New York, NY (PRWEB) March 27, 2013
Despite strides by female entrepreneurs during the past two decades, women-owned businesses still face funding challenges, according to Biz2Credit, the leading online credit marketplace, which analyzed nearly 14,000 applications from all across the U.S. on its platform during the last six months of 2012.
Key findings were that women-owned businesses averaged 15% lower average annual revenue, had 21% higher operating expenses, lower credit scores, and encountered a harder time securing finances than male-owned companies.
Women-owned vs. Male-owned Businesses
"Women tended to be more involved in retail operations, which generally have higher operating expenses and smaller margins. This may also account for their lower credit scores," said Rohit Arora, CEO of Biz2Credit, one of the nation's top small business finance experts, who oversaw the research. "Banks look at these figures and thus find women-owned businesses more risky to fund, which accounts for the lower loan approval rates for women."
Founded in 2007, Biz2Credit Business Loans is a leading credit marketplace connecting small- and medium-sized businesses with lenders, service providers, and complementary business tools. Using the latest technology, Biz2Credit matches borrowers to financial institutions based on each business’s unique profile -- completed in less than four minutes -- in a safe, efficient, price-transparent environment. Biz2Credit’s network consists of 1.6 million users, 1,100+ lenders, credit rating agencies such as D&B and Equifax, and small business service providers including CPAs and lawyers.
Having arranged $850+ million in funding throughout the U.S., Biz2Credit is widely recognized as the #1 online credit resource for small business loans, lines of credit, equipment loans, working capital and other funding options.