Entrepreneurship among Generation Z youth is on the rise in Brazil, as indicated by data from the 2023 Global Entrepreneurship Monitor (GEM) report and ZenBusiness research. The pursuit of financial independence, ease of access to technology, and the impact of social media are some of the main factors driving young people to start their own businesses.
According to GEM 2023, about 50% of young people aged 18 to 24 in Brazil own or intend to start a business, a percentage that has been growing in recent years. The digitization of processes, the growth of e-commerce, and the advancement of the creative economy enable new entrepreneurs to launch and expand their businesses with reduced initial investments.
For Marlon Freitas, co-founder of Agilize Contabilidade, this movement reflects a shift in the job market. ‘Generation Z seeks more autonomy and flexibility. Many young people prefer to start businesses rather than follow traditional careers, as they want more decision-making freedom and social impact in their ventures,’ he explains.
Growing sectors
The sectors most sought after by these young entrepreneurs include e-commerce, technology, and sustainability. The digital market has been one of the biggest drivers of this growth, as it allows products and services to be offered with low operational costs and wide-reaching audiences.
Additionally, initiatives focused on the green economy, such as sustainable startups and social businesses, are increasingly prominent, reflecting this generation’s commitment to environmental and social causes.
Essential skills for success
Generation Z stands out for its ease in handling technology and innovative mindset. Marlon Freitas emphasizes that certain skills are crucial for entrepreneurial success: ‘Having a digital mindset, understanding marketing strategies and financial management, and staying attuned to market changes are key aspects. Access to courses, mentoring, and entrepreneurial communities can accelerate this process.’
The expert also highlights that financial literacy is one of the main challenges faced by young entrepreneurs. ‘Knowing how to manage cash flow, correctly price products and services, and invest in business growth in a planned manner makes all the difference,’ he adds.
The future of young entrepreneurship
With the growing appreciation of youth entrepreneurship, the expectation is that the number of businesses founded by Generation Z individuals will continue to rise in the coming years. The impact of this movement can be seen in the innovation of traditional sectors, job creation, and the transformation of the Brazilian economy.
‘The time is favorable for those who want to start a business. There have never been so many tools and opportunities to launch a venture. However, it is essential to seek education, understand the market, and develop solid planning to ensure sustainable growth,’ concludes Marlon Freitas.
