Report: women and men still not equal when it comes to business funding
If you’re in the process of starting a business, you know that obtaining funding is a critical step. There are many ways to go about securing funding. One option is to apply for a loan or contract with the government.
A recent report by the Small Business & Entrepreneurship committee found that when it comes to obtaining government funding, women are not on equal ground with men. An Associated Press article details that in fact, they are “far behind,” receiving just 17 percent of Small Business Administration (SBA) loans and 16 percent of conventional ones.
According to the report, women-owned small businesses only receive 4.4 percent of the total of small business loans. They are also not receiving as many government contracts. Yet women make up 30 percent of small businesses.
It was found that when it comes to venture capital, women get 7 percent of the funds granted. Given these findings, the creators of the report are calling for changes to the SBA’s microloan program and to an Intermediary Lending Program. Additionally, they are recommending that there be more funding for the SBA’s Women’s Business Centers.
Wherever it comes from, funding is essential to turn a business into a reality. These changes may encourage more women to start their own businesses. However, women, and anyone else interested in starting a business, do not have to wait around to do so. The SBA website can be a great resource to learn more about your options for government loans and women’s business resources.
Incorporating your business is another important step in your success. Contact an online incorporation services company to learn more about the benefits of incorporation.