We have all heard of the many challenges our state will face due to its aging population. Baby Boomers, those born between 1946 and 1964, represent a significant part of today’s workforce. Many of them have or are planning to retire by 2029. Baby Boomers also own a large portion of businesses in our state, many of those small and privately owned. Small businesses, those businesses with 500 or less employees, represent 87 percent of all businesses in Connecticut. With these owners now reaching retirement age, and considering selling or transferring ownership, we can expect a significant transfer of wealth and control. However, the question remains, what effect will this have on our state and its workforce?
Through this series, we hope to uncover the direct and indirect effects of these transfers with the intent of beginning a conversation on how our state and its business owners can best plan for the challenges and opportunities this historical transition will ignite.
This first study quantifies Baby Boomer business ownership in our state and begins to outline the effect retirement will have on business transfers and ownership. It also shares what owners need to consider to best position their businesses for sale in what we expect to be a very competitive market.