Male or Female, in order to become a successful entrepreneur, there are certain specific qualities that one must embody. It takes a certain kind of person to run a successful business. It’s even more challenging for aspiring female entrepreneurs to lead and propel their ventures to the highest possible levels of success.
Consultancy firm KPMG conducted a survey of 200 women entrepreneurs from the Inc. 5000 list to identify the characteristics and explore the contributing factors that female entrepreneurs cite as essential to their success. These are the key takeaways of this study.
Perseverance in tough times
Willingness to take risks
Ability to hire and manage capable individuals
The study also explored why some women tend to go for entrepreneurial ventures as opposed to more traditional or conservative roles. They found out that half of the women entrepreneurs surveyed wanted to control their own professional destiny.
Other factors that motivated women to turn entrepreneurial were the desire to advance their careers and the opportunity to leverage their expertise to create something new.
And the major challenges that women entrepreneurs encountered in building their businesses were:
Hiring the right people
Managing cash flows in tough times
Despite these hurdles, women entrepreneurs ran 30 percent of all small businesses, together employing 8 million people and generating $1.4 trillion in sales.
One of the major issues that keeps women from creating an impact is the difficulty in raising funds. Both venture capital investment money and loan approval rates are scarce for women-owned businesses and highly disproportionate to their contribution to the economy.
The main underlying problem is that the worlds of business, finance and politics are still overwhelmingly male dominated. There are four men for every woman running an S&P 500 company. Women entrepreneurs get constantly overlooked while looking for funding in favor men. But there is cause for hope. There are women venture capitalists and firms with female partners often invest in female-run startups at a higher rate. And with more Women Venture Capitalists arrives better opportunities for female entrepreneurs to seek funding for their ventures. Solutions are available, though not easily within reach.Several available options include:
Women specific loan programs from the Small Business Administration
Angel firms and organizations that specifically lend to females.
Newer funding sources, such as peer-to-peer fundraising sites.
Networking with established women entrepreneurs
With lots of proven successful businesswomen in our world, society as a whole can ensure they get a fair chance to accomplish great things. This is evident in by the astounding growth of 68 percent for women run businesses since 2007. However, by being resourceful and motivated enough, women can (and will!) achieve their goals of building the business of their dreams.