Hello hatwoman - I think we've chatted on a freelancers thread?
I've just started this year, full-time. Very fortunately with AHRC funding. I'm 37, so am 15 years or so into my career. I too worked in an area where there was quite a bit of interaction with academia (or perhaps more of a grey area between 'professional' and 'academic' spheres) and had published quite a bit, done conferences etc.
Why now? Well, DDs are 3 and 5 and although I had kept my career doing since they were born, I was constantly frustrated that I never had chance to think about anything properly, and no time to read around my subject, keep up to date with new developments etc. So I felt like I was trading on out-of-date knowledge. I also saw it as the ultimate antidote to that horrible feeling that I had become a mum and that my brain had turned to mush and that I had had one too many conversations about potty training/learning to read/other kid related trivia. The equivalent of feeling like you need to get your body back into shape, if you like - I need to get my brain working again.
More immediately, I had been combining freelancing and a one-day-a-week job. But I was made redundant from the job a year ago and although I had enough freelance work to fill my time I missed the context of working in an organisation. I found freelancing a bit intellectually isolating and thought it would be great to have a group of like-minded colleagues to work alongside. That aspect of it hasn't really materialised yet, though, but that's probably my own fault for not going into the office more.
Career-wise, like you, I don't think an academic career is necessarily realistic or feasible - questions of geography as you say, but also the funding climate at the moment. I don't have a concrete plan, but my vague plan/hope is that I will be able to keep doing freelance consultancy (hopefully doing a bit along the way to keep my hand in), possibly topped up with some part-time academic work. I know someone who works in my field who does this, though she is grand and formidable and has a very serious reputation.
One downside, I think, is that I feel like some of my colleagues in the sector might see it as a bit of a retrograde step and I feel slightly awkward about a loss of status - but I think this is more my perception than other people's. Early days for me so ask me again in 3 years if it was the right thing to do!