Young Entrepreneurs in Kurdistan: Breaking Barriers and Driving Change 

Written by Soleen Soran 26/04/2025

Executive Summary 

This interview-based research explores the rise of youth entrepreneurship in the Kurdistan Region of Iraq (KRI), highlighting its growing role in shaping the local economy. As Iraq continues to transition into an emerging economy, entrepreneurship is becoming an increasingly important force for economic growth, job creation, and innovation. Due to a lack of data on the entrepreneurial landscape in the KRI, iNNOV8 conducted interviews with a number of young entrepreneurs working across diverse fields such as fashion, art, sports, and food, to shed light on the challenges, opportunities, and insights of business owners in the region. 

Introduction

An entrepreneur is an individual who initiates, organizes, and manages a business venture. This role involves identifying market opportunities, developing innovative products or services, and finding resources to establish and grow the business. They take on the risk of starting and running a business venture with the prospect of making a profit. Entrepreneurs are among the most active drivers of the economy these days.1 

Entrepreneurs produce new products and goods, create employment, and advance innovations and technology. These all lead to growth in the economy, which is why many countries initiate entrepreneurship programs and funds to increase the number of competitive entrepreneurships in their region.2 

Iraq is a country with an emerging economy, according to the International Monetary Fund.3 An emerging economy is a region with developing economic growth. Many developed countries are eyeing these countries because of their transition from low-income to high-income status and their potential to play a crucial role in global trade and investment. To help with the development and increase of economic growth, a look at different sectors, and entrepreneurship efforts paints a better picture of hopeful growth. In a growing region like the KRI, many young people are turning to entrepreneurship, often due to the lack of employment opportunities.4

This paper investigates the growing trend of youth entrepreneurship in the region through a series of case studies, to understand the potential benefit to the overall economic prosperity they bring to their regions.

Aga Abdulla

Founder of: Suli Lace, a Kurdish clothing brand.  
Location: Sulaymaniyah



1. Why did you start your business, and what difficulties did you face at the beginning?   

I started Sulilace because of my passion for dresses and fashionable pieces that I originally wanted to make for myself. I wanted to build a career doing something I truly love. Difficulties are always part of the journey toward our goals. The key is learning how to face each challenge, grow from it, and move forward. It’s those struggles that shape us and our business. 
In the beginning, the biggest challenges were balancing everything—sewing, marketing, content creation, and managing orders—all by myself. Finding the right materials and gaining visibility in a competitive market were also difficult, but once I narrowed down my niche, things began to shift, and the business started to grow. That’s why I always recommend that anyone starting out should define their niche clearly—it helps you reach the right people and makes everything else more focused. Additionally, financial limitations made it hard to invest in proper branding, photoshoots, and scaling production. 

2. What are the biggest challenges for young entrepreneurs like you in the KRI today?   

The biggest challenge for young entrepreneurs in the KRI is the lack of understanding and support for startups. There’s still not enough infrastructure or guidance, and most people don’t fully understand what it takes to build something from scratch. 

3. How do your family, community, and society view you as an entrepreneur, and how has that affected your journey?   

My family and close friends support me, which has been very encouraging. However, in our society, there’s still a mindset that running a fashion business isn’t as “serious” as a traditional career. Some people assume that fashion is just a hobby rather than a business that requires strategy, hard work, and financial planning. This perception sometimes makes it harder to be taken seriously. But overall, the growing interest in local brands is changing these attitudes, and more people appreciate the work behind fashion entrepreneurship. 

4. How do government policies, funding programs, or business incubators (organizations that help new business startups) help or make things harder for your business?   

There are some initiatives like free showroom spaces for startups, which can be helpful. And there are a few funding programs and business incubators, but most of them are geared toward tech-related businesses, which often leaves creative fields like fashion overlooked. There’s a real gap in support for other industries. Also, there’s little regulation protecting small businesses from market fluctuations or unfair competition. If there were more accessible grants, and business training programs, it would be much easier to grow. 

5. Have you received grants or loans from international organizations in KRI? How was the process, and was it useful?   

No, I haven’t received any grants or loans yet. However, I know there are some international programs that support women entrepreneurs and small businesses. The process to apply for these grants is often complicated, requiring business plans, financial reports, and connections to the right people. Many entrepreneurs don’t have the resources or time to go through these long processes while also running their businesses. If the application process were more accessible and transparent, more small businesses could benefit. 

6. What changes or support do you think are needed to help businesses grow in the KRI?  

  • I think we need more awareness in our community about entrepreneurship. People need to understand that there are paths outside the typical 9-to-5 job. Working on your own business isn’t less serious nor less valuable—it just looks different. 
  • Better business education: Workshops on marketing, sales, and financial management for entrepreneurs. 
  • We also need reliable international shipping services. I often receive orders from clients outside of Iraq who are interested in my designs, but unfortunately, I’m unable to ship products to them due to limited and unreliable shipping options. This prevents me from expanding globally and growing my brand beyond the local market, which is very frustrating as there is clear demand. 
  • Another major barrier is the lack of online payment systems like PayPal or Shopify, which makes it difficult to set up a proper online store or accept payments from international clients. If these tools were available here, they would open the door for small businesses like mine to scale beyond the KRI. 

