Risk-taking. It is the secret sauce behind many successful young entrepreneurs.

When you are young, you have a unique advantage. You have the time to recover from mistakes. Mistakes become learning experiences, not setbacks that define your career. This mindset allows young entrepreneurs to take risks that older, more established business people might shy away from, even if they know it could lead to even greater success.

The Burden of Success

Older individuals often carry the weight of their existing success. Think about Iowa football coach Kirk Ferentz. Ferentz has a track record of success that is beyond what most coaches can only dream. He is on track to become the all-time winningest coach in the Big Ten. However, despite this success, he struggles in the biggest games against top-ranked teams. Why? Because his conservative approach does not play well against the elite competition. It is not that his team lacks talent or that he lacks knowledge. It is that his success has become a double-edged sword—making him wary of taking the calculated risks needed to level up. Just like his decision not to go for it on 4th and less than a yard at midfield during the Ohio State game this past weekend.

Young entrepreneurs, on the other hand, do not have the burden of decades of success holding them back. They have a natural inclination to explore, learn, and take risks. That does not mean they throw caution to the wind. Successful risk-taking is about making informed decisions based on thorough research and planning. It is about calculating the downside and having the grit to pursue an opportunity despite the risks.

Calculated Risks: A Real-World Example

One of my top clients exemplifies this mindset. He constantly assesses opportunities, follows the lead of incredibly successful individuals, and does not shy away from taking calculated risks. His approach has led to amazing success, and he is not even 30 years old yet! He did not stumble into success; he embraced risk, made informed decisions, and took action when others hesitated.

The Courage to Follow a Dream

I have also seen this willingness to risk up close. A former law partner of mine walked away from a well-paid law practice with us to follow his dream of building businesses. I am so proud that he is already finding terrific success, and I could not be happier for him. Some people questioned his move. After all, he had a great job, one that many lawyers spend their entire careers trying to achieve. But he knew that if he did not take the chance now, he might never do it. I admire him greatly for that decision. It was not easy, and it certainly was not the safest choice, but it was the right one for him. By taking that step, he opened the door to the kind of success that only comes when you are willing to embrace risk and step into the unknown.

Learning from the Young and Bold

This is the kind of risk-taking from which older, successful individuals can learn. Success can often create a comfort zone that discourages further exploration. The fear of losing what one has built becomes greater than the desire to achieve something more. But just like Coach Ferentz, sticking to a conservative game plan can limit potential. The real threat is not risk; it is the failure to take bold action.

The Key Takeaway: Risk Wisely

So, what is the takeaway? Taking risks does not mean being reckless. It is about knowing when to push the envelope based on solid information and a clear understanding of the possible outcomes. It is about knowing when to lean on advisors. It is about assessing the landscape, much like my client does, and making the call to go for it when the odds are in your favor.

Playing to Win

In business, just as in sports, the winners are often the ones who take smart, calculated risks. They learn from mistakes, adapt, and keep pushing forward. The willingness to risk is not just a young person’s game; it is a mindset. It is about having the courage to step out of your comfort zone and play to win, not just to avoid losing.

Young entrepreneurs have this courage because they know they can recover and learn from their mistakes. Older business people can have it too. It just requires breaking free from the trap of past success and embracing the possibilities that come with calculated risk-taking.