How To Support Women-Owned Small Businesses
GOBankingRates wants to empower women to take control of their finances. According to the latest stats, women hold $72 billion in private wealth — but fewer women than men consider themselves to be in “good” or “excellent” financial shape. Women are less likely to be investing and are more likely to have debt, and women are still being paid less than men overall. Our “Financially Savvy Female” column will explore the reasons behind these inequities and provide solutions to change them. We believe financial equality begins with financial literacy, so we’re providing tools and tips for women, by women to take control of their money and help them live a richer life.
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According to a recent study by Global Entrepreneurship Monitor, over 27% of women are in the process of starting or running a new business. But despite starting businesses at a high rate, only a startling 10% of women are running “mature businesses,” meaning that many of them fail in the first few years. In today’s column, we’re exploring ways that readers like you can help support women-owned small businesses so we can change those stats.
Actively Seek Out Women-Owned Businesses
“When seeking out new service providers, like a hairdresser, mechanic or dentist, prioritize companies owned by women,” said Zainep Mahmoud, acquisitions marketing lead, small business card at Capital One. “Don’t be afraid to call and ask!”
You can also be proactive about buying from women-owned businesses when online shopping.
“Keep in mind that some big-box retailers will allow you to filter by women-owned businesses and/or small businesses when shopping online,” Mahmoud said.
Show Your Support Digitally
“Take the time to leave online reviews or shout them out on social media, as personal recommendations make a big difference for small businesses,” Mahmoud said.
Donate to Crowdfunds
“Search crowdfunding platforms for opportunities to provide financial support for women just starting or expanding their businesses,” Mahmoud said.
Share Your Expertise
If you have skills that could benefit a women-owned small business, offer to share what you know.
“Seek out pro bono opportunities to leverage your skills like marketing, legal support or financial planning, which are extremely valuable for women as they build their businesses,” Mahmoud said.
If you are an established small-business owner, considering mentoring a woman who is just getting started.
“Mature business owners were once in the same position, and sharing how they got started and overcame obstacles in their career helps to catapult younger business owners past those struggles in the early years,” said Land Bridgers, CEO at Integrated Financial Group.