This International Women’s Day, we celebrate the incredible impact women are making on the world, not just through their talent and leadership but also through their entrepreneurial spirit. Women-run businesses are a powerhouse in the UK economy, driving innovation, job creation, and positive social change. Let’s delve into the multifaceted ways women entrepreneurs are shaping the future:

Economic Powerhouse:

  • Over 2 million businesses in the UK are owned by women, making up a significant 20% of all businesses (NatWest Group, 2023).
  • These businesses employ a staggering 4.8 million people, making them a key driver of employment in the UK (The Federation of Small Businesses, 2023).
  • They generate a combined £221 billion in Gross Value Added (GVA), contributing a substantial 13.3% of total GVA to the UK economy, with this number steadily growing (The Federation of Small Businesses, 2023).
  • Encouragingly, the number of women-owned businesses is growing faster than those owned by men (SETsquared, 2024).

Beyond the Numbers: Innovation and Social Impact

Women entrepreneurs are not just driving economic growth, they’re also bringing fresh perspectives and a strong social conscience to the table:

  • Unique perspectives: Women in business offer diverse backgrounds and experiences, leading to more innovative solutions and ideas. Studies show companies with diverse leadership teams are 25% more likely to have above-average profitability (McKinsey & Company, 2023).
  • Focus on social impact: Many women-owned businesses prioritise social responsibility and sustainability, contributing to a more positive impact on society (Women in Business Network, 2023).

Why We Need More Women Entrepreneurs:

  • Closing the gender gap: While the number of women-owned businesses is increasing, they still remain underrepresented compared to other European countries. More women in business are crucial for achieving gender equality and economic empowerment.
  • Unlocking potential: More women entrepreneurs translate to more innovation, job creation, and economic growth. Closing the gender gap in entrepreneurship could add an estimated £250 billion to the UK economy (The Fawcett Society, 2022).
  • Diverse leadership: A business landscape with diverse leadership leads to better decision-making and reflects the richness of our society.

The Challenges and the Way Forward:

Despite their successes, women entrepreneurs still face challenges. High interest rates, inflation, and limited access to finance remain major hurdles (Tide, 2024).

The good news? Three-quarters (74%) of women-owned businesses in the UK expect revenue growth in 2024 (Tide, 2024). Initiatives aimed at supporting women-led businesses are crucial to unlock their full potential and ensure they can continue to drive economic success.

This International Women’s Day, let’s celebrate the women building businesses, creating jobs, and shaping the future.