The entrepreneurial spirit of Gen Z and millennials is on the rise, with a significant percentage of these younger generations engaging in side hustles. According to Bankrate’s Side Hustles Survey, 48 percent of Gen Zers and 44 percent of millennials have a side hustle. This trend highlights their drive, independence, and desire to effect change in the business world. With the accessibility of social media and online tools, Gen Z and millennials have the resources they need to make their entrepreneurial dreams a reality more effectively than ever before.
As the concept of work continues to evolve, Gen Z and millennials are redefining the American dream and exploring how owning a business can support their goals. Bankrate’s Financial Freedom Survey reveals that the average American feels they need to earn over $186,000 annually to feel financially secure. Given that the average annual salary in the U.S. was $65,470 in 2023, many Americans are seeking alternative paths to financial stability.
Owning a business offers individuals control over their income and the opportunity to break free from salary limitations as their business grows. Side hustles serve as a stepping stone for testing business ideas and gaining traction before transitioning to a full-time entrepreneurial career.
The popularity of social media and influencers has motivated younger generations to pursue business ownership. Social media and technology provide additional tools for success, such as raising brand awareness, launching e-commerce platforms, and attracting new clients. However, it is essential for Gen Z and millennials to remain determined in the age of social media, as success in business requires time, patience, and persistence.
A key appeal of entrepreneurship for Gen Z and millennials is the flexibility it offers. Square’s Gen Z report reveals that 43 percent of Gen Z business owners define success as having a flexible work schedule. This flexibility allows individuals to prioritize work, family, and social activities based on their preferences, enhancing their overall quality of life.
Moreover, the desire for purposeful work drives Gen Z and millennials towards business ownership. Deloitte’s 2024 Gen Z and Millennial Survey indicates that 86 percent of Gen Zers and 89 percent of millennials value work that serves a purpose. Entrepreneurship provides a platform for these younger generations to make a meaningful impact on the world through their business endeavors.
While financial motivations often prompt young Americans to start businesses, the pursuit of economic opportunities and stability remains a driving force. Bankrate’s Side Hustles Survey reveals that a significant portion of U.S. adults engage in side hustles to supplement their main source of income, indicating a growing need for additional financial support.
To embark on the journey of starting a business, individuals must lay a solid foundation for success. This includes developing a marketable business idea that addresses a specific need, writing a detailed business plan, and registering the business entity with relevant authorities. Securing funding through personal savings, crowdfunding, business grants, or startup business loans is crucial for launching and sustaining the business.
In conclusion, Gen Z and millennials are enthusiastic about pursuing business ownership to achieve job flexibility, purpose, and financial freedom. By engaging in strategic planning, avoiding common business mistakes, and demonstrating determination and creativity, these younger generations can turn their entrepreneurial dreams into reality.
