Women in Business Statistics in 2024 (Latest U.S. Data)
There are more women-owned businesses than ever before, but they are still in the minority.
Women in business statistics show that women are faced with difficult challenges when it comes to business funding and gender biases.
Women in Business Statistics
Overview of statistics of women in business:
- 42% of all businesses in the U.S. are women-owned.
- Women-led businesses employ 9.4M workers and generate $1.9T in revenues annually.
- States with the most women-owned employer firms are Hawaii, Virginia, and Colorado.
- Over 1,800 new women-owned businesses are created each day in the U.S.
- 1 in 3 female entrepreneurs has experienced sexism as a business owner.
- The top priority of women-owned businesses is to get more funding and financial help.
- The average loan size for women-owned firms is 50% lower than for male-owned.
- Only 2.4% of venture capital funding goes to female founders in the U.S.
- 31% of women business owners have school-aged children at home.
1. 42% of all businesses in the U.S. are women-owned.
The share of women-owned businesses from all businesses has skyrocketed in recent years.
According to American Express female entrepreneurs statistics, 42% of all businesses in the U.S. are women-owned. (1)
Women-owned businesses (WOB) are defined as businesses that are at least 51% owned, operated, and controlled by one or more females.
| All U.S. Firms | Women-Owned | Growth 2014-19 |
| 42% are WOB | 12,943,400 Firms | 21% Increase |
Between 2014 and 2019, the number of companies owned by women grew by 21%, while all businesses increased by only 9%. (1)
According to the latest available women business owners data (2019), there are 12.9 million women-owned businesses in the U.S.
Women of color account for 50% of all women-owned businesses in the U.S.
According to the latest female entrepreneurship data (2019), women of color account for 50% of all women-owned businesses in the U.S. (1)
Although the number of women-owned businesses grew a strong 21% in the past years, firms owned by women of color grew by a whopping 43%.
| Women | Share of WOB | Number of WOB | Growth 2014-19 |
| White/European | 50% | 6.5 M | 5.6% |
| African American/Black | 21% | 2.7 M | 49.8% |
| Latina/Hispanic | 18% | 2.3 M | 39.6% |
| Asian American | 9% | 1.2 M | 37.4% |
| Native American/Alaska Native | 1.4% | 180 K | 25.5% |
| Native Hawaiian/Pacific Islander | 0.3% | 40 K | 40.8% |
* The percentages do not add up to 100 due to roundings.
Black female entrepreneurship statistics show that African American/Black women account for 2.7 million or 21% of all women-owned businesses in the U.S. (1)
Latina/Hispanic women account for 2.3 million or 18% of all women-owned businesses in the U.S.
Asian American women account for 1.2 million or 9% of all women-owned businesses in the U.S.
Interestingly enough, the highest growth in female-owned businesses has been among African American/Black women, with a 49.8% increase.
2. Women-led businesses employ 9.4M workers and generate $1.9T in revenues annually.
According to American Express women business owner statistics, women-led businesses employ 9.4 million workers and generate $1.9 trillion in revenues annually. (1)
| Women | Firms | Revenue | Employment |
| Total | 12.9 M | $1.9 T | $9.4 M |
| Women-of-Color | 6.4 M | $422.5 B | $2.4 M |
The total employment by women-led businesses rose 8% from 2014 to 2019, while for all businesses, the increase was 1.8%. (1)
About 6.4 million women-of-color-owned businesses in the U.S. employ 2.4 million people and generate $422.5 billion in revenues annually.
The disparity between the revenues of minority and non-minority women is noteworthy.
The average revenue of a non-minority women-owned business is $218,800, while minority-owned businesses average of $65,800. (1)
| Women | Employment | Revenues | Rev. Per Firm |
| White/European | 7 M | $1.4 T | $218.8 K |
| African American/Black | 450 K | $64 M | $24 K |
| Latina/Hispanic | 682 K | $119 M | $50.9 K |
| Asian American | 1.2 M | $224 M | $191.2 K |
| Native American/Alaska Native | 65 K | $12 M | $68.5 K |
| Native Hawaiian/Pacific Islander | 17 K | $2.8 M | $69.5 K |
Although Asian American women account only for 9% of all businesses owned by women, they employ a whopping 1.2 million workers, which is the highest among minority groups. (1)
The women in business report suggest that closing the revenue gap between minority and non-minority-women-owned businesses would have a huge impact on the U.S. economy.
