You’ve heard this before that the traditional 40-year career path is fading. In its place are shorter stints and career journeys. Few people embody that shift, a bruising one, as clearly as Fatma Sheikh, a software engineer. “I feel like I’ve lived through at least six careers in one lifetime,” she says 

They were all start-ups, from healthcare to e-commerce, that closed down within three years because they could not shore up enough customer success; it was a segment where other companies had already cracked the code, or the company had trouble convincing investors.

“It’s been a ride…working for 12 hours a day, messages and emails non-stop, any time of day and night, high pressure, staffing problems, constant churning, salary canceled, and fraud, too,” adds Sheikh. 

GROUND REALITIES CHANGED

Lately, though, it seems, Sheikh is not the only one feeling this. 

Depending on who you ask, the allure of working for a start-up—the idea of creating something new, solving a human problem, and propelling a career to new heights—is dimming. 

Ground realities changed, and people are pivoting—some voluntarily, while others are forced.

Start-ups are high-risk businesses. Most often, start-up ideas fail to take off. According to reports, 80 percent of start-ups in the Middle East fail within the first two years. 

“A few years ago, people joined start-ups for the thrill of chasing the next big thing. The hype has quietened,” says Hannan Moti, co-founder of iCodejr, a Dubai-based coding platform. He adds that the start-up dream is maturing, and today it’s more about purpose and ownership. 

Agreeing that the “excitement is giving way to more realism”, Adil Gwiazdowski, co-founder of shortlistd.io, an AI-powered job matching platform, says, “The declining appeal, in my view, is driven by reduced funding for early-stage companies and rising lifestyle costs.”

TALENT FLEEING TO SAFER GROUNDS?

Turnover is common among juniors, but it’s rare to see senior people leave their posts at start-ups. Few are willing to take risks to work for a start-up. According to recruiters, many of those who moved to startups from traditional sectors at eye-popping hikes at the height of the start-up boom are now eager to return, even taking pay cuts. A lack of personal savings, high cost of living, and stress make it harder for people to thrive, especially early-stage ones.

Is talent fleeing to safer grounds?

“We’re witnessing a shift toward established firms offering stability and benefits,” says Gwiazdowski. “In the UAE, where 80% of start-ups fail within two years, this trend is visible with talent not willing to work at start-ups.”

He adds: “Some candidates have told us they don’t want to work at start-ups, while others ask about funding or runway before committing. This is particularly true for mid-level professionals with families who can’t afford the risk.”

A start-up’s maturity can also affect its employees. Experts say the later-stage a start-up is, the less likely it is to be on shaky ground since it has already built a foundation.

Although people are more intentional about where they work, Jen Blandos, founder and CEO of Female Fusion, a global network for women building businesses, says it isn’t start-up vs established company; it’s leadership and culture.“Talented professionals stay where they feel trusted, respected, and able to make an impact, regardless of the organization’s size.”

ANXIETY IS REAL

Experts say that structure and support systems attract better talent. One of the challenges of working at a start-up is that there are rarely “typical” work hours and stress. Some start-ups expect employees to be in the office for 12 hours and answer emails on the weekend. 

In a recent anonymous survey, 80 percent of employees said that working at their start-up had negatively affected their mental health in various ways. Fifty percent said they experienced burnout, 52 percent said they suffered from anxiety, and 10 percent admitted to having panic attacks.

Pressure and passion often coexist in start-ups, but without adequate support, they can slip into chronic stress, says Dr. Bisi Laniyan, a clinical psychologist at Sage Clinics. “Start-ups once symbolized freedom and innovation; now people are more conscious of the psychological cost of instability,” she says, adding that though many still value the creativity and purpose start-ups offer, they increasingly weigh those benefits against well-being and long-term security.

“The high tempo and blurred boundaries make mental-health frameworks essential, not optional, for innovation to thrive. When founders model balance, it sets the tone for healthier teams.”

Pointing out that traditional businesses have better management structures and support systems, Gwiazdowski says,“Start-ups, especially in their early stages, often operate in constant survival mode, leading to environments where anxiety is the norm.”

Moti adds: “Start-ups have always run on uncertainty, but the recent economic climate has made it more visible. There’s pressure — from investors, from markets, even from within. The anxiety is real.”

At the time, as the region’s start-up ecosystem is making headlines for government-backed innovation platforms and regulatory reforms tailored for entrepreneurs, factors such as reduced capital, especially for early-stage start-ups, weak management, toxic work cultures, and unrealistic expectations from employees are resulting in burnout. 

Dr. Laniyan emphasizes embedding well-being into performance metrics, and leadership training could help young firms build staying power rather than just scaling quickly.

“Many start-ups still treat resilience as a personal trait rather than a cultural strategy. The ecosystem rewards speed and disruption, yet undervalues emotional leadership and psychological safety. Growth isn’t just about capital. It’s about the capacity of people to sustain it.” 

START-UPS TEACH RESILIENCE

Working for a start-up has pros and cons, so it’s not for everybody. It entails risk. All things considered, working for a start-up vs an established company can make a meaningful difference in your day-to-day job and how your career path unfolds. However, observers say that the impact, pace, and variety of work a start-up provides are compelling reasons for someone to learn a lot quickly.

“Some people are choosing stability over risk, and that’s fair,” says Moti. “I spent over a decade in banking and corporate life before founding iCodejr, and I can tell you start-ups teach you resilience. The learning curve is steeper, but the personal and professional growth is unmatched.”

While many professionals are prioritizing balance—they want more time, freedom, and a better quality of life, and that means joining established companies with stability and benefits, Blandos says start-ups still “attract those who thrive in fast-moving environments, value flexibility, and want to be part of building something meaningful from the ground up.”

To reverse the trend, the start-up ecosystem needs fundamental repair. While the race to attract and retain top talent has never been a defining strength of start-ups, Blandos argues that the real issue lies in the inconsistent support available to early-stage founders.

Too much capital is funneled into a handful of high-profile ventures chasing quick returns, while smaller businesses—the backbone of the economy—struggle to secure even modest funding, fair contracts, or timely payments, she says. “If even a fraction of that attention and investment were redirected toward the long-term development of SMEs, we’d see a healthier, more resilient start-up ecosystem.”