With 40% of privately owned businesses being owned by women in May 2011, according to Forbes,there is no doubt that female entrepreneurs are catching up with males when it comes to being business savvy in the world’s view. While the sex of the owner should not make any difference in the financial management of the business, the human race has not come that far just yet. At least 97% of these woman owned businesses, as of May 2011, had failed to meet the million dollar mark in revenues. These 5 tips can help women business owners, whether they are just starting out or they are pros at owning their own business.
Use Social Media
Now is not the time to resist change. Social media is one of the most affordable ways to market a business and to network. Create a Facebook page, start a blog, Tweet, and embrace Google+. Take every opportunity to get your business in front of the cyber community.
Take Advantage of Financing for Women
There are several sources of capital that are reserved for women only, or women and minorities. Take advantage! There are numerous small business loans that are designed to give women a leg up in a man’s world. Biz2Credit has a special offer for female entrepreneurs.
Women are very inclined to do everything themselves, and frankly it is cheaper at first glance. Resist the urge and instead focus on what you do best while contracting with others to do the rest. By using contract workers you save on benefits and payroll taxes while still offering job opportunities and potentially working with some very talented people. You also reduce the risk of burning yourself out. It is the best of both worlds.
Know the Numbers
It is essential to understand the numbers in any business. Understanding cash flow and the balance sheet are necessary skills, and lack of them can cause big problems fast. If you do not know about these things, take a class or partner with someone who does.
Understand the Financial Impact of Discrimination
Sadly, traditional banks and credit unions still treat women business owners differently when it comes to small business financing for start-up or growth either one. Understand this and embrace it, seeking help instead from alternative lenders that specialize in small business lending and are more than willing to help.
Whether a business owner is a man or a woman should not matter, but statistics tell us that it does.
Women can use this to their advantage by taking advantage of the tools available to them to promote the growth of their own small business.
This article was submitted by Raj Tulshan, Director of Business Development of Biz2Credit. Biz2Credit is a small business marketplace that connects entrepreneurs with financing options and advice to grow their business. Send all questions to firstname.lastname@example.org.