A 10-year-long program was launched on Friday by the Communist Youth League to encourage young adults to start creative new businesses, according to the group's Central Committee.

The CYL will launch a competition to select entrepreneurs younger than 40 years, whose startup business ideas will then be supported through consulting, accommodations and financial aid.

The highest award in the competition is 1 million yuan ($160,500) before tax.

"This competition will be market-oriented," said Qin Yizhi, first secretary of the CYL Central Committee. "Market application will be a very important standard during the review process. We will also look to support programs featuring high-tech."

Lin Yifu, former chief economist and senior vice-president of the World Bank, said that China will enjoy at least 20 years of fast growth, and this growth needs fuel from the youth and their creative minds.

"The youth have a risk-taking spirit. They have new ideas. And they also have the most advanced knowledge. These are the reasons why we think they hold the key for future development," Lin said.

Jiang Nanchun, founder of Focus Media, said that entrepreneurs need to figure out their chances and advantages before they start.

"For example, in mobile Internet fields, investors are only interested in youngsters who were born after the 1990s, because they are sharp in this field," Jiang said.

"For those born after 1970, I would say you can try industries that need your experience. It is quite important to know what you are good at than following a path blindly."

"Startups should never be afraid of failure. There is no failure," Jiang said. "You can always get something from building your own business. Many got money, some got reputation and experience."