal and about how to find the best buyer for your small business. Who besides you could run it? Who besides you might want to own it and might be willing to pay good money to do so? Are you interested in selling to a partner, a competitor, a relative, an employee? Do you want to retain a partial stake in your business or be done with it entirely?

Size matters

A lot depends on the nature and size of your business. If the business is heavily dependent on your skills, and you personally, it is likely to be hard to sell, for the simple reason without you there is actually very little to buy.
On the other hand, if your business is large, with premises, a team of good staff and an excellent reputation, selling could simply be a matter of choosing the best offer.

What about a pension?

If you can sell your business for a large enough sum, there is no reason why you can’t live on the proceeds in luxury. However, for most small business owners, a personal pension is vital. It will be provide a retirement income, whether or not you sell the business. Plus, it has substantial tax advantages while you are paying in to it. It will help you keep more of the money you make away from the taxman – although there are now severe limits (now £1 million) on how much you can put into your personal pension pot.
Of course, unlike your employees (who will have the luxury of an auto-enrolment pension that you are required to arrange and contribute towards) it is your responsibility to set up your pension plan.

Getting help

If you run your own business, you have an independent nature, and expect to take charge of your future. However, you will understand the importance of proper professional advice in those areas removed from your own expertise.
You will probably benefit from help in a number of areas. Help with planning how you will pass on your business will take commercial expertise. There will be numerous tax implications which you will need to consider, where a tax expert will be able to help – and of course, if you want a pension that can provide for your retirement, talking to a pensions expert is a must.”
Fortunately you can find all of the advice, support and guidance you need with your financial planning by contacting the experts at Continuum.

This story is brought to you on behalf of the QS Network.

QS Network News – Rowcroft Hospice encourages Big Bake coffee morning fundraiser

big_bake_2016A coffee morning is a fantastic way to catch up with your friends, family or colleagues and have fun raising money for a great cause.
Support Rowcroft Hospice by holding your very own Big Bake 2016 this June and benefit from all the support they can give about attracting attention and buzz to your event. Simply invite your guests over for a cup of tea, a slice of cake and some chatter, it’s that easy! Rowcroft can provide you with bunting, invites, cake flags, posters and more that you can download here for free to promote your event.
Rowcroft Hospice helps make every day the best day for patients with life-limiting illnesses in South Devon. They also help families cope during difficult times, offering support and guidance, so funding is critical for their continued success.
Find out more and get some help with your event by visiting Rowcroft Hospice or calling them on 01803 210835

This story is brought to you on behalf of the QS Network.