🚀 De-risking Youth Entrepreneurship – What’s Needed to Unlock the “Missing Middle”? Share your insights!

Hello everyone! May name is Wanda Brandt, and I’m Communications Manager at Youth Business International (YBI), the global leader in youth entrepreneurship. For over 25 years, YBI has combined global influence with local expertise to drive economic growth and job creation through supporting and scaling youth-led businesses globally. 🌍

Today, I’m excited to share YBI’s recently published policy paper titled “De-risking Youth Entrepreneurship and Unlocking the Missing Middle – Solutions to Drive Youth-led Economic Growth”.

Who are the "Missing Middle" – and why are they key to unlocking global economic growth? 📈

While many entrepreneurs successfully launch their ventures, a significant portion struggles to scale beyond the early stages. They fall into what is known as the “missing middle”— businesses that have outgrown microfinance initiatives but remain too small, undercapitalised, or high-risk for traditional investors and banks. These businesses — often innovative and rooted in their communities — are overlooked despite their immense potential to create jobs, generate revenue, and drive sustainable economic growth.

This challenge is particularly severe for youth-led businesses, which often face additional financial and structural barriers, including limited credit history, fewer assets, and less access to investment networks.

Our policy paper outlines key strategies to close this gap and enable youth-led businesses stuck in the “missing middle” to scale sustainably, including:

  • Designing tailored financial products such as uncollateralised loans and milestone-based funding

  • Advocating for regulatory reforms and youth-friendly procurement

  • Strengthening financial literacy and investment readiness

  • Scaling structured mentoring models and peer learning initiatives

  • Supporting high-growth businesses in diverse sectors, including green, creative, and traditional industries

💡 I’d love to hear your insights on the key barriers young entrepreneurs face in your context, as well as your thoughts on strategies to unlock growth for youth-led businesses caught in the “missing middle”:

  1. What are the biggest risks or barriers young entrepreneurs face in your context?

  2. Have you seen successful efforts to support youth-led businesses caught in the "missing middle"?

  3. What support or policy shifts would make a real difference where you live or work?

I look forward to your insights! 😊

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