In many industries, women are an underrepresented group. The reasons for this include factors such as working hours not being conducive to taking care of young children, as well as traditional and societal views of what types of work women should do. For example, engineering and architecture are two career fields that are very male-dominated, primarily due to societal views. But does this hold for female entrepreneurs? Here are some facts about women owners of businesses.
The Number of Women in Business Is Climbing
Women in business are a trendy topic, in no small part because each year there are more and more female entrepreneurs rising through the ranks. As of 2021, approximately 40% of businesses in the United States were female-owned, and this figure keeps increasing. It is becoming more widely known that diversity in business ownership is great for the economy since everyone brings different perspectives to the table. A growing number of companies are striving to bring in a more diverse workforce at all levels of their business.
Female Business Owners Thrive in Leadership
Studies have shown that women who lead teams of employees are ranked very highly by their teams, often higher than men in similar roles. Leadership is one of the most important aspects of running a business because you need to be able to take the initiative and motivate those who work for you. When leadership is strong, a company thrives, makes more profit, is more productive, and is more likely to achieve what it set out to do. The four types of leadership are direct, support, coach, and delegate, and a team works best when there are all four varieties in play.
There Is Room for Improvement
Even with all the strides that women in business have made, there is still room for improvement. For example, it has been shown that it is easier for men to receive funding for their business ventures. Women are also far less likely to be in charge of a Fortune 500 company, or even on their board of directors. One of the ways to improve these things includes having more investment opportunities geared toward women. There is also beginning to be a cultural shift at large companies where they are beginning to hire more women for executive positions.
Patronize and help support a women-owned business if you can do so.