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IncelebrationofSmallBusinessMonth,AmericanExpressCanadapartneredwithStartupCanada,the
rallyingnetworkandthoughtleaderunitingCanada’sentrepreneur,smallbusinessandinnovation
community,toundertakeastudyonthemotivations,mindsetsandexperiencesofmillennial
entrepreneurs.Inparticular,thisstudyoffersinsightsonmillennialentrepreneursincomparisonto
previousgenerations.
October18,2016
StartupCanada
1 MOTIVATIONS, MINDSETS AND EXPERIENCES OF MILLENNIAL ENTREPRENEURS
TableofContents
Introduction
Mindsets&Motivation
Finance
TechnologyandMarketing
FinalReflectionsonMillennialSmallBusinessOwners
RespondentProfile
Methodology
KeyFindings
2 MOTIVATIONS, MINDSETS AND EXPERIENCES OF MILLENNIAL ENTREPRENEURS
Introduction Millennialsareindividualsbornbetween1981and2000.Theyhavegrownupinatimeofrapidchange
andunprecedentedconnectivitythroughandtotechnology,givingthemasetofprioritiesand
expectationsdifferentfrompreviousgenerations.
Thesedigitalnativesareencumberedwithdebtandhavelessmoneytospend;arereluctanttoenter
thehousingmarketandincreasinglychoosetoliveathomewiththeirparents;areputtingoffmarriage
andchildren;aremoreconcernedwithaccess,notownership-givingrisetothe‘sharingeconomy’;and,
aremakingwellnessadailypursuitbyexercisingmore,eatingbetter,smokinglessandusingappsto
tracktheirprogress(GoldmanSachs).Thesearejustsomeofthetrendsshapingthemillennialeconomy.
Thereare2.3millionentrepreneursinCanadaand1.1millionsmallbusinessesthataccountfor78per
centofprivatesectorjobcreation,30percentofexports,and27percentofGDP(ISED,2012).Ofthose,
4.6percentareconsideredhigh-growthbusinesses,whichdisproportionatelyaccountfornetjob
creationinCanada(ISED,2012).
WhilewealreadyknowthatsmallbusinessisbigbusinessinCanada,it’sabouttobecomemuchbigger.
MillennialsembraceentrepreneurshipattwicetherateoftheCanadianaverage,suggestingthatstart-
uprateswillcontinuetogrow(AngusReid,2013).Giventhattherearemorethan7millionCanadian
millennials,ifevenamodestpercentageofthosebusinessestakeflight,millennialentrepreneursare
goingtohaveanimmenseimpact.
Touncoverthemotivations,mindsetsandexperiencesofmillennialsmallbusinessowners(SBOs)
comparedwithpreviousgenerations,AmericanExpressCanadapartneredwithStartupCanada,the
rallyingnetworkandthoughtleaderunitingCanada’sentrepreneur,smallbusinessandinnovation
community,toundertakeastudyonmillennialentrepreneurshipinCanada.Inparticular,thisstudy
offersinsightsonmillennialentrepreneursincomparisontopreviousgenerations.
Mindsets&Motivation Eighty-eightpercentofSBOsagreepassiontrumpspersonalfinancialgain,andarewillingtotakerisks
togettheirpassionprojectsofftheground.Despitenearlyhalf(46percent)havingyettoturnaprofit,
thevastmajority(85percent)arewillingtotakefinancialriskstogrowtheirbusiness.
3 MOTIVATIONS, MINDSETS AND EXPERIENCES OF MILLENNIAL ENTREPRENEURS
OnMotivation
“Myco-founderandIwerebothmotivatedtostartthisbusinessbecausewearepassionateabout
educationandtheoutdoors,”saidErinNicolardi.NicolardiistheCo-FounderofRidgetoRiver,which
offersnature-basedoutdoorprogramstofamiliesandyouthacrosstheYukon.“Therewasalackof
exploratoryprogrammingavailableandwewantedtotakeourpassionandfillthatgap.”Erinandher
co-founderbothhavesupplementaryjobstofinancethebusiness.“Wearelookingtomovepast
(supplementaryemployment)todoourbusinessfull-time.”
