More Sonoma County seniors launch their own businesses
In popular culture, the notion of the young entrepreneur changing the world is a constant theme.
The images of the young Bill Gates, Steve Jobs and Mark Zuckerberg all have been fixed into our consciousness. They had the perfect combination of moxie and gumption to bring their ideas to massive worldwide acceptance.
That story also can be applied locally with such examples ranging from Adam and Dianna Lee in their late 20s starting pinot noir specialist Siduri Wines, which later was acquired by Jackson Family Wines of Santa Rosa. In their 30s, Sean and Rebecca Lovett started Revive Kombucha at the Santa Rosa farmers market - its first stop toward becoming a nationwide staple in that fast-growing specialty drink category.
But the reality is much more gray - literally - as more local seniors are showing their entrepreneurial side in Sonoma County. This growing trend is spurred by factors such as a longer lifespan; the necessity for some to generate income later in life; and legislative changes that have made it easier to start a brand.
“There’s an upsurge in the (55 and over) population,” said Mary Cervantes, business services director of the Napa-?Sonoma Small Business Development Center. The center holds periodic workshops on how to start your own business.
Exhibit A in this category would be Leslie Goodrich of LaLa’s Jam Bar and Urban Farmstand in Petaluma.
Goodrich started her business at 69 in 2014, after years of volunteer work, which came after a long career of selling residential real estate in Marin County. She specializes in producing about 50 jams and jellies, ranging from pineapple quince to apple butter to a Sriracha-flavored pear sauce. She sources mostly local fruit treated without pesticides.
While she has other hobbies such as being a master gardener, Goodrich found her passion always has been in sales. As a youth, she was the girl who would go around the neighborhood to knock on doors to sell cookies.
“Volunteering is nice, but I love to make money,” she said. “I always liked to work hard and I always liked to sell something.”
Her business was boosted by passage of a 2012 California law that allowed entrepreneurs to set up “cottage food operations” in their homes to try their ideas without having to go the costly route by renting commercial kitchen space.
That allowed her to test out recipes on a small scale and reach out to stores that were receptive, which was key given she had no retail experience. For instance, she soon found out farmers markets weren’t as lucrative as she had thought.
“I had a lot of people who helped me along the way. I made a lot of mistakes,” she said. “It was an assembly line in my dining room.”
Eventually, she reached a point where she wanted her house back and decided to buy a small building on East Washington Street near the Sonoma-?Marin Fairgrounds. She estimated she has put about $100,000 into her business besides the mortgage on space she bought last year. The new location is where she makes and sells her products, along with homemade wares from other local entrepreneurs.
“If I am going to do this, I’m going to sell local products,” said Goodrich, who has four part-time employees. She added that homemade items were a key to her success to stand out in a crowded retail sector.
Goodrich is not alone and represents a trend given an aging population in the United States, which is another factor since people are living longer. The average lifespan for men is ?78.6 years and for women it’s 80.
“The opportunities for senior entrepreneurship are unprecedented,” said Ben Stone, executive director of the Sonoma County Economic Development Board.
The U.S. Census Bureau reported this month that all Baby Boomers will be age 65 by 2030, which will mean one out of five Americans will be at the traditional retirement age and older.
Despite many anecdotes, there is a dearth of academic research on the number of senior entrepreneurs nationwide, said David Deeds, a professor of entrepreneurship at the University of St. Thomas in St. Paul, Minnesota.
However, a paper published in April for the National Bureau of Economic Research found successful entrepreneurs are middle-aged - not younger people - and the median age for founders of the fastest-growing new ventures was 45.
While many are driven by a passion project, Deeds said others view it as an avenue to become more secure financially.
“We’re seeing people in this entire generation (of baby boomers) that are not ready for retirement financially. They are looking for a way to build wealth,” he said.
Suzanne Guenza, 54, went that route when she opened her Petaluma Toffee Co. business about two years ago. A mother of two adult sons, Guenza worked in the mortgage/real estate business and in an oral surgeon’s office. She saved up three months of vacation time to pursue her venture, which was a passion she had since childhood. The money all came from her savings.
UPDATED: Please read and follow our commenting policy: