When people think about why entrepreneurs want to grow their businesses, the answers usually seem obvious: more profit, a larger customer base, or a bigger market share.

However, research conducted in the Free State suggests the answer may be far more personal than we think. With South Africa’s unemployment rate at 32.7% and youth unemployment at 45.6%, small, medium and micro enterprises (SMMEs) are widely expected to play a central role in creating jobs and stimulating economic growth. Yet it has been recorded that SMMEs are not creating as many jobs as expected due to their limited growth, thereby limiting their contribution to employment creation. This raises an important question: what motivates entrepreneurs to grow? Surprisingly, the research found that the strongest driver is not profit, market share, or financial reward. It is excitement ̶ the thrill of exploring new opportunities, tackling challenges, and growing a business.

To grow, or not to grow

This finding emerged from research involving 354 SMMEs in the Mangaung Metro and Thabo Mofutsanyana municipalities. The study sought to understand why some entrepreneurs are eager to expand their businesses while others are content to remain at their current size. The distinction is important because growth is not automatic. A business owner may operate a successful enterprise for many years without any intention of expanding, while another may constantly seek new opportunities to expand despite facing challenges. Understanding these intentions matters because South Africa’s economic future is closely linked to the success and growth of small businesses.

The research found that entrepreneurs are more likely to pursue growth when they have a positive outlook on expansion, feel supported by the people around them, and believe they have the capability to succeed. Among these factors, attitude proved to be the strongest driver. Entrepreneurs who saw growth as an opportunity for progress and achievement, rather than an increased workload or additional source of stress, were more likely to aspire to grow their businesses. 

Support from family members, friends, business partners, and employees also played an important role. Entrepreneurs do not make decisions in isolation. The encouragement and expectations of those closest to them can shape important business decisions. Confidence in one’s own ability to manage growth was another key factor. Entrepreneurs who believed they could successfully navigate the challenges associated with expansion were more likely to pursue it.

Perhaps the most surprising finding emerged when entrepreneurs were asked why they wanted to grow. Several possible reasons were explored, including increased earnings, competitiveness, customer service, strategic planning, and making better use of existing resources. Only one factor stood out: excitement. In other words, many entrepreneurs are not driven solely by financial gain. They are motivated by the journey and experience itself. 

What this means for policy and universities

The implications extend beyond individual businesses. For policymakers, business support organisations, and educational institutions, the findings suggest that encouraging entrepreneurship requires more than providing finance or technical training. While these remain important, they may not be enough on their own. Entrepreneurship is also about passion, curiosity, creativity, and the satisfaction that comes from turning ideas into reality.

Entrepreneurs also need environments that inspire confidence, foster meaningful connections, and make the entrepreneurial journey engaging and rewarding. Mentorship programmes, business incubators, entrepreneurial networks, and opportunities to learn from successful role models can all contribute to building this positive environment.

For universities, the findings highlight the importance of designing courses and creating learning experiences that help students see entrepreneurship not only as a career option but also as an exciting pathway for innovation, problem-solving, and social impact.

The research also reminds us that business growth is not driven solely by economic conditions. Human factors matter. How entrepreneurs think, how they feel, and who supports them can be just as important as access to funding or market opportunities. If South Africa wants more businesses to grow and create jobs, we need to pay greater attention to the people behind the businesses.

Sometimes, the spark that drives growth is not profit. It can simply be the excitement of what might be possible.