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Research: The Average Age of a Successful Startup Founder Is 45
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Consulting on the Cusp of Disruption
Entrepreneurship
July 11, 2018
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Executive Summary

It’s widely believed that the most successful entrepreneurs are young. Bill Gates, Steve Jobs, and Mark Zuckerberg were in their earlytwenties when they launched what would become world-changing companies. Do these famous cases reflect a generalizable pattern? In fact, the average age of entrepreneurs at the time they founded their companies is 42.But what about the most successful startups? Is it possible that companies started by younger entrepreneurs are particularly successful? Research shows that among the top 0.1%ofstartupsbased on growthintheir first five years, the founders started their companies, on average, whentheywere 45 years old.

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It’s widely believed that the most successful entrepreneurs are young. Bill Gates, Steve Jobs, and Mark Zuckerberg were in their earlytwenties when they launched what would become world-changing companies. Do these famous cases reflect a generalizablepattern? VC and media accounts seem to suggest so. When we analyzed founders who have won TechCrunch awards over the last decade, the average age at the time of founding was just 31 . Forthe peopleselected by Inc. magazine as the founders of the fastest-growing startups in 2015, Timberland CLASSIC Boat shoes navy VJEb5fw
. Consistent with these findings, Paul Graham,acofounder of Y Combinator, once quipped that “the cutoff in investors’ heads is 32… After 32, they start to be a little skeptical.” But is this view correct?

Debunking the Myth of the Young Entrepreneur

Our team analyzed the age of all business founders in the U.S. in recent years by leveraging confidential administrative data sets from the U.S. Census Bureau. We found that the average age of entrepreneurs at the time they founded their companies is 42. But the vast majority of these new businesses are likely small businesses with no intentions to grow large (for example, dry cleaners and restaurants). To focus on businesses that are closer in spirit to the prototypical high-tech startup, we used a variety of indicators: whether the firm was granted a patent, received VC investment, or operated in an industrythat employs a high fraction of STEM workers. We also focused on the location of the firm, in particular whether it was in an entrepreneurial hub such as Silicon Valley. In general, these finer-grained analyses do not modify the main conclusion: The average age of high-tech founders falls in the early forties.

The preferences tab will be more visible and more intuitive, allowing people to find Pages and people to like and follow, and easily selecting to follow/unfollow certain content.

Facebook now considers more actions on videos while ranking videos in the News Feed 26 Anya Hindmarch Lace jZ1Ble
, 2015
.

Facebook found that many people don’t feel inclined to Like, comment on, or share a video even when they enjoyed the video.

So besides considering whether someone watched the video and for how long, Facebook is now taking into account of more actions such as choosing to turn on the sound, watching the video in full screen, and enabling high definition. These actions indicate that they enjoyed the video.

How may this affect your Page? If your followers like the videos that you post, this update will help them see your videos more often in their News Feed.

How much time you spend viewing stories becomes a factor that Facebook uses to determine what to show at the top of your News Feed 27 Facebook , 2015 .

While many people might not Like, comment on, or share a post that they found meaningful, they would likely spend more time on it than other posts. Hence, Facebook is taking this as a signal for ranking Facebook posts.

By understanding what types of content someone prefers, Facebook can surface similar types of content higher up in their News Feed.

How may this affect your Page? Facebook does not expect Pages to see significant changes in terms of reach. But if you want to improve your Facebook reach, making your content engaging could help.

Facebook is rolling out three updates to improve the experience of the News Feed 28 Facebook , 2015 .

The first is for people who do not have much content to see — maybe because they don’t follow many people or Pages. Facebook used to have a rule that prevents people from seeing multiples stories from the same source in succession. They are now relaxing the rule so that if you reach the end of your News Feed but still want to see more stories, you’ll see more.

The second is to show posts from friends you care about, higher in your News Feed so that you are less likely to miss them. If you read and interact with posts from Pages, you’ll still see them on your News Feed.

The third is to reduce or remove stories about friends liking or commenting on a post, such as this:

How may this affect your Page? You’ll likely see a fall in reach as posts from friends will be prioritized before posts from Pages.

Facebook to update the way Page likes are counted, removing the likes of memorialized accounts and deactivated accounts 29 Facebook , 2015 .

How may this affect your Page? It’s possible that you might see a small decline in the overall Likes for your Page once this update occurs.

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