Could a Tiny Online Business Fund Your Semi-Retirement?
You have a comfy nest egg waiting for you the minute you hit retirement age. And despite being in the prime of your life, you want to ease off on the 5-9 before the golden years.
That’s why many people consider semi-retirement. But the elephant in the room keeps reminding you that bills must be paid. And what about your longstanding Friday morning salon appointment?
Semi-retirement need not be about going into the office several times a month or checking in with HR to let them know, “Yes, I’m still here.” It can be whatever you want it to be, as long as you have a stable income.
How about an online business? No, we’re talking about Amazon proportions. More tiny online, and enough to sustain those years before you hit retirement.
The Proof is in the Pudding
Former nurse Kari Johnston, 63, went Marie Kondo and monetized her knack for calm, compassionate organizing.
Her micro-business, The Organized Bird, is a decluttering and organizing service. Johnston admits to The Guardian that she was ready to retire after 45 years in nursing. So she did her research, created a website, and started advertising her services.
Several years later, the success of her little venture has paid off. Now, she’s fully retired and loving life.
“I can fit my working sessions around my life, walking our dog, caring for our granddaughter, going on holiday, and visiting family.” – Kari Johnston, via The Guardian.
Your Shop Window
The joy of starting your own online business is that a physical site isn’t part of the equation. Everything is done online, from your storefront to your payment platform.
However, your website is the stick dangling the carrot. Get your customer to bite and prompt them to follow through on a sale.
Start with the basics:
- Define your niche
- Secure a domain name
- Optimize for SEO
- UX-friendly design
Most websites integrate a payment processing platform that grows with their business. In case your business blows up and you go global, you’d want a platform that simplifies the purchasing journey. PayPro Global suggests a tool that handles global payments and tax compliance.
Keep Costs Low
You’re excited to start a little side project, and sometimes that excitement can result in rash decisions. Don’t fall into the trap of investing most of your savings into the business.
Entrepreneur.com suggests using your business as an income-producing asset to fund your daily operations and financial goals. That way of thinking reduces the temptation to throw in money when business is thriving.
While all of this is happening, you should still be paying yourself a reasonable salary and contributing to your retirement fund.
Finding Profit in Joy
Kari Johnston turned her organizing abilities into a side hustle that financially sustains her.
Other semi-retirees are doing the same. Investopedia reports that older adults are finding savvy ways to make money from the hobbies they love.
One Florida resident started a blog and sells used puzzles on Facebook Marketplace to make money from her hobby. Another artist from Vermont creates acrylic paintings and collages. She sells her art in coffeehouses, community centers, and art galleries.
FAQs
1. Can a small online business support semi-retirement?
Yes. A small online business can provide supplemental income while giving you more control over your schedule.
2. What type of online business is suitable for semi-retirement?
The best option depends on your skills, interests, and available time. Organizing services, blogging, selling artwork, digital products, consulting, and other small online ventures can turn existing skills or hobbies into additional income.
3. How much should I invest in a small online business?
Start with what you can reasonably afford rather than putting your savings at risk.
4. Why should I keep my online business small?
A smaller business can be easier to manage alongside semi-retirement. You don’t necessarily need employees, a physical storefront, or a huge customer base.
Small Business and Semi-Retirement Stats
| Stat | Figure | Source |
| U.S. businesses classified as small businesses | 33.3 million | U.S. Small Business Administration |
| Kari Johnston’s age when profiled by The Guardian | 63 | The Guardian |
| Share of all U.S. businesses that are small | 99.9% | U.S. Small Business Administration |
| Kari Johnston’s business model | Decluttering and organizing services | The Guardian |
The Argument for Going Small
Besides the time, effort, and logistics of running a company, starting small is the sweet spot. According to Forbes, small businesses are the foundation of the U.S. economy. Data from the U.S. Small Business Administration shows that 33.3 million businesses qualify as small businesses. That’s an astounding 99.9% of all U.S. businesses.
You don’t have to go all in. And you don’t have to put in your life savings. A tiny online business (the operative word being ‘tiny’) should be sufficient to supplement your income, while you take baby steps away from the corporate grind.
