Female Entrepreneurs Are a Major Driver of Business Startup Growth

Americans have started more new businesses last year than ever since data collection started and female entrepreneurs are a major driver of that growth.

New data from my company, Gusto, shows that women started half of all new businesses in 2023. This is compared to a mere 29% in 2019. Women-led businesses have proven uniquely resilient to tough economic conditions like persistently high inflation and interest rates, and they generated $2.7 trillion in revenue last year. 

For women, flexibility is the No. 1 reason for starting a business.  They want to have the freedom to decide how they work.

At Escape From Corporate America (EFCA), we have known this to be true since 2003 on the flexibility and freedom parts of Gusto's findings.  Here's what I said in 2003 when EFCA was launched:

"They [women] want freedom, flexibility, recognition, more money, and opportunities to leave a legacy -- all the things they once thought they would find within corporations."

Read the full article to learn how female entrepreneurs are a major driver of business startup growth.

It's Never Too Late to Pursue Entrepreneurial Dreams

Notably, women over 40 – mid-career women – are starting businesses twice as fast as men. Using their corporate experience and networking abilities, they identify untapped opportunities.

Unwilling to be confined by the corporate ladder, they flourish in the retail, healthcare, and professional services sectors. They constantly push boundaries and prove convincingly that female entrepreneurs can also excel in traditionally male-dominated industries.  

Most importantly, they showcase that it’s never too late to pursue entrepreneurial dreams.

Happy Mother's Day to All Mompreneurs

©2024 Laurel J, Delaney.  All rights reserved.

Happy Mother's Day to all, especially mompreneurs!  Mothers are living metaphors of love who believe in only giving and not expecting anything in return. So, this Mother’s Day, let us honor their contribution and provide them with a chance to bask in the glory of their achievements as a mother and a businesswoman.

Etsy Mother’s Day 2024 is a good day to take inspiration from mom entrepreneurs who have been juggling motherhood and running a business.  Consider “the women” (in all forms) out there to excel even in the business sphere, like; being more creative, selling online, building a brand, and being famous worldwide.

Note:  80% of female entrepreneurs sell on Etsy, out of which many are mothers.  

Here's a list of some of the most wonderful women entrepreneurs on Etsy and their stories of how they made it into the world of eCommerce.

How to Succeed as a Woman Founder

How to succeed as a woman founder?  The founders of SoulCycle, Poppi, Halfdays, and more offer their best 5 pieces of advice for female entrepreneurs – from what to read — and what not to read — and how to use social media.

Topics discussed ranged from what to do if a male VC laughs you out of the room (in this case, go your own way and get a loan to start your business) to how to fix your company's Target display.

They've got you covered.

America's Richest Self-Made Women 2023

Female entrepreneurs.  Women business leaders.  Those who have made it and those who aspire to make it.  These women are driving change, transforming business and making a significant impact on the world. 

Collectively, the 100 women on the list have a record high net worth of $124 billion, up 12% from last year. List members have built careers in a range of industries, including healthcare, entertainment, financial services and technology. 

AI is already having an impact, helping drive up the fortunes of semiconductor firm AMD’s CEO Lisa Su, who is preparing for battle in the coming AI revolution against Nvidia, and Insitro CEO Daphne Koller, a computer scientist whose South San Francisco firm is using machine learning to develop drugs more quickly.

Read on to find out who the top 100 women are.  Full list here.

Take Advantage of Every Funding Opportunity, Including SBA Loans

Although female entrepreneurs and women-owned businesses have been on the rise in the country, the disparities — especially for minority women — within the American workforce are still stark compared to male and male and female-owned businesses. Here are some statistics on women-owned businesses: 

• 22 percent of employer firms were owned by women.
• 48 percent of nonemployer firms — meaning the business had no employees — are owned by women.
• Women-owned businesses are more likely to rely on funds from personal sources, such as family and friends and savings.
• 32 percent of women-owned businesses were zero to two years old versus 16 percent of male-owned businesses. 
• Women-owned businesses make up 42 percent of all businesses in the U.S.
• Globally, women account for roughly one in three of all high-growth entrepreneurs.

In 2022, 63 percent of women entrepreneurs surveyed said they expect revenue to increase in the upcoming year and 47 percent plan to expand their business. 

Learn more about how the SBA helps women overcome financial barriers and fulfill their dreams, making it a good place to begin your search for funding.

Find Ways to Support and Encourage Other Women Entrepreneurs

Here are 3 questions to ask yourself that the author [Tanya Dalton for Entrepreneur] hopes will prompt you to be part of the solution of helping more women entrepreneurs grow their businesses.