LikeNicolardi,24percentofrespondentsstartedtheirbusinesstoturntheirpassionintoacareer.
Twentypercentwantedtocreatesomethingoftheirown;20percentweremotivatedbytheirsolution
toamarketneed;16percentwantedgreaterfreedomandflexibility;and,lessthan7percentof
respondentsweremotivatedbyfinancialindependenceinstartingtheircompany.Whilenearlyonein
three(30percent)millennialSBOssurveyedsaidtheystartedtheirbusinesstoturntheirpassionintoa
career,relativelyfew(17percent)startedtheirbusinesstogainfinancialindependence.
HeatherAbbey,aSaskatoon-basedmillennialSBOandtheFounderandPresidentofShopIndig.ca,was
motivatedtostarthercompanybyhersolutiontoamarketneed.“Isawdozensofmyfriendsand
familymembershavingtroubleshowcasingtheirbeautifulmakesandwears,soItookmysavings,
enteredafewstartupcompetitionsandcreatedawebsitetoempowerIndigenousartisanswitha
platformtoselltheirworkandinturn,earnalivingdoingwhattheylove.”
EntrepreneurslikeFredericVoyer,theCo-FounderandCEOofSWAAAP.com,aremotivatedtorun
theircompaniesbythegreaterfreedomandflexibilitythatcomeswithentrepreneurship.“EversinceI
wasyoung,Ihadaneedforfreedomandlovedinventorsandthosewhocreatedvalueintheworld,”
saidVoyer.“IamanentrepreneurbecauseIamfreetopursuebusinessasacreativeoutlet.”
OnValues
Intermsofvalues,thirty-fivepercentofmillennialSBOswanttoenjoywhattheydoeveryday.Twenty
sevenpercentofmillennialSBOsmostvaluepurposeastheywanttoimpactsocialgood;14percent
mostvaluegrowth;10percentmostvalueprofitabilityand9percentplacegreatestvalueon
autonomy.Thisstudyfoundnosignificantvariancebetweenmillennialentrepreneursandprevious
generations.
4 MOTIVATIONS, MINDSETS AND EXPERIENCES OF MILLENNIAL ENTREPRENEURS
JonathanGrootvent,theownerandCEOofVertagrow.ca,aBarrie-basedstartupempowering
individualsandcommunitiestogrowfoodyear-round,ispassionateaboutcreatingsocialimpact.“I
valuebeingabletohelpotherstolivehealthierlivesthroughurbanfarming,andindoingso,lessening
thestrainonourhealthcaresystem.”Similarly,SaraRehman,theCo-FounderandChiefResearch
OfficerofAgoreMedicalTechnologiesinc.,aToronto-basedcompanywhichsupportselderlypatient
engagementinhomesthroughanappandhardwaredevice,mostvaluestheopportunitytoimprovethe
safetyandwell-beingofherclients.
ShanaPasapa,theFounderandHeadInstructoratPowerOurWomen,whogrewupon
Saskatchewan’sWhiteBearFirstNation,mostvaluestheopportunitytoempowerandhelpbuildthe
confidenceandsafetyofwomenandgirlsthroughherself-defenseprogram.
OnMindset
AsizablemajorityofSBOsarewillingtotakefinancialriskstogrowtheirbusiness.However,
respondentsaredividedonwhethertheyneedmoneyinthebankbeforestartingtheirbusiness.Sixty-
threepercentofmillennialSBOsfeeltheyneedmoneyinthebankbeforeinvestinginbusinessgrowth,
whileonly54percentofgenerationXand46percentofbabyboomersfeelthisway.Thisvariancemay
beattributedtomillennialsowningfewerassetsthanpreviousgenerations.
