In the 21st century it is no longer surprising that women can build a successful business from scratch. They are storming the markets with huge ambitions but they often encounter certain difficulties at the beginning of their careers. Of course it may be a little hard, but with a bit patience, luck and dedication work everything is possible!
The recent studies show that women have it harder than man when it comes to starting an enterprise. The reason is pretty simple – they usually have less money as their starting capital than the men do, and the difference can reach astonishing 75-80%! This is definitely an issue that requires a solution.
It’s widely speculated that financial companies generally look down upon female entrepreneurs and don’t let them secure the financial backing easily. Actually under 6% of all the traditional outside financing goes to women-owned businesses. Moreover, if a woman has less than a year of business experience or a bank history that is not crystal clear, the chances for approval are reduced even further.
But there’s still a glimmering ray of hope. Despite there are no special financial centers for women, business women can obtain the funds they need. The requirements of alternative financing companies are less strict than those of huge ‘classic’ lenders. The borrower will still need to prove that his business plan is viable, but there are no artificial barriers in place.
So if you’re a female entrepreneur and planning to start your own business, don’t forget about the following:
- Your bank and credit history should be clean in order for your lending request to get approved with a high chance for success;
- Your chances will certainly be higher if you have over a year of business experience;
- If none of those applies to you, it’ll probably be the most sensible choice to look at the alternative funding companies.
So hopefully we’ve given you a bit of an insight on what’s the life of a novice woman entrepreneur looks like. If you have any questions on the topic, please contact us today for more information!