The number of business owners who are women continues to grow. As a result, more resources are being made available to help female entrepreneurs secure funding to grow their businesses. There are many types of funding and loan programs that are accessible to women, including the Small Business Administration (SBA) microloan program. In addition, there are several organizations that provide specialized financing for women entrepreneurs. These programs include banks and financial institutions, credit unions and online lenders. Depending on the type of business, there are different options for women-owned businesses, with loan amounts ranging from a few thousand dollars to more than one million dollars. Additionally, there are short-term loans, term loans and lines of credit that offer different terms.
The SBA also provides additional resources for women-owned businesses, including a tool that connects business owners with lenders. The agency’s Women’s Business Centers offer counseling and education for entrepreneurs and can help women-owned businesses with federal contracting opportunities. Additionally, the Office of Women’s Business Ownership oversees the set-aside program that limits competition for government contracts to companies that are certified as Woman-Owned Small Businesses (WOSB).
There are a variety of other resources available that can help women-owned businesses, including nonprofit lenders and organizations that specialize in lending to minority and women-owned business. Nonprofit lenders typically offer low interest rates and more flexible qualifications, which can make it easier for women to secure funds. Credit unions are another option that can offer competitive interest rates and are often more flexible than traditional banks in their requirements. Additionally, there are online lenders that offer fast, convenient applications and can connect borrowers to a marketplace of lenders.
In 2022, women-owned businesses were responsible for 48 percent of all non-employer firms and 22 percent of employer firms. However, the gender gap is still significant when it comes to accessing capital to grow or start a new business. In fact, 25 percent of women’s business loan applications are denied, compared to 19 percent for men.
At Lendio, we are committed to closing the gap and providing equal access to business financing for women. We offer an easy, single application that connects women-owned businesses with a marketplace of lenders. This allows entrepreneurs to find the best financing and loan options that are right for them, while avoiding the high fees and slow process of applying to traditional lenders. We also only work with reputable, responsible lenders who don’t require a significant equity stake in the company like venture capital investors. To learn more about how Lendio can help you secure the funding you need for your business, apply now. It’s free and won’t impact your credit score. Then you can focus on growing your business. Business Loans for Women