Youth Entrepreneurship: A Tradition of Raising the Future

Today’s young Indigenous entrepreneurs are launching businesses at five times the pace of non-Indigenous Canadians, leading a wave of economic resurgence grounded in community values and forward-thinking practices. Further, they represent the country’s fastest-growing demographic, with those under 25 comprising over half of the Indigenous population. 

The Numbers Behind Indigenous Business Growth

Despite the energetic momentum, Indigenous business owners still contribute a modest share relative to their population. As of recent data, 1.1% of Canadians aged 15+ are Indigenous entrepreneurs as compared with the national average of 2.3%. Sweeping change is underway, however, with Indigenous-owned businesses accounting for nearly $50 billion of yearly output and over 50,000 companies operating today.

Indigenous women, in particular, are at the forefront of this entrepreneurial dynamism. Indigenous women are twice as likely to own businesses than their non-Indigenous counterparts, moreover youth entrepreneurs tend to be early adopters of technology at more than double the average rate. 

Cultural Roots of Economic Success

Part of the strength of youth entrepreneurship within the Indigenous community stems from deeply rooted cultural motivations and economic self-determination. According to Futurpreneur, “entrepreneurship is a way for Indigenous peoples to reclaim economic independence... weaving tradition into innovation.”  

That momentum builds on groundwork laid by supportive institutions. Indigenous Financial Institutions have delivered nearly 50,000 loans totalling close to $3 billion over the past three decades, though only 18% of clients served are under age 35, highlighting an opportunity to bolster youth-focused support. 

Challenges and Opportunities Ahead

Despite tremendous promise, challenges persist. According to Statistics Canada, Indigenous-owned enterprises are 18.4% more likely to exit the market than non-Indigenous ones, and face productivity and revenue gaps of roughly 7.5% and 2.7% respectively. Closing these disparities will require tailored solutions for which there is currently a lack of available opportunities. 

Supporting Indigenous youth in entrepreneurship is imperative for economic reconciliation. When young Indigenous entrepreneurs build businesses, they create prosperity not only for themselves but for their entire communities.  

To truly unlock the potential of young Indigenous entrepreneurs, institutions must step up with meaningful support, particularly with respect to credit access. By investing in Indigenous youth, we invest in stronger communities and create vibrant economies.