Digitalisation is often seen as inhibiting the potential for economic development for less-developed countries. This is also the case in Nepal. But what are young entrepreneurs� perspectives on possibilities and challenges in the country? Based on interviews with entrepreneurs and other stakeholders, it becomes clear that the overall outlook is optimistic. However, the research also identifies challenges about digital infrastructure as well as structural and policy bottlenecks. The author highlights the need for collective efforts from all concerned stakeholders and formulates policy recommendations to create a more favourable environment for start-ups.