Nevertheless,millennialsaremorelikelyto‘feelmarriedtotheirbusinesses’likelybecauseofthehigh
levelofconnectionbetweentheirpurpose,passionandtheirmotivationtostartacompany.Nearly
threequarters(74percent)ofmillennialSBOsfeelthisway,comparedto65percentofprevious
generationsthatclaimthesame.
OnSuccessandAmbition
WhileSBOsmaybemotivatedbypassionandpurpose,theyaremorelikelytomeasuretheirsuccessvis
àvisprofit.Twenty-ninepercentofrespondentsdefinetheirsuccessbysalesandprofit,while28per
centmeasuretheirsuccessbybeingrecognizedasaleaderintheircommunityorindustry.Twenty
sevenpercentofrespondentsdefinesuccessasgrowth,and12percentdefinetheirsuccessbythe
socialgoodtheyproducethroughtheircompany.
5 MOTIVATIONS, MINDSETS AND EXPERIENCES OF MILLENNIAL ENTREPRENEURS
AlyssiaRichard,theCo-FounderandCEOofRatehub.ca,aToronto-basedmortgagecomparison
websiteismotivatedbyherdesiretoeducateconsumersandbringtransparencytotheindustry.
Richardmeasureshersuccessthroughprofit,saying:“Iwanttobuildaprofitableandsustainable
businessthathelpsCanadians.”
Despite46percentofSBOshavingyettogenerateaprofit,CanadianSBOsareconfidentandoptimistic
aboutthefuturesuccessoftheirbusinesses.Seventy-threepercentofrespondentsconsidertheir
businesstobeasuccess.SBOshavetheirsightssetongrowth,withnearlyall(93percent)planningto
growtheirbusinesswithinthenextyear.Inaddition,9in10(90percent)respondentsbelievetheir
offeringissuperiortotheircompetitionand76percentaimtodisrupttheirindustries.Nevertheless,
whilepreviousgenerationsareplacinggreatervalueonsalesandprofit(31percent),millennialSBOs
aremorelikelytoplacegreatervalueonbeingrecognizedasanindustryleader(34percent)and
achievingbusinessgrowth(28percent).
Finance Passionandpurposealonecan’tfundabusiness,soitisoflittlesurprisethatnearlyhalf(47percent)of
allsurveyedentrepreneursconcedethatcashflowconcernskeepthemupatnight.While75percentof
smallbusinessownersmanagetheirownfinances,morethanhalf(55percent)reportdifficultieswith
managingcashflow.Inaddition,morethanoneinfiveSBOs(21percent)indicatedcash-flow
managementasthemostchallengingaspectofmanagingtheirbusinessfinances.Othertopchallenges
includeaccountingandbookkeeping(21percent),taxes(16percent),andbudgetingandforecasting
(13percent).
Ofthemillennialswhoarenotemployedoutsideoftheirbusiness,45percentofthemdonotpay
themselvesawage.Respondentswhodopaythemselvesawagewere10percentmorelikelythan
thosewhodonotpaythemselvestostronglyagreethatcashflowconcernskeptthemupatnight.
“Cashflowisarealconcernforalmostanybusiness,”saysPaulRoman,VicePresident&General
Manager,GlobalCommercialPayments,AmericanExpressCanada.“Weworkwithbusinessesofany
sizetomaximizecashflowandprovidepurchasingpowerwhenbusinessesneeditmost.”
