44, Business Owner, Hoping to Sell in 2009

[v5200]

Hi All-

What a great forum! I've given so much thought to my "next phase", it was a delight to find a group of like-minded folks. Here's the quick low-down:

·I've just turned 44, and I’m the owner of a small but very profitable internet marketing company. It's grown way beyond my original expectations, and I'm working with an investment bank to try and sell the business in 2009.
·In addition to the business, I currently have about $1.9 million in retirement accounts and mutual funds, and I'm adding to that amount by about $50k per month.
·I own a house worth roughly $375k (and falling!) with a 190k mortgage
·I'm divorced, and I have a 16 year old son who will be graduating in 2011 (he lives with his mom most of the time, but we're all in the same town).
·I expect that when/if I sell the business, I'll need to stay involved to transition to the new owners for at least a year... plus I want to stay local until my son enters college.
·My target “walk away” date from the business is 2010 (I’ll be 45), but I’ll be staying local (mostly until 2011, I’ll be 46)
·In 2011, my son will hopefully go to college, and I’ll fully kick in “the next phase”

So financially, I expect I should be OK with a sale of the business, but what I’m really wrestling with is what to do, how to spend my time, where to live, etc, etc, etc. I’m not really wed to the area I’m living now, and I’m completely intrigued with the concept of “perpetual travel”, and hope to learn more about this concept. I’m also wondering about how folks in similar situations have decided where to live, and how to balance all of their new-found time. Does anyone recommend buying multiple residences? Or are you better off renting for extended periods?

I’m also really interested to hear stories about people who decide to live abroad either permanently, or for extended stays. I wonder how expensive this is, and how people manage the realities of life and this sort of “exotic” lifestyle. Have any of you thought about this sort of wandering existence? Have any of you tried it? Is multiple residences in various parts of the country/world more realistic and manageable?

Oh, soooo many questions! For now, I’m just happy to find people thinking about similar things I am!

 

[crazy connie]

Welcome v5200! Sounds like you have the financials covered and now the fun begins. Lots of reading and thinking about the future will be on your agenda in the coming months. The best thing about having the finances nailed is that you can shift gears from one thing to another while figuring out how you want to play out the rest of your hopefully many years!

Rest assured others will be chiming in shortly to welcome you and direct some readings.

CONGRATS!

 

[v5200]

For the record, as I learn more about the true meaning of "Perpetual Travel" I suppose that's not really what I was thinking about (the true definition seems to involve giving up your US citizenship, tax avoidance strategies, etc)... I was really referring to extended stays in other locations, US or abroad, immersing yourself in a local culture, etc. etc.

 

[brewer12345]

I think that the arrangements you need to make depend on what your plans are. If you wish to sell the house, have no permanent abode, and just travel all the time, you'll need to figure out what state you will have tax residency in, how to deal with health insurance, what passport/visa issues you will confront, etc. If you choose to keep the house and periodically return, you will have to figure out how you will keep the house up in your absence, etc.

So a lot depends on what you think you;d like to do.

 

[socca]

Some key questions you'll want to ponder:
1. How creative are you? Is a life of continual consumption (i.e. not trying to create anything of any value to you or anyone else) attractive?
2. How important is it for you to feel challenged (intellectually, physically, etc.)?

How you answer these questions (among others) will shape how you decide to live your life in the next phase. For me, being productive and challenged are very important. Others work very hard to avoid being either productive or challenged. To each their own.

 

[Nords]

Welcome to the board, v5200.

... but what I’m really wrestling with is what to do, how to spend my time, where to live, etc, etc, etc. I’m not really wed to the area I’m living now, and I’m completely intrigued with the concept of “perpetual travel”, and hope to learn more about this concept. I’m also wondering about how folks in similar situations have decided where to live, and how to balance all of their new-found time.

Have you read about the Kaderli's lifestyle? Or the Terhorsts?
http://www.early-retirement.org/links/showlink.php?l=18&catid=4
Paul Terhorst Home Page

Another good book is Ernie Zelinski's "How to Retire Happy, Wild, & Free".

It's probably "safe" for you to give yourself a year or two to taper off and work things out. It's highly unlikely that your skills will vanish or your contact network will vaporize. And by the end of the sixth month you'll have enough info to decide what you want to do all day.

I think that what you're describing is one of a Young Dreamer's top three worrries. But after ER everyone wonders what the heck they were worrying about.

 

[Alan]

For the record, as I learn more about the true meaning of "Perpetual Travel" I suppose that's not really what I was thinking about (the true definition seems to involve giving up your US citizenship, tax avoidance strategies, etc)... I was really referring to extended stays in other locations, US or abroad, immersing yourself in a local culture, etc. etc.

Welcome to the board. You have similar goals to DW and I. Nords posted some good references for you to read up on. DW and I don't plan on giving up giving up US citizenship, we aim to maintain a small base residence and spend several months in different locations in the USA and elsewhere in the world.

 

[v5200]

Thanks for the replies, a lot to think about! Socca, you raise some good questions, I like to challenge myself physically (I'm an avid cyclist, and love to hike), and I'm sure I'd look for some sort of "project" or even periodioc consulting or somthing similar. Nords, thanks for the "further reading" list.