Women-owned businesses are critical to the health of the European economy.
For more than a decade, governments and a range of organisations in the public, private and academic sectors have recognised the value of supporting women’s enterprise from both a policy and practical perspective. The result has been increased awareness of the contribution these businesses make to the economy and a small, but significant, growth in both the number of start-ups and growing businesses where women are playing an executive role. Today women entrepreneurs in Europe make up only 30% of all entrepreneurs.
Although the upturn in women running businesses in the past decade or so has been encouraging, much more needs to be done to overcome the specific factors which discourage women from starting or taking over small firms. And even more importantly, to develop an environment in which existing female entrepreneurs can more easily grow their firms.
In 2013, the role of female-led businesses will be more important than ever- there are women-owned businesses operating across the nation, in every sector – and their role in growing the economy, and creating and sustaining new jobs, is crucial to recovery and growth.
The Commission is currently working with Member States to find ways to overcome the factors which discourage women from taking up the option of entrepreneurship, and a number of initiatives have been launched. However, despite this level of activity women are too often invisible within the business arena – in the media, within business representative organisations, and when it comes to influencing policy. At a time when government funding for business support has been cut in many countries, and when many businesses are struggling to survive and grow, there is a danger that the progress made to date will falter, and the ‘multi-billion Euro opportunity’ which growth from female-led enterprises can bring to the European economies will not be realised.
“Entrepreneurship in small and medium-sized enterprises is absolutely necessary today. Despite the difficulties that SMEs have been suffering over the last years, they are today the main source of jobs and the engine of growth in Europe…. women’s entrepreneurship should be boosted, being very valuable and a way of increasing the employment rate” Regina Bastos MEP.
As long as women remain under-represented in enterprise, governments are wasting a multi-billion pound opportunity to grow their economy.
Recent UK figures show female unemployment at its highest level for 23 years and similar conditions are found across the EU. There is also a record level of young people, including many female graduates, who are not economically active. Self-employment and business ownership can be a positive way of addressing these issues, as well as helping existing women-owned businesses to take on new employees and contractors.
Dinah Bennett, in her role as vice-chair of Women’s Enterprise Policy Group (WEPG) participated in a discussion on Women Entrepreneurs in Europe at the European Commission. Download the article
