Women Entrepreneurs Facing Financing Challenges in 2024
Did you know that despite women business owners contributing approximately $150 billion to the Canadian economy, they still encounter significant hurdles in their entrepreneurial journeys? According to a recent report by the Canadian Federation of Independent Business (CFIB), women entrepreneurs face persistent challenges when it comes to accessing financing for their businesses.
“Women entrepreneurs play a vital role in our economy, providing local jobs, boosting the GDP, and supporting our communities. But while there are universal challenges that all entrepreneurs face, there are also unique experiences that make it harder for women to succeed and grow their businesses,”
– Laure-Anna Bomal, CFIB economist
We understand the importance of addressing these barriers and supporting women in business. In this blog, we navigate the complex landscape of government funding programs for women entrepreneurs.
Breaking Down Barriers
The CFIB report sheds light on the difficulties women encounter accessing financing for their ventures. Shockingly, half of women business owners surveyed reported facing challenges in securing funding, with 22% experiencing outright rejection of their financing applications, a rate significantly higher than the average for all businesses.
Furthermore, navigating government support programs presents another obstacle for women entrepreneurs, with 45% of women reporting difficulties in finding information about available programs and 38% in the application and qualification processes compared to men (34% and 30%, respectively). Despite the existence of specialized programs tailored for women entrepreneurs, such as the Women Entrepreneurship Loan Fund and the Inclusive Women Venture Capital Initiative, utilization remains low at 3%, highlighting a significant gap in support.
Considering these findings, it’s clear that more needs to be done to ensure equitable access to financing and support for women entrepreneurs.
Access our Startup Resources to learn how your business can access grant programs early.
Partnering for Progress
As advocates for women entrepreneurs, we believe in the power of collaboration and support. That’s why we urge governments to increase awareness of programs specifically designed for women entrepreneurs, simplify application processes, and provide additional support throughout the process.
Read our blog on The Top 4 Financial Resources for Women Entrepreneurs to help your business stay competitive.
At Mentor Works, A Ryan Company, we can support your business in achieving financial success. We streamline the government funding application writing process to make sure your application stands out in a competitive pool.
Contact us today and access your maximum funding potential.
