Women need a helping hand
Mentoring could be the key to success for female entrepreneurs.
More women than ever before are cracking the glass ceiling. New research by women’s business support group Everywoman and IBM reveals that 900,000 women today own British enterprises, with a further 1.5m employed in successful leadership roles within larger companies.
But while women are becoming a significant force in the business world, the report found female entrepreneurs are being hindered by “the three Cs” — childcare, confidence and credit.
Karen Gill, managing director of Everywoman, explains: “Bags of confidence is key when it comes to setting up a business but this can be easily knocked if a woman feels her child is not being cared for properly.
“Childcare is very expensive in Britain and women are likely to weigh up the cost against the potential income of a new business and decide that it is not in their best interests to go ahead.”
“Lack of confidence is also affecting women’s ability to raise money for their business,” says Gill. “Financial institutions are willing to lend to risk-takers who promise high growth. Unlike men, women tend to be cautious in their forecasting and presentation.
“Subsequently, banks look at female-led businesses differently, so women should be more confident and talk less about motivation and more about hard figures.”
She adds: “When it comes to funding a business, women tend to use credit cards. “They are more risk-adverse than men, so not as likely to take out a big loan or use their home as collateral.” But while women still face challenges, Everywoman has identified two key areas where female entrepreneurs are leading the way. The first is mentoring.
Gill explains that most women who succeed have been involved in some kind of mentoring programme. “Whether it be a formal or simply informal access to other women in the same situation,” she says, “mentors can relieve the feeling of isolation that comes from running your business, but they also provide the benefit of extensive experience and specialist skills.”
Women also have the edge when it comes to using technology. “Men may be gadget-orientated, but women are realising that an ability to videoconference from home or email data on the move, provides the flexibility to combine family and work life,” says Gill.
Karen Gill founded Everywoman with Maxine Benson six years ago.
The women’s business group aims to provide valuable, practical and relevant information, services and resources to assist women start-up, run and grow their business.
It is now the leading independent organisation for women business owners in Britain with over 15,000 members.
The company research marks the start of the Everywoman National Conference on 16 November — an annual programme of events dedicated to showcasing the achievements of women business owners.
But while women continue to make serious inroads into business, Gill believes they still have some way to go. “Time and time again girls are leading the way in primary, secondary and university education but as soon as they hit the work force something goes badly wrong,” she says.
“I would urge successful female entrepreneurs and business leaders to step forward so they can become role models to the next generation.”