Women-owned firms in the United States have grown 1. 5 times faster than the national average over the past 15 years and the greatest share of women-owned firms are in educational services, health care and social assistance, and entertainment and recreation.
These are some of the facts revealed in American Express OPEN’s second annual State of Women-Owned Businesses report. Below are 10 facts from the report which provoked reaction and comments from successful female entrepreneurs.
1. In the past 15 years, the number of women-owned businesses grew by 54%; there are now 8.3 million women-owned businesses in the United States.
2. Despite owning nearly 30% of U.S. businesses, women attract only 5% of the nation’s equity capital. When it comes to first-year funding, women receive 80% less capital than men.
3. Women-owned businesses employ 7.7 million people. That’s 40% more people than three largest employers — McDonald’s, IBM and Wal-Mart — combined.
4. Women-owned firms generate revenues of $1.3 trillion. Over the past 15 years, women-owned businesses saw 58% increase in revenue, from $546 billion to $1.3 trillion now. This revenue is more than the combined market cap of Apple, Microsoft, GE, Google and Sony. Plus, revenue has grown more than twice the amount of U.S. population growth during the same period of time.
5. The industries with the fastest growth and greatest share of women-owned firms are educational services, health care and social assistance, and entertainment and recreation.
6. In seven out of 13 of the most populous industries, women-owned firms are exceeding overall growth.
7. The top states for women-owned businesses are Arizona, Nevada, Wyoming and North Dakota. The top cities are Sacramento, Riverside, San Antonio, Houston, Baltimore and Washington, D.C.
8. Two percent of women-owned businesses bring in more than $1 million in annual revenue, versus 5% of all firms.
9. As they reach 5-9 employees or earn $250,000, women-owned businesses experience faltering growth.
10. Of women-owned businesses, 5.5% used a loan to get started, compared to 10.7% overall