6 MOTIVATIONS, MINDSETS AND EXPERIENCES OF MILLENNIAL ENTREPRENEURS
Despiteconcerns,millennialSBOsareputtingintheextraworkandgettingcreativetofundtheirdream
projectsbyholdingasecondjob(42percent)andpayingthemselvesbelowmarketwage(48percentof
thosewhopaythemselvesawage).Tofinancetheirstartup,millennialSBOsareleveragingpersonal
savings(52percent),borrowingfromfamilyandfriends(8percent),accessingangelinvestment(7per
cent),usingcrowdfundingplatforms(4percent),accessingtraditionalbankloanfinancing(4percent),
orventurecapitalfinancing(3percent).Ascomparedwithpreviousgenerations,millennialsaremore
likelytoleverageventurecapital(7percentcomparedto5percent)andaretwiceaslikelytoleverage
crowdfunding(4percentcomparedto2percent),whereasothersaretwiceaslikelytoleverage
traditionalbankloans(4percentcomparedto8percent).Intermsofsourcesofcashflow,45percent
ofSBOshaveusedcreditcardsand33percenthaveleveragedlinesofcredit.
“Mymainsourceoffundingformycompanyhasbeenmydayjob,”saidOttawa-basedJoelleTremblay,
FounderofFailureIsAnOption.“Asthecompanycontinuestogrow,Iamaimingtobringonfinancial
partnersandgrowourrevenuechannels,withclient-acquisitionbeingourprimaryfoundationfor
growth.”AnotherOttawa-basedSBO,Jean-PhilippeMichel,theFounderofSparkPath,concurs.“Ihave
usedtheleanbusinessmodeltobuildmycompany.Financingcomesthroughclientacquisitionandat
thisstageImakeupforanyshortfallsthroughmypersonalsavingsandsidecontracts.”
EgiTroka,CEOofToronto-basedEmpressCo.,ahigh-endfashioncompanythatmakesdesignersuits
forwomen,financedherbusinessthroughtheOntarioSummerCompanyProgram,whichprovides
startupseedfundingtostudentsthroughthesummer.ShehasalsoappliedtotheJoeFreshFashion
IncubatorincollaborationwiththeRyersonUniversitySchoolofFashion,whichprovidesmentorship,
facilitiesandfunding.Trokahopestogaintractionwithhercompanybeforeapproachinginvestors.
Intermsofpersonalassets(e.g.mortgage,home,etc.),50percentofrespondentshave10-15percent
oftheirpersonalassetstiedtotheirbusiness;11percenthave15-35percenttiedtotheirbusinessand
8percenthavemorethan50percentoftheirpersonalassetstiedtotheirbusiness.Thisstudyfound
nosignificantvariancebetweenmillennialsandpreviousgenerations.
Whenlookingatcreditcardrewardsfortheirbusinesses,57percentofSBOsearnrewardsontheir
businessspendingusingacreditcard.MillennialSBOsmostoftenredeemrewardsforpersonal
merchandiseandtravel(37percent),tooffsetbusinesscosts(14percent)ortoincentivizeemployees
7 MOTIVATIONS, MINDSETS AND EXPERIENCES OF MILLENNIAL ENTREPRENEURS
(4percent).Fifty-fivepercentofmillennialsbelievethatcreditcardrewardsmakethemmore
motivatedtousetheircardsforbusinesspurchases.
AlthoughcashflowconcernskeepmillennialSBOsupatnight,theirresolvetodowhatittakestobring
theirbusinesstolife-fromsupplementaryjobsandleveragingalternativefinancingmechanismsto
harnessingopportunitiesandprogrammingavailableintheentrepreneurshipecosystemandfocusing
onclient-acquisitiontoscale-isnothingshortofinspiring.
TechnologyandMarketing Increasingaccesstoresourceslikethecloud,onlinesocialnetworks,digitaldataandthemovetomobile
technologieshaveincreasedtheaccessibilityofentrepreneurshipandeliminatedbordersbetween
internationalmarkets.Today’stechnologyenablesentrepreneurstostartglobalbusinessesfromday
one.BuyingandsellingonAmazon,EtsyorShopify,sourcingthroughAlibaba,operatingabusinesswith
QuickBooks,Google,SalesforceandSquare,andraisingfundingthroughIndiegogoandKickStarterare
justsomeexamplesofhowaccesstotechnologyhastransformedhowentrepreneursdobusiness.
