There are still big equality hurdles when it comes to gender in the American workforce, but those disparities are slowly inching closer together. Just take a look at Silicon Valley â€” the number of women founding tech companies is still extremely low. In private companies, just 6.5%Â have a CEO whoâ€™s a woman, and only 1.3% boast a female founder. With these statistics, how can today possibly be the era of the female entrepreneur? How, in a time when there are more women earning degrees and advanced degrees, can we be rallied as the up-and-comers in the startup world?
Hereâ€™s the silver lining: women in tech may still be outnumbered, but theyâ€™re getting recognized like never before. According to this TechCrunch article, when women lead a tech company, they snag a higher ROI by 35%Â compared to their male counterparts. Furthermore, businesses with female founders have reached a record level ofÂ 13% for all venture capital deals as of 2013. Compare that to the 4% from 2004, and you can see that progress is being made.
While there are still, and always will be, horror stories about being a woman in a powerful position, some female CEOs and entrepreneurs have noted progress for the better. Consider the Sheryl SandbergsÂ Â and Marissa Mayers of the world. Theyâ€™re leading Fortune 500 companies, making incredible headlines, and serving as an inspiration for a new era of female business leaders.
In the grand scheme of things, women havenâ€™t been ‘accepted’ in most parts of the workforce for long (a mere 60 years at best). Now women are taking charge in the boardroom, and thatâ€™s a pretty big feat. In the past decade, the amount of women-owned businesses worth at least $10 million hasÂ increased 56.5%, which is 47% faster than all businesses in that price range.
Failure Isnâ€™t an Option
According to a FortuneÂ magazine article, the failure rate of businesses owned by women is also lower. If a business has two, one, or no female executives, the failure rate of a startup is 50.3%. However, add at least five women and the failure rate drops to 39%. Women are particularly succeeding in healthcare, making up 73% of health service manager roles. Of course, the more success encountered by women-owned startups, the more venture capitalists will take note.
Angela Ruth: I and a co-Founder, customer care ninja, and director of marketing at Due. I write for the blog on Due.com, along with a few other top tier publications. I’m always up for a challenge and look forward to new entrepreneurial adventures every day.Â My goal is to help our customers feel like they are rockstars, invoicing rockstars!Â
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