More women than ever are choosing to become entrepreneurs. Today, there are close to one million women-owned businesses in the UK with a turnover of up to �1m - one third of all small businesses.
The advantages of self employment can be significant:
- Personal satisfaction - you can focus on exactly how you want to earn a living and incorporate that into your everyday life; running your own company can be a very rewarding experience.
- Childcare - if you are a working mum you may be able to organise your day to fit in with the needs of the children, or possibly with other working mums organise your own cr�che. It may also be possible to run a company in partnership with friends or colleagues, enabling you to share the burden of work and childcare accordingly.
- Freedom of action is also a highly prized value of self employment. Many women decide on self employment to overcome discrimination in the market place and as a way of determining their own economic futures.
Many of the issues affecting start up business are universal but there are particular things to consider as a female business owner. This section will help you take into account the advantages you have and the disadvantages you may be up against when starting a new business.
- Women are usually great organisers, display imagination and are very practical, all ideal skills for running a business. Think about what particular skills you have that can be applied to business.
- Women are often naturally gregarious, making them ideal networkers and are excellent at multi-tasking. Do you have these talents or do you have a potential business partner who could handle this side of things?
- Women often lack confidence in their own abilities and may need lots of support from a network of their peers. If this applies to you, it is important to have friends who can lend support and encouragement when needed.
- Women are reluctant to ask for financial help when setting up a business and tend to use their own money instead. Capital is a major issue for women who often have less access to financial resources.
- Women often choose to run businesses that allow them freedom to spend time with the family too. But starting a business is tiring and you will need to think about how you will organise your time and manage the work/life balance appropriately.
There are many sources of advice to help women get a good start in business and here you will find information on some of the resources available. Remember good advice is the best safeguard a new or existing entrepreneur can have and it saves valuable time and effort. Professional advisers can help you with many aspects of your business - they will become a valuable asset to you and will continue to help as your business grows. The following information is broken down into the key areas where traditionally women often face barriers when considering self employment.
Business Plans
Having a good business plan is absolutely essential and will give you much needed credibility. Women with experience as entrepreneurs know just how important this is and how much it can impact on your success.
A business plan is not just for financiers. It tells you how your business will work once you start trading. You will refer to it on an ongoing basis and it will help you track your progress. If you are looking for funding a good plan with full financial projections is vital - banks or other funding sources will rely on this information to make decisions.
Producing a business plan can be daunting but once you have your business worked out you will feel more confident about getting started. That confidence and clarity will not only help you take important decisions and approach things in an organised manner - it will also mean that people you deal with will have confidence in you and take your business ideas seriously.
As a woman it is vital that you have confidence in yourself. A good business plan will show that you have covered all aspects of running the business and that your plan for the future is viable and realistic.
Your local Enterprise Agency or Business Link adviser will be able to provide you with one-to-one advice and assistance at all stages of your business. Visit topic area: Starting a Business
Access to Finance
As previously mentioned women starting up a business have tended to finance themselves instead of borrowing money. Research shows that women are more risk adverse than men and are generally less comfortable with debt. However, borrowing the capital to start your own business should not be viewed as a barrier to making it happen. If you have done your market research properly and put together a good business plan then you should have confidence that you will be able to pay the money back. A good business plan will also give you credibility when applying for funding.
Women often have less access to financial resources - they often inherit less, own less and still tend to earn less. Where this is the case, start up investment is important in helping get the business off the ground. Business debt is often necessary if your business is to succeed. Your local Enterprise Agency or Business Link adviser will be able to help you put together realistic financial projections and advise you on the types of loans available. Visit topic areas: Starting a New Business and Young Entrepreneurs.
Networking
Networking is a crucial part of business and most entrepreneurs rely heavily on informal networks of friends, families and colleagues. Being an entrepreneur can mean that you sometimes feel isolated. Having the opportunity to talk to other entrepreneurs can provide vital support, will greatly improve your network of contacts and may open the door to other opportunities.
Women tend to be natural networkers and by joining women' s networking groups you will be able to get feedback about your business ideas.
Useful Links
British Association of Women Entrepreneurs
www.bawe-uk.org
Business and Professional Women (UK)
www.bpwuk.org.uk
Prowess - UK wide trade association for promotion of women's enterprise support
www.prowess.org.uk
Businessfriends - set up to provide networking opportunities for professional women
www.businessfriends.org.uk
Busygirl (now named Aurora Womens Network) - a corporate and entrepreneurial network
www.busygirl.com
Everywoman - offers an on-line resource to support women starting or growing a business in the UK.
www.everywoman.co.uk
E-Women Forum - runs learning events in London and aims to support women working in e-business.
www.e-womenforum.com
Your local Enterprise Agency, Business Link or Chamber of Commerce will also be able to provide you with local opportunities for networking.