Millennials are changing the way people work and run their businesses. And as they also become entrepreneurs and small business owners, their approach will again change the status quo. The third annual First Citizens Bank Small Business Forecast reports 48 percent of millennials want to be part of the startup trend. This might be driven by the fact 60 percent don’t accept current corporate culture and find working for an employer impersonal.
Millennial Entrepreneurship Fueled by Optimism
The survey reveals millennials are more optimistic compared to baby boomers and Gen Xers. Eighty-eight percent of them said starting their own business gives them the opportunity to realize their dreams.
First Citizens Bank carried out the survey from a pool of 300 small business owners with businesses located in either North Carolina, South Carolina, California or Florida. These businesses all had fewer than 500 employees.
While 71 percent of overall respondents said they plan to expand in the next six to 12 months, that number increased to 82 percent among millennials.
Kate Stackhouse, manager of sales effectiveness at First Citizens Bank, says, “2017 continues to be a strong year for small businesses, and small business owners are poised to use their ideas and accomplishments to have an even greater impact on the economy.”
Higher Numbers for Small Business Owners
In the report, 47 percent of respondents said they were going to hire more people, 46 percent said they would add new products and services and 41 percent plan to increase advertising or marketing budgets.
When it comes to getting new funding for this growth, 54 percent of millennials said they plan on doing so in the next six to 12 months, which is up by more than 100 percent from the 25 percent of 2016. Overall, 34 percent of respondents said they are going to secure the funds through a bank loan, personal savings or a business credit card within the same time period.
Why All The Attention on Millennials?
You may be asking yourself, why all the hoopla surrounding millennials? The answer is numbers. According to the U.S. Census Bureau, this group numbered 83.1 million and represented more than one-quarter of the nation’s population in 2015. This is higher than the 75.4 million baby boomers, and could have a huge impact on the future of the business startup scene.