People aged 18 to 25 will be more entrepreneurial than the previous generation, with nearly a third expecting to start up a business, according to new research.
Figures from McCrindle Research found that three in 10 generation Y-ers planned to be their own boss, shunning a career working for anyone else.
The research revealed that generation Y would be happy to do direct selling, unlike generation X, and has a positive view of franchising.
Speaking to StartupSmart.com.au, Mark McCrindle, founder of McCrindle Research, says that generation Y isn’t prepared to embark on a long career with a company.
“The level of interest in being self-employed is higher than we’ve seen before,” he explains. “With technology, they can now do it without getting $100,000 from a bank – a website can challenge the big players straight away.”
“Generation Y isn’t after financial security as they live at home longer. They are shaped by the Richard Bransons of the world and they are well-honed for entrepreneurship, especially in terms of technology, working with uncertainty and networking.”
Small businesses looking to employ generation Y staff shouldn’t despair, however. According to McCrindle, generation Y will prove effective employees, if used properly.
“You have to understand that you are employing an entrepreneur,” he says. “You will have to give them their own area of the business to build and drive. When they have ownership, they run with it.”
“The trouble is when you put them in a narrow job and lock them into a chain of command. They have no commitment for this. They want a better work/life balance, flexible management, broad job descriptions and non-financial rewards.”