Female business ownership is on the rise. According to Forbes, there was a 114% increase in businesses owned by women between 1997 and 2017. But while female entrepreneurs have been able to increase their hold on business ownership, they still face struggles when creating and owning businesses.
In order to create a successful business, women must jump through hurdles. Here are a few issues facing women entrepreneurs:
- Raising money – In any good business, entrepreneurs need funding to kickstart and grow the company. But women tend to ask for less and receive less. Most investors tend to believe that female-led businesses are not successful. This bias can force women to use their own capital or max out credit cards to grow their business.
- A lack of support – New business owners benefit from a solid support system. Having someone in the industry who can guide them through difficult times can make the difference between an entrepreneur’s success and failure. But women tend to lack the guidance of peers and mentors when they venture into ownership.
- Pressures from family life – Women also tend to have a lack of support from their families. Balancing motherhood and business ownership can be tricky. Many women may feel they have to choose one or the other.
- Overcoming gender bias – Studies show that perceptions of women negatively affect how others react to them. This can make a difference in making deals with other companies and with raising money.
While you may face struggles when starting a business, that shouldn’t deter you from starting. There are investment firms and organizations for women in business that focus on helping female entrepreneurs. And having more female business owners paves the way for a more equal entrepreneurial world.