Answering the 3 questions allows you to find ways to support and encourage other women business owners so we can all collectively grow.

What will you do today to support another female entrepreneur?

The Power of Networking to Build Confidence, Create Connections and Accelerate Opportunities

To understand what helps female entrepreneurs thrive at a higher level, Forbes contributor Kathy Caprino interviews Pat Hedley, investor, advisor and author of Meet 100 People: A How-To Guide to the Career and Life Edge Everyone’s Missing. After a nearly 30-year career with global growth investor General Atlantic, Hedley is now a private investor and advisor to growth companies and a passionate advocate for intentional and generous relationship building. 

Here's what she had to say, oh, and one quick snippet from when Pat was asked why networking is so important for entrepreneurs generally, but especially for female entrepreneurs.

Networking is essential for entrepreneurs because founders are highly reliant on accessing resources and information they don’t already have to start and build a business. Even if one has a great idea, executing on that idea requires an extensive network of individuals including employees, customers/clients, investors, advisors and influencers.

Read on for the full interview.

Women Entrepreneurs Tackle BIG Ideas

Female entrepreneurs are still receiving little capital.  Wired reports:

“Startups with a woman founder raised $25 billion in the first half of 2021—more than the total amount raised by women any full year prior.”

While the incremental changes are noticeable, we aren’t close to where we need to be.

After years of witnessing these founders' struggles and limited access to capital, Dr. Silvia Mah, partner at Ad Astra Ventures, who helps women founders grow innovative startups tackling big ideas, is determined that there are certain things the VC industry can do to level the playing field.

Here are three. 

Female Entrepreneurs Work Every Bit As Hard as Male Entrepreneurs (Maybe Harder)

The story goes like this from 2019.  

Alyson Saxe ran into an old friend at Costco, who – upon learning Saxe had children – inquired whether she worked outside the home.  Saxe explained that she'd founded a PR agency. "My friend said, 'How great! You're a mompreneur!'" recalls Saxe. "'You get to work and have time for your kids and family!'"

Saxe, later, went on to raise north of $2 million for her second company, the brand-management platform IrisPR, based in Phoenix. "I work every bit as hard as male entrepreneurs.  "I am not a mompreneur," says Saxe. "I am a mother. And I am an entrepreneur."

Read on to appreciate how business language – like much other language – is de-gendering.

Use Your Power to Support Female Entrepreneurs

Two women discuss various ways to support female entrepreneurs. Here’s a closer look at their four tips.

1. Know the difference between real and performative allyship — and practice the former
2. Take a step beyond mentorship and be a sponsor
3. Be an active bystander against micro aggressions
4. Use your votes and dollars to push for bigger policy and ecosystem changes

Read the entire article on ways to be an ally for female entrepreneurs.

Call to Action: Profiling Successful Women Entrepreneurs and Business Owners. Is That You?

Here's an opportunity you won't want to miss!  I will be profiling successful women entrepreneurs and business owners on GoDaddy's blog starting this month through early 2020. Think of this as a marketing agency representing you for a one-off moment.

GoDaddy doesn’t just have hundreds or thousands of readers at their blog — they have millions. So this is a very good opportunity for a business owner to get great media coverage and increase their SEO rank at the same time.

If you or someone else you know would like to be profiled on the GoDaddy Garage site (https://www.godaddy.com/garage/) -- send me an email.  This opportunity is on a first-come, first-serve basis on who gets featured and there is a nominal charge involved. No competing firms will be featured under my pen. The first profile is due November 25th and that has already been filled. Take a look at some of my past articles for GoDaddy. My approach will be to have these profiles be similar to the one you see on Lifeway Foods CEO Julie Smolyansky.

Look forward to hearing from you with your interest.

Access to Capital for Women and Entrepreneurs Is Important for Innovation, Economic Growth and Job Creation

22 female entrepreneurs from across the U.S. met in Washington D.C. last week at the Women’s Entrepreneurship Roundtable, hosted by the newly created bipartisan U.S. Senate Caucus on Entrepreneurship, Center for American Entrepreneurship.

"As a female entrepreneur [Tina Tran Neville], I find this extremely disheartening.  My startup, an online English language platform called Lana Learn, seeks to connect with the 2 billion people learning English globally, but with limited access to capital I cannot grow my company to meet demand."

Here's what else Neville had to say after attending the meeting:

While we have long way to go to support access to capital for women and entrepreneurs in general, I did walk away encouraged. I am encouraged by the creation of the U.S. Senate Caucus on Entrepreneurship and the engagement of the senators, staffers, and entrepreneurs in attendance. I am also encouraged by the work that the various organizations did to make the Women’s Entrepreneurship Roundtable a reality: The Center for American Entrepreneurship, The Kauffman Foundation, and startup ecosystems around the country like Create33.

