Partner Article

Female entrepreneurs 'better placed for recession'

Female entrepreneurs are faring better in the current economic climate than their male counterparts, according to a survey by Delta Economics.

The survey of over 1,500 founders of businesses between two and ten years old found that only 50% of women entrepreneurs are concerned about financing for their companies, compared to 75% of men.

The research found that women entrepreneurs are more cautious when it comes to investing, and therefore their companies are not as financially stretched in the current economic climate.

Rebecca Harding, managing director of Delta, said: “Female entrepreneurs have slightly different business models. They are more about making sure they don’t over-extend themselves and fall too close to the sun.

“Men are likely to have taken on more credit and are now finding access to finance more difficult. Women are very much more cautious about taking on huge amounts of debt.

“It’s also because of the business model, because they are building on more robust foundations. A lot of the women we talk to are really concerned about their employees. When they employ someone they feel a commitment to keep that person in post.”

The study concluded that there is no intrinsic difference between male and female led companies after a firm has survived its first two years in business.

This was posted in Bdaily's Members' News section by Ruth Mitchell .