Retirement planning for self-employed

From: Dennis Volter

Head of Mergers & Acquisitions | Prokurist

As a self-employed person, you can no longer assume in the future that you will be able to maintain your current prosperity in retirement. It is therefore not only important to maintain the business, but also to have a strategy for the future. Successful retirement planning is therefore essential to ensure financial stability in old age.


    What is meant by retirement planning?

    Retirement planning is planning for the later stage of life when income from work stops. For the self-employed, this means planning their finances, taxes, and assets within a sensible framework to ensure that they are financially secure in retirement.

    Challenges for the self-employed

    One of the biggest challenges for the self-employed is the fact that they don’t necessarily pay into a pension program or annuity, so they are responsible for their own retirement planning. This requires a lot of time, energy, and commitment to ensure they have enough money saved for a secure future.

    Likewise, it is often necessary to part with one’s company – one’s life’s work – before retirement. This is often associated with the search for a suitable successor, which proves to be increasingly difficult, especially if there were no offspring who would like to or can take over the company.

    Advantages of early retirement planning

    Early retirement planning can help many self-employed people achieve financial freedom before they retire. Planning and implementing an appropriate strategy can optimize assets and save taxes. Self-employed people, on the other hand, who do not prepare for retirement run the risk of not having sufficient income in old age.

    M&A advisory: Possible options for retirement planning for entrepreneurs

    One way for the self-employed to optimize their retirement planning is to sell their business. In this endeavor, an M&A consultancy can help identify potential buyers and agree the best possible terms of sale. Possible options in this context would be to hand over the business to strategic buyers, financial investors or the management team. The merger of the company with another company is also conceivable in order to expand the business in this way and thus increase the value.

    Tips for successful retirement planning for the self-employed

    • Define goals and priorities
    • Set a realistic enterprise value
    • Estimate future income and expenses

    To retire successfully from self-employment, a clear strategy and planning are required. This should include defining goals and priorities as well as having a realistic idea of the value of the business. A comprehensive analysis of one’s own financial situation as well as an estimate of future income and expenses are also important factors in planning retirement.

    Working with experienced M&A advisors can be of great benefit. They can not only assist in the planning and implementation of an M&A transaction, but also help in the negotiation of sales terms and prices as well as in the evaluation of offers.


    Overall, successful retirement planning for the self-employed is a complex task that requires thorough planning and implementation. However, early preparation, collaboration with an experienced M&A consultancy and a smart negotiation strategy can minimize potential risks and enable a successful transition into retirement.

    Do you need any support in planning for your retirement?

    Are you in the process of planning your retirement? Are you looking for a suitable successor in this context? Rely on an experienced partner like Conpair. We can assist you in numerous fields – from initial consulting to accompanying discussions with potential successors. Feel free to contact us, we look forward to hearing from you.

    Any questions?

    Call us or arrange a non-binding consultation


    Dennis Volter

    Head of Mergers & Acquisitions | Prokurist

    Dennis Volter verfügt über langjährige Erfahrung im Bereich Corporate Finance sowie in der Betreuung mittelständischer Mandant:innen. Nach seinem abgeschlossenen kaufmännischen Studium hat Herr Volter während seiner über 16-jährigen Tätigkeit bei der Conpair AG eine Vielzahl von Kapitalmarkttransaktionen, M&A-Projekten sowie Finanzierungsmandaten begleitet. Neben der ganzheitlichen Projektsteuerung liegt sein Fokus insbesondere auf Fragestellungen der Unternehmensanalyse, -planung und -bewertung sowie quantitativen Modellierungen. Der Branchenschwerpunkt seiner Tätigkeit bei der Conpair AG liegt auf dem Healthcare-Sektor. Dennis Volter trägt seit dem Jahre 2012 den mit einer dreijährigen englischsprachigen Ausbildung zum Finanzanalysten verbundenen Titel „Chartered Financial Analyst“. Im Jahre 2017 erhielt er die Prokura der Conpair AG.