For those selling a business or retiring, the transition process involves more than just finances.  Many professionals and business owners have a deep emotional connection to their careers.  When they think of leaving their full time occupation a number of emotional reactions can get stirred up:

• Loss of a familiar role
• Loss of status
• Loss of daily routine
• Loss of the many rewards associated with work such as a sense of accomplishment and purpose

The feelings triggered as people contemplate this transition can sabotage them and derail the planning process.  I see this most frequently in two arenas:

1.  In companies, late career professionals who are ambivalent about retiring may display the following: 

• The person has difficulty deciding on a definitive retirement date.  (This impacts the firm’s operations and succession planning process).
• The person steps down but won’t step away (e.g. insists on attending meetings and offering input).
• The person doesn’t fully embrace the succession plan (e.g. criticizes or undermines their successor).

2.  Business owners who are ambivalent about selling their business may react as follows: 

• They avoid doing the important work with advisors ahead of time to prepare and position their business for eventual sale.
• They are reluctant to accept realistic recommendations about the sale (e.g. price, terms).
• They back out of the sale, potentially missing a solid opportunity.
• If contractually bound to stay for an earn-out period, they may find the experience particularly dissatisfying.

Psychological preparation can mitigate ambivalence, allowing the person to move more smoothly from their current position and craft a compelling next chapter.  Preparation includes answering a number of questions, on your own or with the help of thoughtful counsel: 

1.     Have you accomplished professionally what you had hoped to?  If not, can you accept what remains unfinished?

2.    How do you imagine other people will think about you and treat you once they find out you’ve retired and/or sold your business?  How will you respond when someone asks you “what do you do for a living”?

3.     How will you structure your time?  Will you need to have a new routine in place immediately or will you be comfortable allowing one to emerge gradually?

4.    What are your assumptions and beliefs about retirement?  What do you anticipate will happen once you decide to stop working?  Are you clinging to assumptions that may not be warranted?

5.    How will your roles change (in your family, company, community) once you leave work?  How will it feel to relinquish some of these roles, and what new ones might you take on? 

6.    How will you tolerate not being involved in business decisions, not being in the loop, etc.?

7.     If you have a spouse or partner, to what extent are your retirement expectations and interests aligned?   How will you manage or resolve any incompatibilities?

These questions might seem simple at first, but each one is intended to help you sort through some of the head and heart issues that commonly arise during this transition. 

About Dr. Gard

Larry Gard is a psychologist and founder of Hamilton-Chase Consulting.  He provides pre-retirement coaching to late career professionals and business owners who are contemplating their next step.  He can be reached at info@hamiltonchaseconsulting.com