In addition to the unique perks, millennials in particular are flocking to these burgeoning companies for a wide variety of reasons. Whether it’s because of trust, politics, or social impact, there is no telling what this shift could mean for the future of business.

Transparency

The new generation of workers demands transparency in the workplace. While this is difficult to find in a large company, it’s just the “nature of the beast” when it comes to startups. A small group of people communicate and collaborate every day, all day, and everyone knows what everyone else is doing, thinking, working on, etc. Decisions can be made quickly and with everyone involved in the process. There are few secrets in startups. Everyone understands where the company is, where it is going, and the challenges that lie ahead. And that is a huge draw for millennial workers.

Risk

The claims that millennials are not prone to take risks are largely exaggerated. However, according to data, 60% of millennials stay with a company less than three years and take the risk of moving about in the employment field at will. Startups are attractive. They will take a risk, and if the “runway” continues, and the funding keeps coming, they have a chance to be in on the exciting ground floor of something that becomes much bigger.

Having Impact Early On

There is no better way to make a difference than by joining a startup. Climbing the corporate ladder means years of working toward a leadership position, and this is frustrating for talented people who want a chance to get in there and impact the growth and success of a business.

The Financial Incentive

Salary will definitely be lower when someone joins a startup. But for those individuals who think long-term, the opportunity to have an equity position in the company has the best potential for big returns. Seven individuals joined Jack Taylor when he began Enterprise Leasing in earnest in the 1960’s. Today, these “Seven Dwarfs,” as they are called, are multi-millionaires. The same can be said of those who joined Apple, Google, and Facebook early on.

More Career Control

Lots of people consider themselves generalists. They may have a broad range of tech skills, but they also have a passion for promoting and working one-on-one with clients/customers. Large organizations tend to pigeonhole people into very narrow career paths. This is frustrating for a generalist who can find the flexibility of responsibilities he seeks in a startup.