OnTechnology
EightypercentofSBOssaytheirbusinesscannotfunctionwithouttechnology.Respondentsacross
industriesandgenerationscitedcustomerrelationships(27percent),accounting(10percent),
scheduling(9percent)andacquisitionmarketing(9percent)asthemostpredominantusesof
technologieswithintheircompanies.Infact,themajorityofrespondentscitedthattheirentirebusiness
isbasedupontechnologyandtheyuseitforeverythingfromhosting,performancemonitoringand
improvement,remoteworking,prototypingandtesting,managinglargeprojects,storing,filingand
knowledgesharing,shipping,sales,dataanalysis,andautomation.
“Technologyisabigpartofourbusiness,”saidSwiftPad’sAmirMotahari.“Ourworkflowprovidesthe
flexibilityofworkingfromhomeandworkingremotelywitheffectivetaskmanagementthroughtools
likeSlack,AsanaandHubspotCRM.”Similarly,ForrestVetter-WilsonfromCleverClothing.casaysitall
startswithtechnology.“Weusemanytechnologiesfrompipelinetoproduction,”saidVetter-Wilson.“It
startswithagoodCRMsystemtomanageclientsandcomputerapplicationsforestimates.Nextupitis
AdobefordesignandartworkandQuickBookstosendinvoicesandinputsalesdata.Withoutthese
technologicaladvancements,we’dneedtohiremanyemployeesforeachroletobefulfilled.”
8 MOTIVATIONS, MINDSETS AND EXPERIENCES OF MILLENNIAL ENTREPRENEURS
Beyondleveragingtechtoolstostreamlineoperations,entrepreneurslikeIdasLevatofrom
Gugoiza.com,areleveragingglobalplatformstogainaccesstopreviouslyunaffordabletechnologies.
“We’recurrentlyontheMicrosoftBizSparkprogram,whichhasessentiallycoveredourhostingcosts,all
ofourtools,anddevelopmenthasbeencovered.Sponsorshiphastakentheburdenoffus,”saidLevato.
OnMarketing
Technologyalsohasanincreasinglyimportantroletoplayinhowentrepreneursmarkettheir
businesses,productsandservices.Themainformofmarketingfor43percentofrespondentsissocial
media(51percentofMillennialSBOsand38percentfrompreviousgenerations),33percentfocuson
in-personandword-of-mouthmarketing,andlessthan5percentareengagedintraditionalmarketing
onprint,radio,televisionortradeshows.
BrentRiberdy,theownerofHiddenTrailExperience,aWindsor-basedbusinessprovidingescaperoom
experiences,reliesonSnapChat,Facebook,Instagram,Twitter,LinkedIn,YelpandTripAdvisorfor
marketingto,reachingandengagingnewandexistingclients.Similarly,Edmonton-basedBrenda
Herchmer,FounderofCampusforCommunities,whichcoachesexistingandfuturecommunityleaders,
manageshersocialmediathroughHootsuite.HerchmerhasactivechannelsonFacebook,LinkedIn,
Pinterest,Google+andInstagram,citingtheimportanceofleveragingsocialmediatoengageyouthas
theprimaryreason.
Beyondsocialmedia,entrepreneurslikeSWAAAP.com’sFredericVoyeralsoleveragethe
entrepreneurshipcommunityforin-personmarketingopportunities.“Wespreadthewordaboutour
businessbybeinginvolvedwiththecommunity.WeactivelyengagewitheSAX,StartupOttawa,
Lead2Win,NRC,andentrepreneur-basedorganizationsandtradeshowstogetthewordaboutour
business.WehavealsoestablishedapartnershipwithStaplesandsetupboothsattheirlocationsso
thatwecanconnectwiththeircustomersinperson,”saidVoyer.HeatherAbbey,Founderof
ShopIndig.caleveragesstartupcompetitions,pitchcontestsandsharesherstorythroughmainstream
mediapartnerstogarnerword-of-mouthsupport.“Wehavealotoflocalsupport,”saidAbbey.“Weare
gratefulforthepromotionalsupportwereceivefromSquareOne,StartupCanada,Futurpreneurandthe
localeconomicdevelopmentcentre.”
