Why Teens Should Develop An Entrepreneurial Mindset

Forbes

23-06-2025

Sarah Hernholm with WIT Teens speaking at SXSW EDU
Teen entrepreneurship often gets reduced to viral success stories: young CEOs raising millions, app creators selling to tech giants, or social media stars monetizing their following. These narratives create a dangerous misconception that entrepreneurial success equals rapid financial gain, when the real foundation lies in developing an entrepreneurial mindset that shapes how young people approach challenges, relationships, and life itself.
Sarah Hernholm, founder of WIT (Whatever It Takes), has spent 15 years working with more than 10,000 young entrepreneurs. Through this experience, she observed a troubling pattern: Teens often burn out if they are chasing dollar signs or using entrepreneurship as a resume for college applications . However, those who focus on developing an entrepreneurial mindset build sustainable success.
Nashville, TN, Sarah Hernholm on local Channel 2 news
"At WIT, we've learned that the students who succeed long-term aren't the ones chasing the biggest profit margins," Hernholm explains. "They're the ones who develop resilience, problem-solving skills, and genuine curiosity about the world around them. Those are the capabilities that create lasting success, whether they become business owners or choose completely different career paths."
Why Money-First Thinking Undermines Entrepreneurial Mindset
Consider the typical teen entrepreneur journey: They identify a trendy business opportunity, focus on potential revenue, and measure success through immediate financial returns. When the business requires more time and effort than expected—which it always does—they abandon the project.
"If you're solely driven by the prospect of making money, you're likely to miss out on the deeper joy that comes from pursuing something that truly matters to you," Hernholm says. "It's easy to get caught up in the idea of creating something big and profitable, but if your heart isn't in it, you're not going to enjoy the process, and the business will likely fall short of your expectations."
This money-first approach creates several problems:
Misaligned motivation: Teens choose opportunities based on profit potential rather than personal interest or market need.
Unsustainable effort: Without genuine passion, maintaining the energy required for business growth becomes impossible.
Shallow learning: Focusing on financial outcomes prevents deeper skill development in problem-solving, leadership, and resilience.
What Entrepreneurial Mindset Actually Means
Entrepreneurial mindset encompasses specific cognitive and emotional capabilities that extend far beyond business creation:
Problem identification and solution development: Entrepreneurs spot inefficiencies and imagine better systems. This skill applies to academic challenges, relationship conflicts, and community issues.
Resilience through setbacks: Business ventures involve inevitable failures. Learning to separate personal worth from failed business outcomes builds emotional strength applicable to all life areas.
Resource optimization: Entrepreneurs maximize limited resources. This translates to better time management, creative project approaches, and strategic thinking in academic and personal contexts.
Customer empathy: Understanding others' needs and perspectives improves communication, collaboration, and leadership abilities.
"At WIT, we focus on building character and a mindset that will help teens thrive no matter what path they choose," Hernholm explains. "We want teens to understand that entrepreneurship is about a journey of growth. If your mindset is rooted in learning, resilience, and passion, you're going to find success, no matter how long it takes or what shape it takes."
These abilities matter beyond business creation. According to the World Economic Forum, creativity, critical thinking, and resilience rank among the top 10 skills employers will prioritize—all components of entrepreneurial thinking.
WIT Coach Dr. Erin Rhae Biller and WIT founder Sarah Hernholm present a check to winners of a ... More California WIT Hackathon.
How Entrepreneurial Mindset Applies Beyond Business
Entrepreneurial mindset shapes how teens approach challenges across all life domains:
Academic performance: Instead of viewing difficult assignments as burdens, teens with entrepreneurial thinking see them as problems requiring creative solutions. They break large projects into manageable components, seek resources proactively, and adapt when initial approaches don't work.
Social relationships: Entrepreneurial teens develop communication skills through customer interactions, team management, and conflict resolution. These experiences enhance their ability to build meaningful relationships and navigate social dynamics.
Personal development: The entrepreneurial process requires self-awareness, goal-setting, and continuous learning—skills that support personal growth throughout life.