Artin Barawi

Founder of: Football Friends, a football school for kids. 
Location: Sulaymaniyah



1. Why did you start your business, and what difficulties did you face at the beginning?   

My journey with Football Friends began when I was still a student at the American University of Iraq, Sulaymaniyah (AUIS). I found out that I didn’t actually want to work in business. I was more interested in football, especially youth football, so I decided I would start a youth football team called Football Friends. I had already worked as a youth football trainer before, with Brazilian coach Clovis Ferreira in Sulaymaniyah. I started reading and doing research about how youth football works in different places in the world. In 2020, I launched Football Friends in Sulaymaniyah. 
Some of the difficulties I have faced are a shortage of suitable football training venues, a lack of qualified youth trainers to collaborate with, and a generally negative approach to youth coaching in Sulaymaniyah. I have observed an excessive focus on competitiveness and “elite training” in youth clubs, driven by poor coach education, and insufficient regulatory oversight. 
At Football Friends, we prioritize an inclusive environment where winning matters but not at the cost of enjoyment, as we believe youth football should be about creating positive experiences for kids. I’m currently based in Odense, Denmark, pursuing my UEFA C trainer license. I hope to return to Sulaymaniyah in the future, where I believe I can still make a meaningful impact. 

2. What are the biggest challenges for young entrepreneurs like you in the KRI today? 

I’m hesitant to mention this, but our football school still operates without an official license from the Ministry of Youth and Sports. I’ve contacted them multiple times to explain our situation, but they’ve neither provided clear guidelines for obtaining a license nor asked us to cease operations. 
Securing a license is important to us because we’re committed to doing things properly. Without proper oversight, anyone could set up a social media page and advertise a new football club, which risks creating numerous issues. 
Additionally, youth football coaches in Sulaymaniyah face severely limited coaching education opportunities. The AFC C License is offered only once a year with restricted spots. Without sufficient trained coaches, the city cannot adequately serve the thousands of children missing out on football. 
In Denmark, about 80% of kids aged 4-16 participate in organized sports regularly. No such data exists for Iraq, but it’s clear the participation rate is far below 80%. 

3. How do your family, community, and society view you as an entrepreneur, and how has that affected your journey? 

I’d like to think that those who were close to me could feel the excitement of creating something new. Many came to our training sessions to see for themselves what we were doing. There have also been those who maybe didn’t see the vision at first, but I never paid much attention to that. 
In the first months there was a lot of anxiety, I wasn’t sure anyone would want to trust me with their own child. But luckily it wasn’t the case. We must’ve done something right because in our second year we could barely keep up with demand from parents who wanted to start their kids at our club. The parents have been amazing, and I am so grateful for the trust and support they’ve given me over the years. That relationship is very important to me, and it is something I will never forget. 

4. How do government policies, funding programs, or business incubators (organizations that help new business startups) help or make things harder for your business? 

I chose not to pursue funding programs or join a business incubator for my football school. Having just completed an entrepreneurship course at AUIS with Pat Cline, the founding director of the AUIS Entrepreneurship Initiative and a respected business development consultant. The course, which was likely the most effective incubator-style program available in Sulaymaniyah then, made me feel equipped to move forward without those options. 
Instead, I focused on building the team and hiring good people. My strategy was simple: create an appealing team, attract sponsors, and feature them on our shirts, a common funding model for football clubs. That’s exactly what happened—we secured sponsors, displayed their logos on our shirts, and promoted them on Instagram. 

5. Have you received grants or loans from international organizations in KRI? How was the process, and was it useful? 

I decided early on that I didn’t want to follow the same path as other businesses, which often treated certain revenue streams like free money. Instead, I focused on building a sustainable business where income consistently exceeds expenses. 
To boost efficiency and reduce unnecessary costs, I worked on enhancing my skills and acquiring new ones. I honed my abilities as a salesperson, social media manager, and photographer while continuing to develop as a football trainer, all to strengthen my business. 

6. What changes or support do you think are needed to help businesses grow in the KRI? 

Youth football clubs in Sulaymaniyah urgently need support. The dedicated staff at the Ministry of Youth and Sports understand the city’s heritage and culture, but they require assistance to ensure more children can play organized football on proper fields. 
A key priority is improving access to coach education. Sulaymaniyah has far too few qualified coaches for the number of young players. I tried enrolling in local coaching courses without success, ultimately pursuing my UEFA License abroad. Not everyone has that opportunity, so this must change. 
Additionally, regulatory bodies need to strengthen supervision and oversight. Currently, youth football is often driven by social media hype, with some clubs creating viral social media content to attract high-paying clients by promising pathways to European football. I’ve also observed coaches misrepresenting their qualifications to build their reputation. Greater accountability is essential.

