People Over the Age of 50 Are Making an Impact On Small Business

The future belongs to the youth, but the fact is that much of the world is run by people over the age of 50. While some may feel they should step aside for the next generation to take over, many of them have built up their skills over their lifetime, and there is a reason they are so successful and don’t seem to be going anywhere.

If you take a look at the statistics, the aged 50+ generations are still hard at work, have amassed plenty of wealth, and don’t seem to want to retire anytime soon.

Half Of America’s Small Business Owners Are Over 50

A recent survey gave a lot of insight into just how predominant people over 50 are in the world of small businesses. Half of America’s small business owners are over 50, with one-third of all small business owners coming between the ages of 50 and 59. Another 17% are between 60 through 69, and 4% of them are over the age of 70. Of the over 50 group, three quarters of the small business owners are male, compared to one quarter being female. 

These older small business owners tend to be regionally clustered as well. Places where you are likely to find them are California, Texas, New York, North Carolina, and Florida. That’s not to say there isn’t plenty of youthful entrepreneurial energy in those places, but older business owners have found great success there.

Many Older Small Business Owners Are Driven By Passion

It may be cliche to think that older people are practical about their careers while younger people are more idealistic. However, this survey revealed that around half of the 50+ small business owners chose their paths because they wished to pursue their passions. When asked why they chose to go to bat with a small business, 36% cited the opportunity they had to do so, and 22% said that they were driven by “dissatisfaction with corporate America.” 15% of people said they got into it because their jobs were outsourced or they got laid off for another reason.

As for what kinds of businesses people start, the older crowd’s top pick is business services, where their experience surely comes in handy. The second most common small business for them is in the food and restaurant industry. After that, there are retail, health and fitness, and motor vehicles. 

Money Makes The World Go Round

Of course, even if the passion is there, money is the primary motivator for nearly everyone who works, and nobody would want to start a business that didn’t bring in the dough. Thankfully, two-thirds of the 50+ business owners stated that their startups are profitable. There is likely a lot of crossover with those people who are making money from their businesses and those who report that they are happy, and over 75% of them gave themselves an eight out of ten in terms of happiness.

This means many people who weren’t making money were still happy, and this is likely because they have a growth mindset and can see profits coming in the future. Many of these companies still have plenty of room to grow bigger. 44% of the “baby boomer” business owners reported having just two to five employees, and 32% said that they were the only people working at their company. Meanwhile, only 12% had six to ten employees. These are truly small businesses, indeed.