When 60-year-old Samuel Mwangi launched his tech startup, many eyebrows were raised. In a world enamoured by youthful exuberance and high-energy dynamism, it was easy to misjudge Samuel's ability to innovate. People often overlook wisdom, experience, and the distinct creativity that comes with age.
Those who doubted Samuel can be proven wrong as he can revolutionise different agricultural sub-sectors. Samuel's success, however, is not an isolated case.
It speaks to a broader misconception about older entrepreneurs.
Famous historical entrepreneurs such as Ray Kroc, who founded McDonald's at the age of 52, or Harland Sanders, who franchised KFC at 65, have not only shattered stereotypes but have also built brands that became global icons.
In many ways, these late-career entrepreneurs' success shows that innovation and enterprise are not confined to youth but are nurtured by a blend of passion, wisdom, and experience.
A new study by researchers Martin Murmann, Virva Salmivaara, and Ewald Kibler throws light on this often-misunderstood phenomenon.
Contrary to popular belief, their research highlights that older founders, specifically those aged 50 years and above, are more likely to introduce new products or services to the market than their younger counterparts.
The study found that older entrepreneurs who combine their desire to innovate with personal wealth and managerial experience prove the most likely to generate groundbreaking innovations.
The research based on a study of 2,903 solo founders in Germany between 2008 and 2017, offers the first robust evidence of the innovation potential in late-career entrepreneurship.
While younger entrepreneurs are often credited with vigour and enthusiasm, and investor bias, thinking that these traits will launch a more successful and creative business, they erroneously believe they will return the invested funds with above average returns.
However, the research emphasises that age brings a higher likelihood of introducing 'new to the market' innovations.
Entrepreneurs, young and old, must now view age as a powerful enabler rather than an unjustified barrier. Drawing from life experiences, late-career entrepreneurs can bring unique insights and innovative solutions to the table.
They have seen the world evolve and have the acumen to adapt and innovate in a way that can not only enhance their businesses but also make significant contributions to society in a realistic doable way, rather than the irrational exuberance of youth.
Investors, too, should pay heed. The prevailing pro-young and pro-attractive bias, often linked to perceived vigor, must be reassessed.
Investors looking to back innovation and seeking long-term value must look beyond surface-level attributes.
The wisdom, experience, and innovation orientation of late-career entrepreneurs presents untapped opportunities.
Investing in older entrepreneurs might not just be a wise financial decision but a step toward a more inclusive and diverse business landscape that celebrates innovation at all ages.
In conclusion, the research by Martin Murmann, Virva Salmivaara, and Ewald Kibler is a beacon for all involved in the entrepreneurial ecosystem.
Our incubators, accelerators, and training programmes across East Africa should incorporate more nuanced outreach to older prospective entrepreneurs.
Not only are wide open coworking spaces without physical barriers between workstations less conducive to creative outcomes as proved in multiple research studies, but also are less appealing to older entrepreneurs who prefer, on average, a more professional perceived dignified coworking incubator office settings.
Those of us in the entrepreneurship ecosystem could also do well to hold networking events for older and youth entrepreneurs to meet and mix and perhaps cofound businesses together to take advantage of the diversity of skills commensurate with varying life experiences.
Let us remember that innovation knows no age and that the potential for groundbreaking ideas rests within individuals regardless of the number of candles on their birthday cake.
As the world ages and as wisdom continues to be a valuable asset, may we all learn to see the incredible potential that lies in the experienced minds of late-career entrepreneurs.
Have a management or leadership issue, question, or challenge? Reach out to Dr Scott through @ScottProfessor on Twitter or on email at [email protected].