Shilan Shaban

Founder of: Shila Pigments, a sustainable business for creating paint from nature.   
Location: Akre



1. Why did you start your business, and what difficulties did you face at the beginning?   

As an artist, I was always wondering where colors come from. Becoming a biologist opened my eyes—I discovered that a single tube of painting pigment contains more than 20 chemicals. This number doesn’t even include the packaging, which is usually plastic and non-recyclable. I always say that art should heal, not harm—and it was harming me without me even being aware of it. So, I wanted to change that by making colors from natural sources.  

2. What are the biggest challenges for young entrepreneurs like you in the KRI today?

There are definitely challenges, especially as a woman working in the art field. Appreciation for art here is very limited, so it’s always difficult to educate people about its value and importance.  

3. How do your family, community, and society view you as an entrepreneur, and how has that affected your journey?  

Thankfully, my family is very supportive. Their encouragement made me who I am today. It helped me build confidence and keep going without giving up.  

4. How do government policies, funding programs, or business incubators (organizations that help new business startups) help or make things harder for your business?  

I participated in one incubator, and I gained a lot of knowledge. It helped me understand my business better—I learned how to start, what to do, and how to grow.  

5.
Have you received grants or loans from international organizations in KRI? How was the process, and was it useful?  

Yes, I participated in the Orange Corners Incubator, cohort 7, and I was one of the winners of the fund after pitching my idea. After the program ended, the support I received was quite helpful and really helped me get started.  

6. What changes or support do you think are needed to help businesses grow in the KRI?

We need more business gatherings where people can network with each other. As well as more collaboration, and programs that support small businesses to grow would make a big difference.

Kozhin Omed

Founder of: (Sultan Halwachy) an outdoor sweet kiosk, and (American Corn) a food store.
Location: Sulaymaniyah



1. Why did you start your business, and what difficulties did you face at the beginning?   

Since childhood, I’ve dreamed of starting my own business in the food and confectionery industry, not just to work in the field, but to build and grow a brand I could proudly promote as a Kurdish brand. After earning my degree in Business Administration, I decided to take the first steps toward that dream, applying my academic knowledge to bring my vision to life.  

2. What are the biggest challenges for young entrepreneurs like you in the KRI today?

Entrepreneurs face a lot of challenges and hardships when they first start out because there aren’t a lot of experienced entrepreneurs around them who can guide them in this field. Some of the challenges I faced are: 

- Difficulty finding reliable sources of information and a general lack of useful data on entrepreneurship work. 

-Limited access to suitable workspaces. 

-Complicated government laws and regulations that make it harder to start new businesses. 

3. How do your family, community, and society view you as an entrepreneur, and how has that affected your journey?   

My family, community, and friends have had a positive impact on the growth of my work. In the early stages, they played a key role in helping me introduce my business to their networks and those around them. 

4. How do government policies, funding programs, or business incubators (organizations that help new business startups) help or make things harder for your business?   

Government policies have often created challenges for me in the process of starting my own business. In short, government procedures and institutions tend to hinder rather than support entrepreneurs. 

Some of the main difficulties include: 

- Lack of financial support and tax incentives for new independent businesses. 

- Inconsistent access to basic services such as water and electricity. 

- Sudden changes in laws and regulations that create uncertainty and instability. 

5. Have you received grants or loans from international organizations in KRI? How was the process, and was it useful?   

No, I have not received any loans or grants from international organizations, nor have I benefited from such support to develop my business. This is largely because these organizations do not openly promote their services or announce opportunities in a way that makes it clear where or how to apply for financial assistance. Such support processes are crucial for new businesses, as they help encourage and empower young people who are considering working independently. 

6. What changes or support do you think are needed to help businesses grow in the KRI?  

For young people like us who are just starting to create new jobs, support from the government, organizations, and banks is essential for developing our independent businesses. Each of these institutions can play a vital role in making our work easier by providing long-term loans, resources, and opportunities for growth.

Conclusion

Entrepreneurship is the engine that will push the emerging economies forward. As the state of the developing world quickly grows, the KRI cannot stay behind. Here are some of the key insights from the case studies: 

  • There is a lack of systemic support, including no clear government instructions and assist in gaining licenses, limited access to funding, a lack of clarity on how to apply for grants and loans, weak startup infrastructure, complicated regulations, and a lack of support for non-tech industries like art, fashion, and food. 
  • The entrepreneurs all emphasized the importance of following a personal passion; whether it's art, sports, fashion, or food while starting a business.  
  • Identifying a clear niche is a critical factor in making a business focused, sustainable, and easier to market. 
  • Becoming an entrepreneur will require taking on multiple roles outside of your expertise to run the business. 
  • Family and close community support play a crucial role in emotional support and building an audience. 
  • There's a call for increased societal understanding that entrepreneurship, especially in non-traditional fields like fashion or art, is a profitable and sustainable career path. 

Authors Note

The text of the interview answers was kept original to reflect respondents' true feelings, motives, and challenges.  

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  4. Zarkua, Tatia & Heijman, Wim & Benešová, Irena & Krivko, Mikhail. (2025). Entrepreneurship as a driver of economic development. Entrepreneurial Business and Economics Review. Read More ↩︎
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