Gone are the days when entrepreneurship was associated with only the male members of society. Today, a large proportion of women across the globe are spearheading startups and leading other business ventures regardless of the existing socio-economic restrictions.
According to Statista, women entrepreneurs had ownership of a little over 20% of all the micro, small, and medium enterprises (MSMEs) in 2021. The figures solidify the fact that women are indeed breaking the glass ceiling and soaring in a primarily male-dominated environment.
While women continue to take the plunge into the world of business ownership, there are still a variety of hurdles that stand in their way. From funding concerns and gender bias to a disruption in the work-life balance, there are an array of challenges faced by women entrepreneurs in the modern world. Let's start by looking at one of the primary barriers that stand in the way of women's entrepreneurship.
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Funding: A Major Challenge for Women Entrepreneurs
While business loans for women can take care of most financial concerns, acquiring sufficient money is still one of the biggest challenges for women business owners. But why is obtaining a loan so challenging for women compared to male entrepreneurs? The answer circles around gender-based assumptions that exist in our society.
Financial bodies as well as individual investors perceive women-owned businesses as high-risk investments and often steer clear of offering them substantial investments. There is a prevalent assumption that women are relatively reluctant to take risks, and are therefore less capable of running a successful business. As a result, many investors withhold funding from approaching female business owners and prioritize male entrepreneurs.
While the funding crunch and credit gap are experienced by male business owners in the MSME sector as well, women are far more likely to encounter it. The small number of female business owners is likely to be another reason for this lack of confidence displayed by investors and other traditional financial bodies.
Lack of access to funding for women entrepreneurs gives a glimpse of the deep-rooted gender bias that exists. Running a business is still seen as falling squarely into the ambit of men, which makes it exceptionally difficult for women to thrive in the same space.
Even women entrepreneurs who are already running businesses face discrimination on a personal level. Often they are forced to invest a significant share of their time at home and in handling the household. This disrupts their work-life balance and leads to extreme physical as well as mental exertion.
Business Loans for Women: A Fitting Answer to Patriarchal Barriers
Today, there are a plethora of options in the market that can be leveraged to acquire business loans for women. Financial bodies such as Kinara Capital offer collateral-free loans for women entrepreneurs without the need for extensive documentation. This can enable women entrepreneurs to strategize their business operations and utilize their time and energy to make concrete business plans, which would otherwise be squandered on paperwork.
Kinara Capital's HerVikas business loans for women are solely dedicated to female entrepreneurs. It enables women entrepreneurs to get business loans easily and with an upfront discount of up to 1%. These loans don't require any property collateral and empower female entrepreneurs to acquire the required funds at the right time to help them grow their business, invest in quality equipment, expand operations, and ensure the smooth running of daily operations.
The loan application process at Kinara Capital is 100% digital and extremely smooth. You can start with the 1-minute eligibility test through the website. Once your eligibility is cleared, you can complete the application online through their website or myKinaraapp, or choose to have a Kinara Capital loan officer contact you. The loan officers guide you through the entire loan process and address all your loan-related queries in detail. This can ease the process further. Once approved, your loan can be disbursed in just 24 hours.
As women continue to make a healthy impact in the world of entrepreneurship, the gap between male and female business owners continues to fade. However, long-term change at the ground level can only be realized through collective effort.
On an individual level, irrespective of gender, you can contribute by helping a female entrepreneur on their business journeyby joining the right online forums to promote equality, becoming a patron of women-owned businesses, and opposing gender bias as you encounter itin the real world.