Age is no barrier to starting a business!

In the popular imagination, innovative entrepreneurs are often hoodie-wearing, sandwich-eating youngsters hunched over computers in startup incubators. Yet this stereotype is a cliché, as demonstrated by an extensive international study on entrepreneurship across the lifespan featuring NEOMA’s Teemu Kautonen.

They’re not yet 30, but they dream of devising an app that will change the world. Time doesn’t mean much to them and they sleep at their desks. They go to all the hackathons and tech fairs, which is their idea of fun. True or false? It’s certainly the archetypal portrait of the game-changing entrepreneur that lives in the collective imagination, and it’s the image we see in films, TV series and media headlines. The reality, however, is far more complex.

A review of 40 recent scientific papers by Teemu Kautonen, professor of entrepreneurship at NEOMA Business School, and three colleagues, finds that the entrepreneurial inclination and odds of success vary throughout life. Young adults, forty-somethings and seniors are not looking for the same thing, and each group brings its own strengths and faces distinct challenges. To reach this conclusion, the specialist team explored a corpus addressing key themes, such as: How do people of different ages get started in entrepreneurship? Who doubles down after a setback? How influential are age or gender-related stereotypes?

Each generation of entrepreneurs has its own shortcomings and strengths

The researchers’ first insight is that although the younger generation is full of vigour and eager to dive in without looking in the rear-view mirror, they have limited resources at their disposal: less capital to invest, smaller professional networks and minimal (or no) management experience. These constraints can hinder their ability to transform an idea – even a brilliant one – into a company that can stand the test of time. 

Conversely, older entrepreneurs start out with more experience, more contacts and more financial resources. They perform better in the long run, and their plans are more realistic. However, they often pursue self-realisation or improved quality of life rather than business growth. Ultimately, the peak age for setting up an ambitious business that lasts is around 45.

Is midlife truly a golden age?

The authors highlight what they call an “inverted U‑shaped relationship” between age and the move into entrepreneurship. The curve rises steadily to a high point near the age of 45 before tapering off. During the upward phase, thirty and forty-somethings begin to enjoy financial independence, grow more self-assured, develop their skills and expand their networks. And yet, they also have more obligations and less free time, since this is typically the age when people start a family, raise young children and have mortgages to pay off. The study points to a fractured sense of time, mounting mental demands and limited energy.

Not all life’s challenges are resolved by the age of 50. Although teenagers still living at home may be more independent, they still require attention – and their grandparents often begin to grow more dependent. Nevertheless, this stage of life is particularly suited to entrepreneurship, offering greater financial resources and more free time to embark on ventures. The study also highlights that this stage of life is often marked by major existential questions and a prevailing sense that it’s “now or never”. It is, in other words, a pivotal moment when aging becomes a more palpable reality and long‑postponed plans are finally set in motion.

Senior and entrepreneur: why not both?!

From 60 onwards, the dynamic takes a new turn. Many older people start businesses, defying the cliché of the quiet pre‑retiree spending their days pottering in the garden. This age group typically enjoys financial security and is more willing to accept a reduction in income if they believe it will enhance their quality of life. The study notes that older entrepreneurs prioritise projects they find meaningful and that contribute to society, rather than chasing a fast return or status. In short, young people generally strive to prove their worth, achieve independence and earn a living. Older people, meanwhile, are keen to pass something on, find fulfilment or simply stay active.

These seniors often know their industries inside out, making them well-positioned to introduce innovations to the marketplace. Many prefer human-sized – and sometimes hybrid – activities, combining a regular job with a personal venture. The researchers argue that this “part‑time entrepreneurship” is undervalued and insufficiently recognised, and that this lack of visibility partly explains why seniors are still not widely regarded as entrepreneurs. More broadly, this bias reflects the obstacles and age‑related discrimination faced by people in their sixties. Although senior entrepreneurship is often discussed in positive terms, there is a gap between rhetoric and reality: older people are still perceived as having limited potential – by their customers, partners and sometimes even government bodies – and in general receive less support than younger people, creating an additional ageist challenge they have to navigate.

Combatting ageist and sexist discrimination

It isn’t just older people who are the target of stereotypes. While seniors are regarded as being too slow or behind the times, investors see young people as unreliable or overly impulsive. Midlife entrepreneurs, on the other hand, benefit from a peak effect: they inspire confidence without being perceived as weak or naive. In addition to the issue of age, the study underlines the impact of gender discrimination. Women between 35 and 55 are frequently tasked with family obligations and have fewer opportunities to establish a business. The study points out, however, that some women “leverage the synergies between their multiple identities – such as ‘mother’ and ‘entrepreneur’ – leading them to experience fulfilment in entrepreneurship.” Moreover, many women, once their children are grown, go on to establish particularly successful socially-oriented enterprises. 

The researchers emphasise that institutional factors exert a profound influence on career paths. In countries with robust social safety nets, people have less to lose and are more willing to take the plunge. International comparisons, for example, reveal a marked correlation between entrepreneurship and life expectancy: the longer people enjoy good health, the more likely they are to set up a company even at an advanced age. As a result, the authors contend that policies providing assistance across different life stages should be redesigned. It is, of course, vital for society to support young entrepreneurs; at the same time, other generations should not be overlooked. Furthermore, society would benefit from adapting its support mechanisms to the diverse ways in which individuals may build their careers. Entrepreneurship is not a sprint but a long-distance race where everyone can invest their energy, insight and experience.

Find out more

M. Lévesque, U. Stephan, T. Kautonen & R. Bakker, Entrepreneurship, Age, and the Lifespan: Taking Stock and Avenues for Future Research, Journal of Business Venturing, January 2026. doi.org/10.1016/j.jbusvent.2025.106548