This paper examines the relationship between job mismatch and entry into entrepreneurship, testing whether the latter helps individuals escape mismatch and increases their job satisfaction. We consider different types of job mismatch, distinguishing between horizontal mismatch (when a person’s job is not consistent with their field of study), vertical mismatch (when a person’s job is not aligned with their level of education), and wage mismatch (when a person’s pay is lower than that of their peers). We also consider different types of entry into entrepreneurship, distinguishing between self-employment and new business creation. Using data from a longitudinal survey of 102,085 college graduates in the labor force, followed in the first five years after graduation, we show that vertically or wage mismatched individuals are more likely to be self-employed and – to a lesser extent – to start a new business than their non-mismatched counterparts. However, mismatched individuals who start a new business are significantly more satisfied than those who engage in self-employment or change occupations.