Women in business are a significant and growing force in the global economy, making substantial contributions despite facing the most unique obstacles and challenges. Here's a breakdown of data on women in business:

I. General Statistics and Economic Impact (primarily US-focused)

Prevalence: Women own over 14 million businesses in the U.S., representing 39.1% of all businesses.

Growth: The number of women-owned businesses grew at nearly double the rate of men-owned businesses between 2019 and 2023. From 2022 to 2023, this growth rate accelerated.

Employment & Revenue: Women-owned businesses employ 12.2 million workers and generate $2.7 trillion in revenue.

Job Creation: During the pandemic (2019-2023), women-owned businesses added 1.4 million jobs and $579.6 billion in revenue.

New Businesses: Over 1,800 new women-owned companies are created each day in the US. The representation of female new business owners increased from 28% in 2019 to 49% in 2021.

Racial and Ethnic Diversity: Women of color operate about half of all women-owned businesses. They represent 39% of the total female population in America, yet account for 89% of the net new women-owned firms per day.

Between 2019 and 2023, Black/African American women-owned businesses saw average revenues increase 32.7%, and Hispanic/Latino women-owned businesses 17.1%, compared to all women-owned businesses' 12.1% rise.

Sectors: Primary sectors for women-owned businesses include retail (26%), health, beauty, and fitness services (17%), and food and restaurant (14%). Professional, scientific, and technical services also have a significant number of women-owned businesses (2,017,000 in 2023).

Financial Assets: Women wield approximately $10 trillion in financial assets within the U.S., a number projected to reach $30 trillion by the end of the decade.

II. Challenges Faced by Women Entrepreneurs:

Despite their growing impact, women in business often directly encounter specific renounced obstacles, these entrepreneurs primarily bootstrap using savings, personal debt, and support from their network. They also leverage microloans, grants, and crowdfunding, while traditional Venture Capital remains largely inaccessible, despite its high ROI potential.

Access to Capital: This is a significant challenge. The average loan size for women-owned firms is 50% lower than for male-owned firms. Only 2.4% of venture capital funding goes to female founders in the US.

Gender Bias and Discrimination:

Nearly 1 in 3 (32%) female entrepreneurs have experienced sexism as business owners.

Women may not be taken as seriously in male-dominated industries or networking events.

Societal biases and stereotypes can influence perceptions of women's leadership and risk-taking abilities, impacting funding and opportunities.

Work-Life Balance and Caregiving Responsibilities: Many women entrepreneurs juggle business demands with significant family and caregiving responsibilities. This can lead to increased stress, burnout, and scaling back business operations.

Networking and Mentorship: Women may have less access to relevant professional networks and fewer female role models and mentors, which can limit opportunities for support, resources, and information.

Confidence and Owning Accomplishments: Some women struggle with self-doubt or downplaying their achievements, which can be influenced by societal expectations.

Lower Revenue: Less than half of women-owned businesses (46%) reported earning $50,000 or more in 2023, compared to 70% of men-owned businesses. This contributes to a gender wealth gap.

Exporting: Only about 11% of women-led firms exported in 2022, compared to 19% of male-led firms, even when accounting for business size and industry.

III. Support and Resources for Women-Owned Businesses:

Various organizations and programs are dedicated to supporting women entrepreneurs yet these agencies are nebulous and certain parts of the population don't have access to these resources or they lack the education and know-how. 

This is in conjunction with the limitations in place that prevent female and minority business owners from obtaining grants and loans for opening and maintaining their small business creates a significant gap in potential business formation, stifling economic growth and innovation within local communities. 

In the 2023 fiscal year, the SBA approved $27,515,666,000 in SBA 7(a) funding to businesses. Of that amount:

White business owners received 42.3%

Asian business owners received 19.0%

Hispanic business owners received 8.5%

Black business owners received 4.6%

American Indian or Alaska Native 0.9%

Male-owned businesses received 71.6%

Women-owned businesses received 28.4%                   

https://www.bankrate.com/loans/small-business/sba-loan-race-and-gender-statistics/

This data supports female and minority-owned businesses represent 39% of all businesses and only receiving 28% approval on SBA Loans to fund their ventures, this shows that they are producing twice as much as their male counterparts using less. I've created a formula to show this data.

Based on this data and the assumption that output is proportional to the number of businesses, female and minority-owned businesses are approximately 64.49% more efficient in their output per unit of SBA loan funding compared to male-owned businesses.

It's a way of saying: "How much more output are they getting per dollar (or unit of funding) compared to the other group?"

This proves women business owners are highly capable of doing more with less, a skill that is imperative for LEAN operations in a supply and demand context. 

It's an economic disparity that is not being addressed and the affected demographic is largely female and minority small-business owners. Female leaders are the ultimate architects of growth, and they represent a vast, untapped reservoir of talent and especially American Indian women, who account for the smallest approval rate at a dismal .9%. 

It's also worth mentioning that the skills honed in motherhood provide the missing elements that fill in the gaps of our current economic disparities: resilience, emotional intelligence, and a holistic vision for sustainable success. Why then are seasoned mothers who also operate as business owners not seen as a valuable asset to our society? Raising a family is long-term stakeholder investment. It’s the ultimate lesson in sustainable growth—investing patient, daily effort to cultivate potential that will flourish years down the line, we need to cultivate this untapped potential. 



In accordance with the racial and gender inequality within the distribution of resources there lies the evident and pressing need for more comprehensive and personalized financial education and coaching services. This is crucial to empowering community members to make informed and prudent financial decisions, allowing for stakeholders and investors to all flourish by nurturing the ROI eco-system. By equipping individuals with the knowledge and skills necessary to navigate the complex world of finance, we can foster a more financially literate and economically resilient population.