A recent survey reveals that Gen Z small business owners are displaying high confidence levels about their business prospects heading into 2025.
- 94% of Gen Z business owners express confidence in the future, with a third being ‘very confident’.
- Gen Z entrepreneurs lead in optimism compared to other age groups, notably surpassing Millennials and older demographics.
- Despite a general decline in small business confidence, Gen Z remains resilient amidst challenges like Brexit and economic shifts.
- The study highlights the adaptability and forward-thinking mindset of young SME owners in the current economic climate.
A new survey indicates that an overwhelming 94% of Gen Z small business owners express confidence in their business prospects for the coming year. Notably, a third of these respondents categorise themselves as ‘very confident’ about what lies ahead in 2025.
This high level of optimism among Gen Z entrepreneurs places them ahead of other demographics. Millennials follow with 83% expressing confidence, but there is a significant drop among older business owners. Only 56% of individuals aged 45-54 and 53% of those over 55 report similar confidence levels.
Despite a broader decline in small business confidence, highlighted by a report from the Federation of Small Businesses, younger business owners remain surprisingly positive. The decline is attributed primarily to the sentiments among those over 45, yet Gen Z’s optimism stands in stark contrast.
The survey, commissioned by a business utilities retailer, underscores the resilience of the younger generation. For nearly a decade, UK SMEs have navigated numerous challenges, including Brexit, the pandemic, and other economic pressures. Nevertheless, Gen Z’s ability to adapt is evident in their proactive approach to business.
Phil Foster, the CEO of Love Energy Savings, states, ‘It’s massively encouraging to see so many SME business owners leaning into the new year with confidence and optimism.’ He attributes this mindset to effective resource management, such as reinvesting savings from energy efficiencies and embracing digital transformations.
The findings reveal a notable generational contrast in confidence levels among SME owners, with Gen Z displaying remarkable optimism.
