A new breed of entrepreneurs is here, courtesy of the millennial generation. Millepreneurs, as some people call them, are young aspiring entrepreneurs who want to start their journey towards financial freedom early on. But what makes them different from other generations of entrepreneurs who have undeniably more experience and funds?
Why Many Millennials Are Struggling Financially
According to research, many millennials are having a hard time keeping up with their personal finances. They have been victimized by two kinds of economic recessions, namely the Great Depression and the COVID-19 pandemic. Due to these downturns, most wages remained stagnant.
Even if wages fail to increase, the costs of essentials continue to rise. Since there is a significant imbalance between wage increases and the fast-rising costs of living, millennials have a hard time keeping up. They had to work more than one job to provide for themselves, their families, if any, and to pay debts along with their usual student debts.
We should not forget that fewer companies are offering pensions to their modern employees. This makes it hard for millennial workers to save for their retirement consistently. The birth of 401(k) made companies no longer responsible for giving pensions to their employees who had already retired.
Why Financially-stressed Millennials Are Starting Businesses
Despite the financial struggles, many millennials are taking risks by starting their own companies. They know that they need to work hard to achieve their life goals. Since being financially independent is one of them, they choose to invest in growing their wealth.
Millennials know that not many people get rich by staying as an employee. According to a survey, up to 60% of millennials felt that owning a business makes the road to financial freedom easier. They are looking for ways to invest their hard-earned savings and take risks by taking in debt for business’ sake.
How Millepreneurs Differ From Older Entrepreneurs
Many millennials are starting to build their businesses early. Most Baby Boomers began a business at an average age of 35 years old. Unlike older generations, they are more willing to give up a stable nine-to-five job in hopes of building and growing their own brand at 31.
Thanks to technology, millennials can start a business at a more cost-effective cost. Online marketing proved to be an effective way to market to their target audiences. Since today’s consumers are also often online, this proves to be a favorable timing for tech-loving millepreneurs.
Willingness to Learn From the Pros
Millennials may have their own ways of building and growing businesses. But if there is one thing they need, that is the expertise of experienced professionals in different fields. They value the recommendations of their loved ones as much as they respect the authority of specific industry influencers.
This is one reason why more millennials are now exploring the services of reliable financial experts like Jacobsen Capital Advisors. They know that having a mentor helps in building successful brands. They know that one great way to make their investments thrive is by having mentors who are experts in their fields.
According to a study, millennial entrepreneurs build an average of eight companies more compared to their older generational rivals. They have a higher comfort level of failure, making them willing to take more risks. This encourages them to build multiple companies, one after the other.
Millepreneurs understand that having more than one stream of income is always better. They try to diversify their portfolio by building businesses in different industries. In case one or two fail, they have a few more they can build wealth with.
Corporate Social Responsibility as a Priority
Many millennials are also building businesses while keeping their corporate social responsibility to heart. They advocate for the environment in hopes of building and preparing a brighter future for the younger generation. They do this by embracing sustainability and adopting green practices.
Some millepreneurs are pursuing charitable causes as part of their vision of mission. They know how hard other people’s lives are in certain parts of the world. They donate some, if not most, of their earnings to the marginalized and disadvantaged groups to fulfill their sense of purpose.
These are but some ways millennial entrepreneurs are different. They care about charity and the environment and try to incorporate social causes through their business. They build more business at an earlier age and are using tech to grow their brands. Millepreneurs also value expert advice, which helps them learn valuable business lessons. Even if many consider them the poorest of all generations, they still try their best to prove that financial struggles are not enough reasons to give up their entrepreneurial dreams.