Road to Riches – My business is my pension!

IF you are one of those people who have managed to sell your business to enable it to provide you with a pension in retirement, then well done you. 

But not everyone fares so well, and with many businesses ‘going south’ due to the current economic climate, it can be a worrying time.

If you did see the sale of your business through to a happy conclusion however, what, I wonder, were the main factors that helped you to succeed?

For some I guess that luck would have played a big part and for others it would have been down to their business acumen and knowing when the time was right to ‘cash the chips in’.

It could simply have been a chance encounter or being in the right place at the right time.

Of course, looking back it is all very easy to see what worked and what didn’t, as you now have the benefit of hindsight.

But the difference between success and failure in business can be a very fine line indeed.

The same is true when it comes to managing your nest egg.

What has already happened is easy to judge but what is going to happen next is the tricky question.

Reverting to your business days, your own expertise would have played a major part in creating the value, but I am sure you also relied on professional input in areas that were not your specialty.

The same is probably true today when considering your investments and perhaps your more traditional pension funds.

Are you for example simply relying on luck and when do you know the time is right to cash some things in?

So many people take a back seat role when it comes to looking after their finances in retirement – don’t be one of them.

Things change, markets move, good ideas yesterday may not be so good today and your needs will undoubtedly change as well.

I know that planning finances can be pretty boring stuff, so why not make it a bit more interesting by combining it with a visit to the Homes, Gardens and Outdoor Living Show in Estepona on November 9/10.

You will find us on Stand 6 and you might just pick up a few good ideas for your home while we have a look at your finances.

Richard Alexander Financial Planning Limited is an appointed representative of L J Financial Planning Limited, which is authorised and regulated  by the Financial Services Authority in the UK. Contact him at Richard@ra-fp.com