Inflation is a term that refers to the rise in prices of goods and services over time. When inflation occurs, the purchasing power of money decreases, and the cost of living becomes higher. Inflation can have significant implications for retirees, particularly those over the age of 60. Here are five reasons to consider starting a business during inflationary times.

Inflation eats away at savings Inflation can have a significant impact on a retiree’s savings, particularly if their money is invested in low-yield savings accounts or fixed-income assets like bonds. As inflation rises, the purchasing power of these assets decreases, leaving retirees with less money to cover their expenses. Starting a business can provide an opportunity to generate additional income that can keep pace with or even exceed inflation.

1. Opportunity to pursue a passion Many people over the age of 60 may have retired or left their careers, but they may still have a passion for a particular hobby or interest. Starting a business can provide an opportunity to turn that passion into a profitable venture. Not only does this provide financial benefits, but it can also provide a sense of purpose and fulfillment.

2. Experience and knowledge People over the age of 60 have decades of experience and knowledge in their chosen fields. This expertise can be leveraged to create a successful business venture. Additionally, retirees may have a broader network of contacts and colleagues that they can tap into for advice and support.

3. Reduced financial risk Starting a business later in life can have some advantages in terms of financial risk. Retirees may have lower living expenses, no mortgage payments, and fewer financial obligations, which means they can afford to take more risks with their business. Additionally, they may have access to retirement savings, which can be used to fund the business.

4. Flexible working arrangements Starting a business later in life provides an opportunity for retirees to create a flexible working arrangement that suits their lifestyle. They can choose to work from home or set their own hours, which can be beneficial for those who want to balance work and other interests.

Starting a business later in life can provide numerous benefits, particularly in times of inflation. With decades of experience and knowledge, reduced financial risk, and flexible working arrangements, retirees can create a profitable venture that not only provides financial security but also a sense of purpose and fulfillment.