Read more about why 22 female entrepreneurs met in Washington D.C.

"While we have long way to go to support access to capital for women and entrepreneurs in general, I did walk away encouraged." – Tina Tran Neville

What's the Best Advice Given to You as a Female Entrepreneur?

Whether you give good advice or receive it, it's really the spirit of helping one another that matters.  In the article below, South African women entrepreneurs answer two key questions:

1. What was the best advice given to you as a woman entrepreneur and how did you action it?
2. What would you advise women entrepreneurs starting their journey now and in light of the current business climate?

Find out what they said here.

Has the #MeToo Event Changed the Way You Run Your Business?

How have you changed the way you run your business since the #MeToo event?

It’s been more than a year and a half since the #MeToo hashtag took off on Twitter, and the movement that activist Tarana Burke started in 2006 became an unavoidable part of the national conversation. Since then, discussions around workplace sexual assault and harassment are being heard in a way they weren’t before. 

Many female entrepreneurs are taking the #MeToo seriously -- definitely not sweeping it under the rug.  Here's what 5 women entrepreneurs are doing and what you can do too to keep the #MeToo issue front and center as you run your business.

Let's Put Power in the Hands of Female Entrepreneurs

According to Mr. Robert Sauer, a professor at University of London, Royal Holloway and Jerusalem Institute for Market Studies, and written for the Jerusalem Post, when women are business owners, their firms are generally smaller and are less valuable than those owned by men.

Researchers have considered a number of factors that might help explain why a gender gap in entrepreneurship might emerge. The possible explanations include gender-specific approaches to balancing career and family, different choices of business sector in which to operate, a differential aversion to financing one’s business through debt, and greater obstacles for women to access business funding in general.

The article goes on to say that a number of initiatives by policymakers and practitioners have already been introduced to try and promote female entrepreneurship. They include training programs, counseling, mentoring, and access to finance on favorable terms.

I vote that we put power in the hands of female entrepreneurs. What's your vote?

Read more about a better way forward for female entrepreneurs.

Which Countries Are Leading the Way with Female Entrepreneurs?

To create a list of the countries with the most female business owners, the CEOWORLD magazine reviewed the data from Mastercard’s Index of Women Entrepreneurs to find out which countries are leading the way when it comes to women-owned businesses.

The findings show that while the U.S. has the right conditions for female-owned businesses to thrive, women in America’s motivation to start and run a business is low as compared to the countries with high index score.

Interestingly enough, Ghana is top on the list.  The United States placed 23 out of 57 countries studied.  About a quarter of America's entrepreneurs are women.

Visit here to view the entire list.

Focus on Female Founders

Beer maker Constellation Brands plans to invest $100 million over the next ten years in businesses led or founded by women. Why?  Because they are betting that female entrepreneurs will help it grow.

The strategy is designed to help Constellation Brands make and market products that resonate with women, partner with sector disruptors and enhance its talent pipeline.

The project is called Focus on Female Founders.  So far, Constellation has invested in two women-led startups through the new initiative: Austin Cocktails and Vivify Beverages.

Learn more about how CB is investing in female entrepreneurs to help sell its alcohol.

Interesting related article:  Female founders deserve to be funded for their talent, not their gender.

36 Chicago Resources for Women Entrepreneurs

As a sweet home Chicago kind of gal (born and raised in Chicago), I found the list below of Chicago resources for female entrepreneurs pretty darn good, with the exception of Women Entrepreneurs Grow Global, a nonprofit I founded and manage, being left out.

The population of women-owned startups in Chicago is growing.

Women business owners have opportunities to thrive in Chicago, especially if they happen to be in tech.

Check out the list here.

A Word From Wikipedia About Female Entrepreneurs

The word entrepreneur, especially female entrepreneur, has been around for a very long time.  According to Wikipedia:

Before the 20th century, females operated small businesses as a way of supplementing their income. In many cases, they were trying to avoid poverty or were replacing the income from the loss of a spouse.

They go on to say, "The term entrepreneur is used to describe individuals who have ideas for products and/or services that they turn into a working business. In earlier times, this term was reserved for men."

Well what do you know about that?

And then they talk about example from Finnish entrepreneur Armi Ratia (1912–1979), founder of the Marimekko textile and home decorating company and, of course, our very own American entrepreneur, television host and media executive Oprah Winfrey, who received the Presidential Medal of Freedom from US President Barack Obama in 2013.

We've come a long way baby!