International Women's Day and Women's History Month are celebrated in March and provide a reminder to reflect and celebrate women and their successes. This year, we're shining a light on female entrepreneurs and their importance in the small business community.
Breaking down traditional barriers
Historically, societal expectations and stereotyping of gender roles meant women-owned businesses were often oriented towards less profitable industries. The situation is still concerning: start-ups founded exclusively by female entrepreneurs receive only around 2% of all venture capital funding in the US as of 2023.1 However, advocacy groups and policy changes are making great strides.
Programs like the US Small Business Administration's Women's Business Centers offer training and resources tailored to female entrepreneurs.2 Additionally, organizations such as Women's World Banking promote financial inclusion by helping women access loans and build credit.
Legislation in the form of the Women-Owned Small Business Federal Contract Program (WOSB) was created in 1994 as part of the Federal Acquisition Streamlining Act (FASA) and has further opened doors by ensuring that a portion of government contracts are awarded to women-led firms.3 In December 2000, Public Law 106-554 also established a women's procurement program to aid the government in its aim to reserve a specific portion of its annual contracting budget exclusively for women-owned small businesses.4 Such policy initiatives have been important in addressing systemic inequalities.
Current landscape of female entrepreneurship
Women-owned businesses make up about 39% of all businesses in the US, providing jobs for 12.2 million people and generating $2.7 trillion in revenue. The 2024 Impact of Women-Owned Businesses report highlights that, between 2019 and 2023, the growth rate of women-owned businesses nearly doubled that of businesses owned by men.5
Industries such as healthcare, education, retail and professional services are seeing an emergence of strong female leadership. Women entrepreneurs have also significantly increased business formations in the finance, insurance and real estate sectors.
Moreover, women are making inroads into traditionally male-dominated fields like technology and manufacturing. This shift not only challenges stereotypes but also fosters innovation and diversity in these sectors.
Social and economic impact of female-owned businesses
Where women have greater control over wealth generation, they contribute more than just economic value — the ripple effects have the potential to benefit entire communities.6 Female small business owners are more likely to reinvest profits into their families and local economies, strengthening their businesses' social impact. They also place a greater emphasis on spending on health, education and family wellbeing, contributing to more resilient local economies.
Women-led businesses often prioritize inclusivity and sustainability through redefining corporate responsibility and supporting causes like environmental protection and ethical labor practices. By breaking down barriers and setting examples of success, this can inspire future generations of women entrepreneurs.
Stories of innovation and impact
Women-led ventures now have access to a formal global network of female entrepreneurs, like the Female Founders Fund, an early-stage fund founded by Anu Duggal, that invests in companies led by women, focusing on e-commerce, media, platforms, advertising and web-enabled services businesses. These initiatives illustrate the unique perspective women can bring to entrepreneurship, coupling innovation with a mission to address inequalities.
Some of our inspirational women-owned small businesses
- Evidence Video, a video production company based in Chicago, was founded in 1988 by Gera-Lind Kolarik, an award-winning journalist. The company specializes in assisting attorneys in personal injury and workers' compensation cases, handling over 200 cases a year. As CEO and executive producer, Gera-Lind has built a reputation for excellence. She also serves on the boards of Ignatia House, a Chicago sober-living center for women, Catholic Charities and the Latino Advisor Board.
- Sherry Lavin founded Lavin Lawncare & Landscaping in 2000, bringing a fresh perspective to the lawncare industry. With a commitment to quality products, excellent customer service and unwavering business integrity, Sherry has built her company on a foundation of hard work and attention to detail.
- Lorna G. Puntillo, CEO of ACTE2S, brings more than 30 years of expertise in environmental, health and safety across public and private sectors. A retired US Air Force veteran and former bioenvironmental engineering specialist, Lorna remains dedicated to supporting veterans and protecting the workforce. She's held esteemed roles, Iowa Environmental Protection Commissioner, and is passionate about preserving resources through practical, cost-effective solutions.
- Bea Brent runs BJ's Family Restaurant in Owosso, Michigan, bringing her passion for homemade comfort food to the community. The restaurant has become a local favorite known for its diverse menu featuring breakfast items, sandwiches and seafood dishes. Bea's dedication to quality shines through in BJ's signature offerings, including all-day breakfast, homemade soups, bread and delectable pies. Her commitment to creating a warm, welcoming dining experience has made BJ's a haven for delicious, heartfelt meals.
- Located in Rolling Meadows, Illinois, Café on the Grove is a brunch spot brought to life by the dynamic mother-daughter duo Dena Maldonado and Sue Luisi. Combining their passion for food, warm hospitality and the cozy comfort of family, they've created a welcoming hub for all to enjoy.
- As the executive director of The Yunion, a Detroit-based nonprofit, Nicole Wilson — a registered nurse with more than 18 years of experience — has transformed the lives of more than 10,000 Metro Detroit youth through mentoring and innovative programs. Her passion for the health of women and children also inspired the creation of Standing in the Gap, an HIV prevention initiative that specifically focuses on African American girls and women who are at high risk of contracting HIV.
The road ahead
While progress has been made, the journey is far from over. Addressing unconscious bias, ensuring equal access to funding and providing support systems for women juggling multiple roles remain critical. Continued advocacy and mentorship are essential for creating a more equitable entrepreneurial landscape. As we celebrate International Women's Day and Women's History Month, we give respect to the resilience, creativity and impact of female entrepreneurs.
If you're ready to safeguard your growing business, our small business insurance advisors are here to help. Reach out today for expert guidance tailored to your unique needs and let us support your entrepreneurial journey.
Sources
1Rubio, Jordan, and Rosie Bradbury. "3 Takeaways From VC Funding for Female Founders," PitchBook, 10 Jan 2024.
2"Women's Business Centers," SBA, 31 May 2024.
3Dilger, Robert Jay. "SBA Women-Owned Small Business Federal Contracting Program," CRS Reports, 18 Aug 2020.
4Kim, Amy. "Women-Owned Small Business (WOSB) Federal Contract Program," SBA, accessed 17 Jan 2025. PDF file.
5"The 2024 Impact of Women-Owned Businesses," Wells Fargo, accessed 17 Jan 2025. PDF file.
6Houston, Melissa. "More Wealth in Women's Hands Means Better Business Outcomes," Forbes, 20 Nov 2024.