It has been acknowledged that individuals who exit from entrepreneurial activities often enter the start-up process again (serial entrepreneurship). During entrepreneurial engagement individuals gain entrepreneurship-specific knowledge, skills and experience which they may re deploy in other initiatives after the exit. The present paper postulates that individuals who have experienced an entrepreneurial exit are likely to develop entrepreneurial ability, which may be a stimulating force to re-engage in entrepreneurship. We argue that the quality of an exit experience matters for the extent to which an entrepreneurial exit experience fosters entrepreneurial ability and subsequent (re-)engagement. The quality of the exit experience is captured by the specific exit reason (distinguishing between 8 exit types) and by a country’s stage of development.