Four million new jobs and $981 billion in revenue would be added if the average revenue of minority and non-minority businesses would match.
3. States with the most women-owned employer firms are Hawaii, Virginia, and Colorado.
According to Census Bureau women-owned business statistics, the states with the most women-owned employer firms are Hawaii, Virginia, and Colorado. (2)
| State | Women-Owned Employer Firms |
| Hawaii | 24.7% |
| Virginia | 23.8% |
| Colorado | 22.2% |
| Florida | 22.1% |
| Maryland | 21.8% |
| Alaska | 21.6% |
| Georgia | 21.1% |
| New Mexico | 20.9% |
| Nevada | 20.8% |
| Oregon | 20.6% |
In Hawaii, women-owned employer firms make up 24.7% of all firms in the state.
In Virginia, women-owned employer firms make up 23.7% of all firms in the state.
In Colorado, women-owned employer firms make up 22.2% of all firms in the state.
The female business report also suggests that California, the state with the most firms than any other state (724,139), has the most women-owned firms (149,927). (2)
| WOB Payroll | Difference | National Payroll |
| $38,238 p.a. | 34% | $54,114 p.a. |
The Census data suggests that the average annual earnings of employees of women-owned firms are 34% lower than the national average.
The average annual payroll per employee of women-owned firms is $38,238 compared to the national average of $54,114
4. Over 1,800 new women-owned businesses are created each day in the U.S.
According to American Express female entrepreneurship statistics (2019), 1,817 net new women-owned businesses are created each day in the U.S. (1)
| Net New Businesses | Non-Minority | Minority-Owned |
| 1,817 per Day | 11% of New Firms | 89% of New Firms |
The net new number takes into account the number of firm births minus firm deaths or changes in ownership resulting in the loss of women-owned status.
Entrepreneurial women data also suggests that only half of all small businesses will survive their first 5 years and only one-third will make it to 10 years. (3)
Women of color account for 89% of the net new women-owned businesses per day.
According to the women entrepreneurs statistics, women of color represent 39% of the total female population in the U.S. but account for a whopping 89% of the net new women-owned firms per day. (1)
| Women | Net New Firms | Share of New WOB |
| White/European | 192 | 11% |
| African American/Black | 763 | 42% |
| Latina/Hispanic | 557 | 31% |
| Asian American | 265 | 15% |
| Native American/Alaska Native | 30 | 2% |
| Native Hawaiian/Pacific Islander | 10 | 1% |
* The percentages may not add up to 100 due to roundings.
African American/Black women represent 42% of net new women-owned businesses in the U.S., which is three times their share of the female population (14%).
Latina/Hispanic women represent 31% of all net new women-owned businesses in the U.S., which is nearly double their share of the female population (17%).
5. 1 in 3 female entrepreneurs has experienced sexism as a business owner.
The reality is that gender bias and sexism in business are real and will erode confidence and lead to unequal opportunities.
According to SimplyBusiness female entrepreneur statistics, 32% of female entrepreneurs have experienced sexism as business owners. (4)
| Female Business Owners | Percentage |
| Experienced Gender Bias or Inequality in Business | 91% |
| Experienced Sexism as Business Owner | 32% |
| Investors, Colleagues, and Customers Underestimate Them | 22% |
| Experienced Unequal Access to Opportunities | 19% |
| Fell They Don’t Have a Loud Enough Voice | 15% |
A staggering 91% of women business owners say gender bias and inequality is prevalent in business.
22% of female business owners say investors, colleagues, and customers underestimate them.
19% of female business owners face unequal access to opportunities.
15% of female business owners don’t feel they have a loud enough voice or are heard enough compared to men.
