According to recent studies, women started 49% of new businesses in the U.S. in 2021, a significant shift in the traditional gender roles in entrepreneurship. Women-owned businesses are growing at a much faster rate than male-owned businesses, and women entrepreneurs are making a significant impact on the global economy. In this blog, we will explore why women entrepreneurship is growing and what this means for the future of entrepreneurship.
Firstly, let's take a look at the statistics. According to the latest State of Women-Owned Businesses Report, women-owned firms now make up 30 percent of all businesses in the U.S. surpassing 9.4 million enterprises. The revenue generated by female-owned enterprises is estimated at $1.5 trillion, increasing 79% since 1997. Women-owned firms are found in every state and industry. The states seeing the fastest growth in women's entrepreneurship are Georgia, Texas, North Carolina, North Dakota, and New York.
Since 2007, the number of women-owned firms has grown at five times the national average, with 1,072 new women-owned firms starting every day.
So why are women starting more businesses? One reason could be the increasing availability of resources and support for women entrepreneurs. Organizations like Women's Business Centers, National Association of Women Business Owners (NAWBO), and Women Entrepreneurs Finance Initiative (We-Fi) provide women with access to capital, mentorship, and networking opportunities that were once exclusive to men.
Additionally, the pandemic has forced many women to leave their traditional jobs due to childcare responsibilities and lack of flexibility. This has led many women to pursue entrepreneurship to have more control over their schedules and work-life balance.
Finally, women may also have unique strengths that make them well-suited for entrepreneurship. Studies show that women tend to be more risk-averse than men, which may lead them to make more calculated business decisions. Women also tend to be more collaborative and inclusive in their leadership styles, which can lead to more innovation and employee satisfaction.
According to the World Economic Forum, “women are leading a boom in new business creation”, and this trend is likely to continue. With increasing resources and support, as well as unique strengths and perspectives, women entrepreneurs are poised to make a significant impact on the U.S. and global economy.
At Visa Business Plans we are well aware of women’s business vision, innate skills, and effective leadership. For these reasons and more, we have created one-on-one business coaching programs, designed especially with female professionals in mind. If you are interested in learning more about what business coaching can do for you, or if you need a business plan to take your operation to the next level, call us today.
Visa Business Plans is led by Marco Scanu, a certified coach from the University of Miami with a globally-based practice coaching Fortune 1000 company executives, entrepreneurs, as well as professionals in 4 different continents. Mr. Scanu advises clients on turnaround strategies and crisis management.
Mr. Scanu received a bachelor’s degree in Business Administration (Cum Laude) from the University of Florida and an MBA in Management from Bocconi University in Milan, Italy. Mr. Scanu was also a Visiting Scholar at Michigan State University under the prestigious H. Humphrey Fellowship (Fulbright program) with a focus on Entrepreneurship, Venture Capital, and high-growth enterprises.
At present, Mr. Scanu is the managing partner and CEO at Visa Business Plans, a Miami-based boutique consulting firm providing attorneys and investors with business planning services in the areas of U.S. and Canadian immigration and SBA loans.