Former prisoners have a strong chance of successfully reintegrating into society if they pursue entrepreneurship, but a lack of structured support hampers their progress, according to research from Durham University Business School and Leeds University Business School.
The study, conducted by Pablo Munoz, Professor of Entrepreneurship, and Dr Lee Wainwright (University of Leeds), examines the challenges former prisoners face in rebuilding their lives and careers after returning to society, and the shortcomings in rehabilitation support.
Conducted via “life story research” over six months, the study follows the journeys of ten former prisoners who had engaged in entrepreneurial activities within prison and attempted to continue to do so following their release. By interviewing them over the course of this transition, the researchers could develop timelines of the key events impacting upon their reintegration to society and experiences in rebuilding their entrepreneurial identities.
One key finding is the struggle to regain personal agency - the ability to influence one’s circumstances independently. Many assume that agency is restored after release, but the research indicates otherwise. Ex-prisoners often face employer discrimination, lack of professional networks, and fractured family ties, limiting their options.
Additionally, many former prisoners experience difficulty transitioning from a highly controlled prison environment to self-employment, where they must independently manage their time, resources, and business operations. The absence of institutional structure and support upon release can make it harder for them to sustain their entrepreneurial identity and maintain the momentum gained while incarcerated.
The research highlights that while entrepreneurship can be a powerful tool for rehabilitation, its success depends on several factors. Former prisoners must have the necessary skills, motivation, and access to financial and social capital. However, many face systemic barriers, including limited education, lack of funding, and social stigma, which constrain their ability to establish or grow a business.
Furthermore, while entrepreneurship can provide former prisoners with an alternative to traditional employment, it does not automatically grant them control over their lives. Without adequate support, many struggle to navigate the complexities of running a business, leading to frustration and, in some cases, disengagement from entrepreneurial activities altogether.
With limited options for support, and little structure to help frame and develop their ambitions, some former prisoners can find it extremely difficult to establish or grow their personal agency.
The study proposes a concept called "Restorative Entrepreneurship" to bridge this gap. This framework focuses on reconstructing identity, ownership, and self-worth, connecting former prisoners with family, local organisations, and broader institutions. The goal is to balance entrepreneurial freedom with structure, increasing the likelihood of success and reducing reoffending.
Restorative Entrepreneurship emphasises not only economic activity but also psychological and social rehabilitation. By maintaining some of the structured support systems that were available in prison - such as mentorship, goal-setting, and community networks - ex-offenders can better transition into self-employment without feeling abandoned or directionless.
By maintaining a delicate balance of encouraging the freedom of entrepreneurial vision whilst also replicating the supportive structures they experienced in prison, ventures and entrepreneurs stand a better chance of flourishing, reducing the likelihood of reoffending and contributing to a better society.
To improve support, the researchers recommend:
By tailoring services to individual needs, policymakers can enhance personal agency, lower recidivism rates, and promote safer communities. The research calls for action to ensure entrepreneurship becomes a viable rehabilitation tool rather than an overlooked opportunity.
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