Innovation

Considerations for new business founders living with a disability

A photo of Gus Alexiou. He faces the camera and is wearing a black collared shirt.
Gus AlexiouJuly 9, 2024
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Entrepreneurship holds a lot of promise for people living with a disability who want to avoid some of the barriers involved with traditional employment. It also allows people to adopt a highly personalized approach to their wellbeing and primary source of income.

Diego Mariscal, who lives with cerebral palsy, is an internationally recognized disability champion and serves as founder and CEO of 2Gether-International (2GI). Mariscal firmly believes that if navigated correctly, entrepreneurship can be an excellent and affirming life choice for individuals with disabilities.

“Entrepreneurship is an option where disabled people can construct an environment that works for them,” explains Mariscal.

“In a corporate setting, you have to adapt to what the expectations are from someone else. Whereas in entrepreneurship, yes, it's going to be hard, difficult with long hours, but you can set it up in a way that is most beneficial to you and the needs of your particular condition.”

Why people with disabilities choose entrepreneurship over employment

The reasons a disabled person might choose an entrepreneurial path are highly individualized and multifaceted. In general, self-employment and entrepreneurship offer a certain degree of autonomy and a way to overcome some of the disability-related barriers associated with traditional employment.

These may include but are not limited to:

  • Discriminatory recruitment processes
  • Negative attitudes amongst employers
  • Co-workers who may lack disability awareness
  • Inflexible work patterns that don’t align with managing long-term health conditions

Although business ownership may represent a highly accessible path, this doesn't mean it’s the easiest option. Before opting to take the plunge into the highly rewarding but irrefutably demanding world of entrepreneurship, there are a few challenges and considerations to take into account.

We shouldn’t just be talking about the challenges and this difficult environment for disabled founders but also the ways in which disability can be a competitive advantage, and an opportunity for innovation that is often undercapitalized and under supported.
Diego Mariscal

Considerations for aspiring founders with a disability

It may sound obvious, but one of the first things you need to evaluate before starting a business is whether it might have a negative impact on your health.

When you’re your own boss, there are greater options for customization, flexibility and embedding accessibility into your workflow. On the flip side, the work itself can be extremely challenging in terms of time commitments, particularly throughout the startup phase. There remains the possibility of burnout, and this is not just physical.

Additionally, there is no escaping the fact that the world of venture capitalism can be brutal. According to a report last year from Access2Funding, a campaign focused on increasing VC funding opportunities for founders with disabilities, disabled business owners may be a shocking 400 times less likely to receive funding than their non-disabled counterparts.

In addition to a lack of understanding of disability amongst investors, traditional accessibility barriers may play a part in this as well. These can range from physical pitching and networking environments with poor wheelchair access to online investment portals that are inoperable with screen reading software.

As a disabled founder, you may face additional startup costs if you need to invest in assistive technology or environmental adaptations. And, if you are receiving welfare benefits on account of a disability, registering as a business owner may affect your eligibility.

Despite these challenges, entrepreneurship remains a viable choice among individuals of working age living with a disability. According to the findings of a 2022 survey undertaken by the U.S. Office Of Disability Employment (ODEP) with the U.S. Census Bureau, 3% of all business owners are disabled.

In the U.K., when taking into account neurodiversity, a report from the same year authored by the Federation of Small Businesses put this figure much higher at an impressive 25% of all business owners.

Sources of support

A sizable portion of disabled founders, whether leading innovation within disability-adjacent industries (which are far more lucrative than many investors appreciate) or working in the mainstream, end up achieving roaring success on their entrepreneurship journey.

It may take some time and research, but understanding what dedicated support is available for disabled founders and learning how to leverage it can have a significant pay-off.

Mariscal’s organization 2GI is a global startup accelerator run by and for entrepreneurs with disabilities. Since the launch of 2GI’s first accelerator in 2019, over 80 startups have participated, and these businesses have collectively raised approximately $70 million in funding from investment, revenue and acquisitions from outside investors. 2GI’s network and international community consists of over 600 founders with disabilities from 15 countries worldwide.

Another organization worth taking a look at is Disability:IN. Disability:IN runs a disability-owned business certification program for disability-owned business enterprises or DOBEs for short. DOBE certification is available to any for profit organization that is at least 51% owned by a person with a disability.

Once certified through Disability:IN, DOBEs can take advantage of competitive advantages such as preferential supply chain access via public and private sector clients with supply chain diversity commitments. Disability:IN can also provide direct introductions for DOBEs to key procurement leaders and corporate buyers.

Business grants and loans can also be a great source for injecting capital into a business, particularly if investment is proving tough to come by.

Both the U.S. Small Business Administration (SBA) and the U.S. Department of Commerce Minority Business Development Agency (MBDA) provide opportunities for grant funding for disabled business founders.

In Canada, Western Canadians with a disability can access business resources such as training and development, mentoring and one-on-one counseling through Western Economic Diversification Canada's Entrepreneurs with Disabilities Program (EDP).

Also, the Government of Canada, Canada Revenue Agency Other Business Expenses Deduction can help entrepreneurs with disabilities address costs in relation to making building premises more accessible.

All in all, jumping into the world of entrepreneurship as someone living with a disability is certainly not a decision to be taken lightly. The potential upside, both in terms of financial returns and developing a sense of purpose and enhanced self-esteem are huge, but the risks and challenges are considerable too.

Any evaluation needs to be diligent and holistic. It’s certainly worth investing time and energy at the outset to understand what sources of support are out there, so those living with a disability find the best possible chance of reaping the rewards of entrepreneurship.

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A photo of Gus Alexiou. He faces the camera and is wearing a black collared shirt.
Gus Alexiou

Gus Alexiou is a journalist and contributor for Forbes with over a decade of experience writing about disability inclusion. He covers topics ranging from social policy, workplace trends and accessibility to assistive technology and representation in the arts. He's written for many UK nationals including The Times, The Guardian, Daily Telegraph, The Independent and Daily Mail.