More and more women in business are breaking through the glass ceiling to rise to the top. This trend represents exciting advancements for women business leaders. As they continue to make strides in combatting workplace gender bias and the challenges of work-life balance, the market is taking notice.
Women in leadership have been shown to positively impact their company’s revenue and even take more initiative than their male colleagues. Here are 10 facts about what makes these women strong business leaders.
- Women start 1,821 businesses a day — Research from American Express shows the rapid pace at which women establish businesses in the United States. Last year, female entrepreneurs employed 9.2 million people.
- Women entrepreneurs are happier — Women entrepreneurs are reportedly the happiest group of entrepreneurs in America, outranking their male counterparts, according to a study by Babson. This same study found these women are nearly three times more likely to report as happier than women who had not established their own businesses.
- They find success in U.S. cities — The United States houses three out of the five top-ranked cities where female entrepreneurs can flourish. New York City, San Francisco Bay Area, and Boston are cities that attract and nurture women-owned businesses. We’re excited to see this trend continuing with more support for women business leaders across the country.
- About 17% of startups have a female founder — The number of venture-funded companies with women at the helm has increased in the last 10 years. Currently, the data shows that these women-led companies are hovering around approximately 17% of the market.
- Companies prosper with women leaders — When companies have women in leadership positions, they often have higher stock returns and greater profits. It’s surprising then that only 5% of CEOs are women. Women are more successful in these roles because they view their careers holistically, approaching work in a self-reflective manner.
- Women-run companies perform better on the S&P 500 — In fact, these companies perform three times better, garnering more returns than their male compatriots. It’s speculated that women do so well because of how hard they had to work early on in their careers to become CEO.
- Women are rated as better leaders — A Harvard University study found that women out performed men on leadership indictors, everything from taking initiative to driving for results. Interestingly, women scored higher in categories that were not traditionally thought of as female traits.
- Women-owned firms rake in millions in revenue — In the last decade, the number of women-owned companies that have amassed $10 million or more in revenues has increased by nearly 60 percent.
- They feel better about work-life balance — It can be challenging for anyone to achieve a work-life balance, but women business leaders report that they have a healthy balance between their professional and home lives. They describe their typical week as being worthwhile and satisfying.
- Women entrepreneurs have less access to capital — Women entrepreneurs still raise less money than men to jump start their businesses. Men are twice as likely as women to raise at least $100,000 or more, according to a global survey of more than 3,000 business leaders.
Women business leaders have made great strides in recent years, but the opportunities available to them are not always equal. Supporting women in business and encouraging the next generation of women entrepreneurs is a vital part of growing our economy. Making sure that women leaders receive adequate funding to start and maintain companies should be a high priority for financial institutions.