Ina Wall Street Journal article titled “The Missing Boom in SmallBusiness Sales” published on 14thOctober this year, Ruth Simon explores the position of baby boomersin the US economy. She notes that the much anticipated massive saleof the small business ventures owned by baby boomers is yet toactualize. Baby boomers refer to American citizens born between 1946and 1964. In the article, Ruth holds the opinion that most babyboomers are holding onto their businesses longer than expected.
Asmost baby boomers clock 55 years and above, economic forecasters hadpredicted that they would sell out their businesses to youngerAmericans as they head into retirement. However, this does not appearto the case. Even at 60 and above, most baby boomers are still notwilling to let go of their business ventures. Going by figuresreleased by the United States Census Bureau in 2013, 38% of businessowners in the US were aged 55 and over. This number, compared to the29% in 2005, shows that the number of baby boomers who own businessesis going up, not down as expected.
Severalreasons have been advanced to explain this trend. For instance, somesmall family owned ventures are yet to recover from the effects ofthe 2010 recession. Younger family members in other cases are notwilling to take up the management of businesses from the boomers. Onthe flip side, most baby boomers are also not ready to hand overtheir businesses to younger family members or other entrepreneurs.They insist that they are not yet dead. As a result, they should notbe sidelined on the basis of their age as far as business ownershipis involved. Lastly, most boomers are skeptical about handing overtheir lifetime investments. They insist on being actively involved inmanaging the businesses as they train the new owners and staff to dothings in they way they feel right.
“TheMissing Boom in Small-Business Sales” by Ruth Simon retrieved fromhttp://www.wsj.com/articles/the-missing-boom-in-small-business-sales-1444865868