IncreasinglymoreSBOsaretakingadvantageofthelocalentrepreneurshipcommunitytonotonlyfind
mentorsandsupport,butalsotopromotetheircompany.Halifax-basedColinWhite,Co-Founderand
CTOofZoraComputing,whichmakeswebappsforpropertymanagementcompanies,hasleveraged
9 MOTIVATIONS, MINDSETS AND EXPERIENCES OF MILLENNIAL ENTREPRENEURS
theVoltaincubatortonetworkwithlocalstartupsandhasparticipatedinacceleratorsincluding
FounderFueloutofMontrealandTheMillinLasVegastogaininvestorandcustomerattention.
Similarly,DaveParsell,Co-FounderandCEOofLocalIntelgainsexposurethroughpapers,blogs,
networkingeventsandspeakingengagements.
Developmentsintechnologycontinuetodrasticallychangethewayentrepreneursofallagesdo
business.Fromstreamliningday-to-dayoperationstoincreasingtheconnectivitybetweenacompany
andpotentialcustomers,technologycontinuestomakesmallbusinessownersmoreproductive,
efficientandsmartinhowtheyspendtheirtime,whotheytalktoandhowtheytalktothem.
FinalReflectionsonMillennialSmallBusinessOwners “Itcertainlyhasneverbeenmoresociallyacceptableoraccessibletobeanentrepreneurasitistoday,”
saidAlyssiaRichard,Co-FounderofRatehub.ca.“Wedonotneedthelargeinfrastructurethat
entrepreneursneededinthepast.Throughonlinecodingworkshops,newtechnologyandan
increasinglysupportivestartupcommunity,welcomingandencouragingofnewentrepreneurs,the
conditionsareopportuneformillennialentrepreneurs.”
“Havinggrownupwithtechnologyisahugeadvantagethatwehaveasmillennialentrepreneurs,”said
SWAAAP.caCo-FounderandCEOFredericVoyer.“Withtherapidpaceofchange,ourgenerationis
usedtoadaptingandreadapting.”AshleighMattern,ownerofVideoProductions,awebdesignand
contentcreationcompanybasedinSaskatoonagrees:“Millennialsaremorelikelytopivot,morewilling
tochangedirectionandarereallychangingtheoverallworkingenvironment.”
Thereisadoubleedgetothemillennialfreespirit,however.“Becausewearesodigitallyconnected,
millennialsneedtolearnhowtobuildface-to-facerelationships,notjustdigitalones,whichontheir
owncanbeisolatingandhollow,”saidFredericVoyer.
RespondentProfile
Forty-twopercentofrespondentsaregenerationX(bornbetween1965and1980);37percentare
millennials(bornbetween1981and2000);and,18percentarebabyboomers(bornbetween1946and
1964).Fifty-threepercentofrespondentsliveinOntarioand15percentliveinBritishColumbiaandthe
10 MOTIVATIONS, MINDSETS AND EXPERIENCES OF MILLENNIAL ENTREPRENEURS
Territories.FourteenpercentofrespondentsliveinthePrairies,8percentliveinAtlanticCanadaand7
percentliveinQuebec.
Seventy-threepercentofrespondentscompletedapost-secondarybachelordegreeorhigher;7per
centcompleteduptohighschool;and,theremainingrespondentscompletedapprenticeshipsor
alternativeformsofeducation.Withregardtoeducation,thisstudyfoundnosignificantvariance
betweenmillennialsandpreviousgenerations.
