Millennials grew up in a world where information has always been easily accessible on the internet. That doesn’t mean life was always easy, however. The 2008 recession led to an economic meltdown, and a significant number of people lost their traditional jobs. Maybe that’s why millennials are more inclined to explore entrepreneurial endeavors. The question remains whether the younger generation is equally passionate about entrepreneurship than their predecessors. Entrepreneurship might not mean exactly the same thing for the millennial generation.
Thirst for Success
Recent surveys on millennials’ intuition of entrepreneurship have found that they are adopting an entrepreneurial lifestyle. A recent study found that 66% of millennials had objectives to start their own enterprises. The idea can be traced to millennials believe that running a personal business is the path to flexible work-life balance and financial independence.
Additionally, 61% of young people expressed their belief that owning a business could provide more job security. This is compared to 64% of the preceding generation believing that working for another person offered more significant job security. Young members of society are increasingly expressing their desire to venture into entrepreneurship. A survey conducted by Oxford University found that 15% of new students reported having an interest in entrepreneurship in 2016. Since then, that figure has increased to 19%.
Even if a considerable number of young people want to become entrepreneurs, statistics show that they are less likely to succeed than the previous generations. Statistics from the US Small Business Administration show that there are decreased levels of successful entrepreneurship within the younger generation. The number of self-employed Americans under 30 is dropping drastically.
So, what is preventing millennials with aspirations for entrepreneurship from pursuing them? The leading factor is inadequate financial resources. In a survey, 42% of young people stated that lack of money is the greatest hindrance to starting their own gigs. The 2008 recession effects might still be affecting millennials. According to data from the US Census Bureau, the rate of startup creation is yet to bounce back to pre-crisis levels.
The other obstacle is lack of experience. Statistics show that successful founders are 45 years of age and over. Entrepreneurs in their twenties are less likely to build robust enterprises. Millennials, unlike the preceding generations, admit that lack of enough startup knowledge is one of the main obstacles stopping them from starting their businesses.