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Something significant happened in 2019-2020. While we do not fully understand why this happened, we are incredibly grateful that it happened: an unprecedented variety of women entrepreneurs entered the workforce.
Thousands of latest women-owned and operated businesses emerged overnight and began to thrive in the wholesale, retail, medical and many other industries.
This unexpected but much-needed growth has modified an age-old paradigm and rebalanced the previously male-dominated scale of the entrepreneurial world. This was reported in A test created by Gusto that in 2018-2019, the percentage of reported women entrepreneurs in the US was only 28%. And then, inside a yr, the tides rose, the momentum reversed, and that percentage rose to almost 50%. This number remained in 2020–2023.
And the better part is that they show no signs of slowing down.
Empirical evidence appears to support the above facts, in addition to the numbers and findings. Everywhere you switch, there’s a latest woman-owned business popping up. On every podcast you hearken to, the guest is a female entrepreneur who one day finally decided, “I’m just going to do it,” and ended up building an empire. They win awards, create jobs and turn categories the other way up.
Just as impressive as the variety of women entering the entrepreneurial world could also be the diversity of the industries they enter. According to Wells Fargo ReportLess than a decade ago, women-run businesses were concentrated in just three industries. They currently have a 50% presence in 4 different industries (healthcare/social assistance, administrative and remedial services, skilled and technical services, and a host of other services) and are always growing.
From supplements to donuts, from wine and spirits to services and technology, women make a difference and have a profound impact on the marketplace as a whole and on individual lives. The same Wells Fargo report mentioned earlier found that since the pandemic:
“Women-owned businesses with 50 or more employees make up almost half of women-owned businesses‘ employment and income. Today, women-owned businesses with 50 or more employees generate an average of $31.8 million in revenue, generating total revenues of $1.3 trillion.
This growth is not unique to the United States. International women entrepreneurs are also adding their voices and their corporations to the mix. One of the investment firms I often work with, Arieli Capital, has a large presence in Israel and is seeing an unprecedented variety of women entrepreneurs in its circles.
As I discussed earlier in the article, the impact these corporations are having is significant and there is still room for enormous growth. If you are a woman interested in starting your individual business, it isn’t too late to party. You may have arrived on time.
Why this sudden increase?
Just as necessary as understanding the significance of this increase could also be examining its causes. While some of what I’m about to say is conjecture, at least some of it has been confirmed by some scholars, and the reasons are interesting:
Covid looked as if it would play a huge role (and I know we’re all bored with talking about the pandemic) in this surge. It seems that at least a small positive has emerged from the ashes of the pandemic: the “traditional workplace” as we knew it has fallen apart, and from the pieces a latest vision of what was possible has emerged.
The 9-5 wasn’t working anymore and we realized we could operate without it. Women who identified as traditional “housewives” began to use this fracture and create a workplace and creative space that suited their specific needs: something more flexible. The inability to begin and run your individual business now collapsed, and behind it was a latest way of getting the job done.
The Great Resignation also looked as if it would have had a hand in this sudden surge. People around the world have begun to reassess their values, motives, and desires in the context of their work. They quit when they realized that their employer (or profession path) didn’t align with their basic moral principles. This widespread introspection may have helped refine our collective vision, resulting in latest or less traveled paths for individuals, especially women, around the world.
We can even attribute at least some of this increase to crowd-driven momentum. A certain quantity of inspiration and motivation comes when you see your peers doing something you’ve got all the time dreamed of. This momentum appears to be gaining momentum as more women take the plunge into entrepreneurship.
Finally, latest support groups, systems and funding have change into available. More organizations have been established to support and empower women entrepreneurs. Venture capital has emerged, ready to take a position. Publications started to appear in all places highlighting stories that looked as if it would fall from fruit trees.
I’m not saying there weren’t a lot of resources for women entrepreneurs before 2017, but there are a lot more of them now. There are dozens of publications offering insightful thought leadership and advice for every stage of entrepreneurship.
At the same time, government organizations were created to support enterprises run and founded by women. Many women-focused events, summits, and conferences around the world provide in-person training, roundtable discussions, and incredibly helpful Q&As. It looks like the infrastructure is finally catching up.