The purpose of this paper is to explore whether embedding authentic assessment into the university curriculum can enhance the employability of business school students. Three research questions are addressed: (1) What is the rationale for authentic assessment in the curriculum?, (2) What are the opportunities for authentic assessment to enhance the employability of students?, and (3) What are the challenges of embedding authentic assessment into the university curriculum? The findings indicate that authentic assessment has the potential to increase the employability of students graduating from university business schools. The opportunity to develop human capital, collaborate with fellow students and solve real-world problems can help students to develop and signal their employability to prospective employers. However, lecturers and administrative staff require additional time to plan and deliver modules using this form of assessment. Students also need to be convinced of the benefits of the extra time investment if the module is not a compulsory component of their degree course. Our paper proposes that authentic assessment should be utilised to a greater extent by university business schools. The benefits of such an approach can transcend students, graduates, universities, organisations, and broader society. Directions for future research are also discussed to maximise the benefits of authentic assessment and seek to reduce the barriers to embedding authentic assessment in the curriculum.