Women in business face funding challenges as investors ‘don’t take them seriously’
A poll of 500 women who run their own businesses found that gender bias and stereotyping are major problems.
Nearly one in three female entrepreneurs feel they are not taken seriously by investors, according to a recent study. One fifth believe it is more difficult for them to succeed compared to their male counterparts, attributing this to limited access to funding and investment. Similarly, another 21% also think there is greater risk – including the potential for financial loss – as a woman running a business.
The survey of 500 women who run their own businesses highlighted the main challenges they encounter, such as gender bias and juggling personal and professional commitments. Four in ten reported facing stereotypical perceptions around ’emotional’ versus ‘rational’ decision making, while 26% struggled to find a supportive team to help them reach their objectives.
The research was conducted in conjunction with the AXA Startup Angel competition which annually awards two new businesses top prize packages of £25,000 plus mentoring from the AXA Startup Angels’ four successful SME owners.
The findings have been compiled as part of the Women in Business Report, which looks at the challenges faced by female business owners and shares inspirational stories from female entrepreneurs.
Mike Crane, director of small business insurance at AXA UK, which commissioned the research, stated: “It’s clear that while the business world has made progress in recent years, it’s sometimes still not a level playing field for women.
“More than half of the small business owners we surveyed said gender bias and stereotyping were a problem, while almost a third felt they weren’t taken seriously by investors, clients or suppliers.”
Other issues women in business have encountered include under-representation of females in senior roles and social pressure around appearance or behaviour.
Nearly a fifth (19%) of respondents launched their own business to help empower other women and foster diversity, while 15% had hopes of improving their local communities.
Additionally, 43% feel it has helped set a positive example to their children, while 48% said they have more flexibility to spend time with family while running their own business.
Mike added: “We believe being a woman shouldn’t be a risk when starting out in business – everyone deserves the same opportunities regardless of gender. We’re committed to supporting all budding entrepreneurs to realise their dreams.”
“The AXA Startup Angel competition provides a springboard to bring incredible ideas to life, offering funding and mentorship that can make a real difference in those early days,” he added. “Small businesses are the backbone of the UK economy, and we want to ensure they continue to grow and flourish with our support and encouragement.”
