This study investigates the impact of early leadership experiences on innovation performance in small and medium-sized enterprises (SMEs) in China. Using Enterprise Survey for Innovation and Entrepreneurship in China (ESIEC) cross-sectional datasets, it examines the mediating role of psychological traits and the moderating effect of age in this relationship. The analysis employs fixed effects models to control for regional and industry-specific unobserved characteristics. Results indicate a significant positive relationship between early leadership experiences and innovation, with psychological traits mediating this relationship strongly in younger entrepreneurs. For older entrepreneurs, early leadership has a more direct and stronger impact on innovation. These findings underscore the importance of early leadership development in education phase and suggest that the influence and pathways evolve with age, offering particular insights into the formation and application of social and human capital in the entrepreneurial journey