"The entrepreneurial mindset isn't just about becoming a business owner—it's about approaching life with a mindset that empowers you to face challenges, solve problems, and pursue what truly excites you," Hernholm notes. "Whether it's learning to pivot when a business idea doesn't work, or staying calm under pressure during a difficult situation, these skills can enhance every part of a teen's experience."
Building Entrepreneurial Mindset Through Daily Practice
Parents and educators can foster entrepreneurial thinking through specific approaches:
Ask different questions: Instead of "How was school?" try "What problem did you notice today?" or "What would you improve if you could?" This trains teens to spot opportunities, rather than just complete assignments.
Change the attitude to failure: Create family discussions around setbacks and lessons learned. When teens understand that failure is how you learn and grow – that it provides valuable data, rather than reflecting personal inadequacy, they develop resilience.
Provide real responsibility: Assign teens genuine decision-making authority for family projects, from vacation planning to budget management to financial planning. Autonomous experience builds confidence and problem-solving skills.
Encourage unstructured exploration: Resist over-scheduling. Creative solutions often emerge during unstructured time when minds can make unexpected connections.
Hernholm emphasizes the importance of authentic engagement: "We create an environment where teens can explore what they truly care about, whether that's addressing environmental challenges, developing new technologies, or building social enterprises. We help teens develop the confidence to pursue these ideas, not for the sake of profit, but because they are genuinely passionate about the change they want to see in the world."
Sarah Hernholm with students at Westwood Elementary School.
The Career Benefits of Entrepreneurial Mindset
Teens who develop entrepreneurial mindset early gain lasting advantages regardless of their eventual career paths:
Career adaptability: As automation transforms job markets, entrepreneurial skills become increasingly valuable. Teens who think creatively and adapt to change will thrive in uncertain environments.
Leadership readiness: Organizations seek employees who take initiative, solve problems independently, and communicate effectively—all entrepreneurial abilities.
Life satisfaction: People with an entrepreneurial mindset tend to create more fulfilling careers and personal lives because they actively shape their circumstances rather than simply reacting to them.
"If you're building something that excites you, you'll naturally find the energy, creativity, and persistence to keep going—even when things get tough," Hernholm explains. 'That's the kind of success that truly lasts.'
Why Entrepreneurial Mindset Matters More Than Headlines
I've seen this principal confirmed through my own research for my book, Raising an Entrepreneur, where I interviewed 70 successful entrepreneurs and their parents to see how they were raised. Time again, I discovered that parental support of children's authentic interests and strengths serves the foundation for entrepreneurial success, and that supporting your child's genuine passion matters more than pushing traditional markers of achievement. When parents encourage curiosity and problem-solving, while allowing self directed learning, they help teens develop the confidence to take calculated risks and overcome setbacks. They become resilient problem solvers and creators.
While the media celebrates teenage millionaires and unicorn startups, the real entrepreneurial success stories often look different. They involve teens who identified problems they cared about, developed solutions with grit and persistence, and built skills that serve them throughout their life.
These stories don't generate viral content, but they create lasting impact. Teens who develop an entrepreneurial mindset through authentic interest and sustained effort build foundations for lifelong success—whether they become entrepreneurs, employees, or community leaders.
Hernholm concludes, "Entrepreneurship is about building a life you can be proud of, one that aligns with your values and passions. When teens learn to embrace failure, adapt, and keep moving forward, they build emotional resilience that carries them through life's ups and downs."
For teens considering entrepreneurship, the question shouldn't be "How quickly can I make money?" but rather 'What problems do I want to solve?' and "What do I want to improve?" The answer to those questions will determine not just business outcomes, but the trajectory of their entire lives. Because an entrepreneurial mindset shapes not only how we build businesses, but how we navigate every challenge and opportunity that comes our way.