|Age||Percentage of Applicants||Operating Expense||Annual Revenue||Age of Business (months)||Approval %||Personal Credit Score|
When comparing small business funding between Millennials and Baby Boomers, the latter, i.s. Baby Boomers receive a higher approval rate than their younger counter parts. The reason is simple as, according to Biz2Credit, funders like to award capital to organizations having at least 3 years or 36 months of performance history. In addition, Personal Credit Score and Annual Revenue also comes into play with obviously the higher score being the most beneficial.
Around 75% of the applicants were between the ages of 30 and 60 with the older / often more experienced group gaining a higher rate of approval. Since there is no data on specifics (i.e. does a 25 year old entrepreneur with 50 months of business experience and a high revenue and credit score have a better chance of winning funding versus a 60 year old with less experience and revenue), we can only assume that the more experience and success you have, the more likely you can achieve funding.
Although bank funding is hard for young business owners, it is not impossible to find capital. According to Forbes, Millennials are “more likely to get that funding from non-bank lenders that charge higher interest rates. They must strive to maintain solid credit scores and solid performance over time in order to get access to capital at better rates and terms.”