Respondentsrepresentawidespectrumofindustriesfromhealthcareandservicestoskilledtradesand
cleantech.Twenty-sixpercentofrespondentshaveownedtheirbusinessforlessthan1year;48per
centofrespondentsfor1-5years;and,26percentformorethan6years.Millennial-ownedbusinesses
havebeeninoperationforashortertimethanthoseownedbypreviousgenerations.Thirty-sevenper
centofmillennialentrepreneurssurveyedhavebeeninbusinessforlessthanoneyear(comparedto19
percentfrompreviousgenerations);55percenthavebeeninbusinessfor1-5years(comparedto43
percentfrompreviousgenerations),and7percenthavebeeninbusinessformorethan6years
(comparedto25percentfrompreviousgenerations).Thevariancecanbeattributed,inpart,totheage
oftheentrepreneur,ratherthantendenciesofthegenerationalcohort.
Fifty-onepercentofrespondentshaveownedonebusiness,while48percentareserialentrepreneurs
andhavestartedmorethanoneormanybusinesses.Thestudyfoundnosignificantvariancebetween
millennialsandpreviousgenerationsintheirpropensitytobeserialentrepreneurs.
Forty-sevenpercentofrespondentsareturningaprofitintheirenterprisesand46percenthaveyetto
beprofitable.Seventy-fourpercentofthosewhoachievedprofitdidsowithintheirfirst3years,with
nosignificantvariancebetweenmillennialandpreviousgenerations.
Methodology ThestudywasconductedbetweenAugust16andSeptember8,2016throughanonlinesurveythat
engaged511entrepreneursofallagesfromacrossCanada.Basedonthefindingsofthesurveyanda
subsequentcorrelativeanalysisundertakeninpartnershipwithRyersonUniversity-basedstartup
SteadfastBeta,researchersinterviewedarandomsampleof30respondentstodivedeeperintothe
findings.Themarginoferrorforarepresentativesampleofthissize(n=511)is±4.2percentwithina95
percentconfidenceinterval.Thisreportsummarizestheresultsoftheresearch.
11 MOTIVATIONS, MINDSETS AND EXPERIENCES OF MILLENNIAL ENTREPRENEURS
KeyFindings SBOschoosepassionoverprofit
● 88%ofSBOsagreepassiontrumpspersonalfinancialgain,andthey’rewillingtotakeriskstogettheirpassionprojectofftheground.Despitenearlyhalf(46%)havingyettoturnaprofit,thevastmajority(85%)arewillingtotakefinancialriskstogrowtheirbusiness.
MillennialSBOs‘feelmarried’totheirbusinesses
● 74%ofmillennialSBOsfeelmarriedtotheirbusinesses.● Nearly1in3(30%)citethereasontheystartedtheirbusinesswastoturntheirpassionintoa
career,comparedto17percentwhowerelookingtogainfinancialindependence. CashflowconcernskeepSBOsupatnight
● 47%ofmillennialSBOsareworryingaboutcashflowatnight.● Thetop3financialconcernsofmillennialSBOsarecashflow,bookkeepingandtaxes.● 75%ofSBOsmanagetheirownfinancesand55%reportdifficultieswithcashflow.
SBOsarewillingtotakerisks
● 85%ofmillennialentrepreneursarewillingtotakefinancialriskstogrowtheirbusiness. MillennialSBOsarecurbingfinancialriskwithsecondincome
● 42%ofmillennialentrepreneursstayafloatthankstoasecondjob.● 48%reportpayingthemselvesbelowmarketwage(ofthosewhoactuallypaythemselvesa
wage).● 52percentofmillennialsusedpersonalsavingstostarttheircompany.
MajorityofSBOsplantoscale
● 94%ofmillennialSBOswanttogrowtheirbusinessinthenextyear.● 93%ofSBOsintendtoscaleinthenextyear.● 9in10(90%)SBOsbelievetheirofferingissuperiortotheircompetition.● 76%ofSBOsaimtodisrupttheirindustries.
MajorityofSBOsrewardthemselves 55%ofmillennialSBOsaremotivatedbyrewardstousecreditcardsforbusinesspurchases