“The data clearly shows that women entrepreneurs are younger and more educated, plus more resourceful in where they find funding,“ said David Nilssen, CEO of Guidant Financial.
BELLEVUE, Wash. (PRWEB) March 11, 2019
A survey conducted by small business financing company Guidant Financial and online credit marketplace LendingClub Corporation (NYSE: LC) reveals how female entrepreneurs and small business owners increasingly differ from their male counterparts. The companies teamed up to survey more than 2,700 current and aspiring small business owners across the nation.
“The data clearly shows that women entrepreneurs are younger and more educated, plus more resourceful in where they find funding,“ said David Nilssen, CEO of Guidant Financial. “We anticipate that business ownership by women will continue to grow and evolve in exciting new ways.”
Key findings include:
25 percent of female small business owners are African-American. Only 14 percent of male small business owners are African-American.
Women entrepreneurs skew younger than their male counterparts.
- 52 percent of females surveyed were over the age of 50, compared to 59 percent of men.
- 29 percent of females surveyed were between 40 and 49, compared to 24 percent of men.
- 19 percent of females surveyed were under the age of 40, compared to 17 percent of men.
Nearly 3 out of 4 (72 percent) of female small business owners have pursued higher education, compared to 65 percent of their male counterparts.
- 38 percent more women than men have Associate’s degrees.
- 20 percent more women than men have Master’s degrees.
- 3 percent more men than women have Bachelor’s degrees.
Both 4 percent of male and female small business owners have Doctorate degrees.
Women are 48 percent more likely to be concerned about the effects of the political climate on small business than men.
Female ownership in health, beauty, and fitness businesses increased 55 percent year over year, while food-related businesses and restaurants increased by 45 percent year over year.
The most popular industries for women-owned small businesses:
- 1) Health, beauty, and fitness 2) Food-related and restaurant 3) Business services 4) General retail 5) Education
36 of women small business owners use cash to get their business off the ground, compared to 32 percent of men. Funding from friends and family is the next most popular form of financing for women, at 17 percent compared to men’s 11 percent.
An accompanying white paper and infographic can be found at https://www.guidantfinancial.com/small-business-trends/women-in-business/.
Between November 6, 2018 and November 16, 2018, Guidant Financial and LendingClub conducted an email survey of more than 2,700 male and female small business owners and aspiring entrepreneurs from the continental U.S., Alaska, and Hawaii. Ages of respondents ranged from 18 to over 70.
About Guidant Financial
Headquartered in Bellevue, WA Guidant Financial helps business owners secure financing to start, buy or grow a business. An industry leader in business and franchise financing, Guidant works with new and existing entrepreneurs to identify, evaluate and deploy customized financing solutions. Their services include, but are not limited to, 401(k) business funding, SBA loans, unsecured credit, and portfolio loans. In total, Guidant has helped over 20,000 entrepreneurs in all 50 states to invest more than $4 billion in funds to start small businesses, resulting in more than 85,000 U.S. jobs created. Visit Guidant on the web at guidantfinancial.com.
LendingClub was founded to transform the banking system to make credit more affordable and investing more rewarding. Today, LendingClub's online credit marketplace connects borrowers and investors to deliver more efficient and affordable access to credit. LendingClub's technology platform creates cost efficiencies, which are passed onto borrowers as savings in the form of lower rates and to investors in the form of risk-adjusted returns. LendingClub is based in San Francisco, California. Loans made by WebBank, member FDIC.