Public service to customer service
After devoting 35 years to the Public service in a cool climate city, there was considerable appeal in the idea of relocating to a semi resort coastal area and having one own shop to keep active. One retiree decided that a news-agency could be singly operated and was offered a business in a pleasant area. The owners had run the business for two years as husband and wife team, decided that some holidays were in order and set a price that would obtain some capital gains. They had a built a reliable clientele through cordial service and adhering to their trading hours. The business was unlikely to grow to the point where it would permit the husband to leave his builder job and obtain sufficient income from the business to support the family. In other words, it was a sideline, not mainline, activity.
With a portion of his lump sum settlement upon leaving the public service, the retirees bought the business from the owners and spend two handover weeks familiarizing him with procedures. Having a modest retirement pension, he expected to have the shop provide interest, activity, some income and build towards a future sale with capital gains. As he had never been in private industry before, or run a business him self, the preparation of a business plan was not a step considered by retiree, he relied on the figures and presentations from the sales agent acting for the owners. Account had been maintained properly and the purchase price was fair, but two factors influenced the success of the venture –time and experience. In failing to create a reference Business Plan for the venture, the retiree overlooked the constant demands the business would make on his time.