Sumer unveils findings on gender disparities in attitudes to entrepreneurship
- Only 29% of female entrepreneurs feel it’s easy to run a business in the UK compared to 48% of their male counterparts.
- Access to finance remains a critical challenge for women, with 12% identifying it as their largest obstacle to growth.
- Just 34% of women plan to hire this year, compared to 53% of men.
Sumer, the UK’s leading mid-market accountancy practice for SMEs, has released findings, exploring the gender disparities in entrepreneurial confidence and the unique challenges faced by female business owners in the UK.
In collaboration with The Entrepreneurs Network, surveying 610 entrepreneurs across the UK, the data reveals a concerning trend: Despite an increase in the number of women owning businesses across the UK, their confidence levels lag significantly behind those of their male counterparts.
While nearly half (48%) of men reported feeling confident about running a business in the current climate, only 29% of women shared this sentiment. This disparity highlights the pressing challenges female entrepreneurs continue to face.
Recommendations for change:
To address these challenges Sumer calls for:
- Improving access to funding specifically for women-led businesses.
- Enhancing visibility and recognition for female entrepreneurs through targeted support and initiatives.
- Encouraging collaborative networks to foster mentorship and guidance.
What’s holding women back?
The research reveals that women reported being particularly burdened by rising input costs and difficulties accessing finance. For female business leaders, these challenges are more pressing than the tax concerns that predominantly worry their male counterparts. In fact, 12% of women cited access to funding as their greatest barrier to business growth, while male entrepreneurs viewed this issue as less critical. Recent data from the British Business Bank shows that all-female founder teams receive only 2% of total UK venture capital funding, underscoring the systemic funding gap that continues to hold back female entrepreneurs.
However, the recent UK budget announcement introduces promising measures to support economic growth, including a £50 million investment specifically aimed at expanding funding for female entrepreneurs through the British Business Bank. This commitment aligns with the goals of the Invest in Women Taskforce, a government-backed, industry-led initiative focused on increasing finance access for female-led businesses. While these broader economic investments are essential, this targeted funding could play a pivotal role in empowering more women-led businesses, addressing some of the key financial barriers highlighted in the Sumer report, and promoting inclusive growth within the UK economy.
While a majority (65%) of men anticipate an increase in turnover this year, just over half (53%) of women report feeling the same way. The hiring outlook is even bleaker, with only 34% of female founders planning to hire new staff, compared to 53% of men. This suggests that women-led businesses may be less likely to expand, which could significantly hinder the overall economic recovery.
The struggle for recognition
Beyond these tangible obstacles, female entrepreneurs also report feeling undervalued. The report reveals that only one in three women believe business owners receive the recognition they deserve, compared to one in two men. This lack of visibility and support may be contributing to the broader issues of confidence and growth.
Jules McKittrick, Chief Risk and Compliance Officer of Sumer, and Executive Sponsor of SumHer* said:
“Despite the growing number of women business owners, a troubling confidence gap continues to limit their growth potential. With over two decades in professional services, I’ve seen firsthand how vital access to resources and recognition is for women in business. We need to go beyond supporting their ambitions—entrepreneurial thinking should be embedded in our educational system to empower future generations to lead and innovate. As we celebrate the achievements of women entrepreneurs, let’s also address the barriers they face head-on to create a more inclusive entrepreneurial landscape in the UK.”
Warren Mead, Chief Executive Officer of Sumer, commented:
“The findings of our report are concerning and highlight the urgent need to address the barriers faced by female entrepreneurs. Their potential is immense, and yet we risk missing a significant opportunity to boost the UK economy if these challenges are not acknowledged and tackled head-on. Supporting female-led businesses is not just a matter of equality; it’s essential for driving economic recovery.”
*SumHer is Sumer’s pioneering Diversity, Equity and Inclusion movement positioning Sumer as a beacon of gender equality in the professional services industry.