6. The top priority of women-owned businesses is to get more funding and financial help.
According to the National Association of Women Business Owners (NAWBO) and Quickbooks women entrepreneur statistics (2022), the top priority of women-owned small businesses is to get more funding and financial help. (5)
| More Financial Help | More Hiring Help | More Tech. Help |
| 49% | 15% | 10% |
The smaller the business, the greater the funding challenge.
In order of preference, women-owned business owners want to expand access to government grants, tax breaks, and business loans.
Over half of the women-owned businesses are funded by personal savings.
About 53% of women-owned businesses are funded by personal savings. (5)
Paycheck protection program also plays an important role in the funding of woman-owned businesses.
| Funding | Women-Owned Businesses |
| Personal Savings | 53% |
| Paycheck Protection Program | 44% |
| Economic Injury Disaster Loans | 26% |
| Private Business Loans | 15% |
| Loans From Family and Friends | 9% |
* The percentages do not add up to 100 due to the combination of funding methods.
About 44% of women-owned businesses are funded by paycheck protection programs.
Interestingly enough, only 15% of women-owned businesses have ever received a private business loan.
7. The average loan size for women-owned firms is 50% lower than for male-owned.
According to Biz2Credit male vs. female business statistics (2022), the average loan size ($49,712) for women-owned businesses is 50% lower than for men-owned ($83,198) businesses. (6)
| Businesses | Credit Score | Average Loan | Business Age |
| Men-Owned | 594 | $83,198 | 45 mo |
| Women-Owned | 580 | $49,712 | 48 mo |
In 2021, the average loan size for women-owned businesses in the U.S. was $49,712, while the average loan size for male-owned businesses was $83,198. (6)
The funding rate for women-owned companies was 40% lower than the funding rate for men-owned companies.
The analysis also revealed that the average female business owner’s credit score (580) is 14 points lower than the average (594) of a male business owner.
8. Only 2.4% of venture capital funding goes to female founders in the U.S.
According to Pitchbook female entrepreneurs statistics (2022), only 2.4% of venture capital funding goes to female founders in the U.S. (7)
| Female Founders | Total Invested ‘21 | Female & Male Founders |
| 2.4% | $57 Billion | 14.7% |
Despite the woman-only funding share being small, the VC funding for female-founded or co-founded companies have been trending up in recent years.
The women founder’s data also shows that about 14.7% of venture capital funding goes to female and male founders in the U.S. (7)
In 2018, the total deal count by a female (co-) founded companies was 2,730 and a total of $20.1 B was invested.
In 2021, the total deal count by a female (co-) founded companies was 4,427 and a total of $57 B was invested.
9. 31% of women business owners have school-aged children at home.
The global pandemic has had its effect on everyone, especially on women business owners.
According to NAWBO and Gusto’s statistics about women in business (2021), 31% of women business owners have school-aged children at home. (8)
| Women Entrepreneurs | Percentage |
| School closures have impacted their businesses | 61% |
| Have female workers who reduced their hours due to childcare | 41% |
| Have school-aged children at home | 31% |
| Will offer childcare benefits post-pandemic | 14% |
| Offered childcare benefits pre-pandemic | 6% |
That means one-third of women business owners have been squeezed at both ends.
Women entrepreneurs feel the demands of keeping a business afloat while also caring for their children in the midst of a global pandemic. (8)
About 61% of women owners with children say that school closures have impacted their business and 30% of reported scaling back due to childcare needs.
Pre-pandemic, about 6% of women entrepreneurs offered childcare benefits, and post-pandemic, 14% are planning to offer childcare benefits.
References
- American Express. 2019. State of Women-Owned Businesses Report. Link
- Census Bureau. 2021. Women Business Ownership in America is on the Rise. Link
- Guidant. 2022. 2022 Small Business Trends. Link
- SimplyBusiness. 2022. Report into gender bias and inequality affecting women business owners. Link
- QuickBooks. 2022. Special report: Access to funding remains a challenge for women-owned businesses. Link
- Biz2Credit. 2022. Annual WomenOwned Business Study 2022. Link
- Pitchbook. 2022. The US VC Female Founders Dashboard. Link
- Gusto. 2021. How the Pandemic’s Childcare Crisis Impacted Women-owned Businesses and Altered their Future. Link
