Women entrepreneurs are driving a significant shift in the US economy, with two out of every 10 businesses being women-owned. Despite this, many female business owners struggle to secure financing. That’s largely because lenders have different criteria for who they loan to. Lenders want to know that you’ll use the money wisely, make your repayments on time and continue to grow your business. With the right strategy, however, you can help ensure your application meets these requirements and has a higher chance of approval.
There are a number of resources available to women small business owners looking for funding. For instance, the Small Business Administration has set aside a portion of their 7(a) loans specifically for women-owned businesses. This program is great for funding inventory and equipment, as well as providing access to working capital. Another option is to apply for a Woman-Owned Small Business Federal Contracting Program certification, which allows you to compete for 5% of all set-aside contracts awarded by the federal government.
You can also look to online lenders for women-owned business loans, which offer a wide range of financing options including short-term working capital loans, long-term term loans and lines of credit. Typically, online lenders have less stringent qualifications and lower interest rates than traditional banks or credit unions. This makes them a good option for women who may not have the years of operating history or strong revenues required to qualify for an SBA loan. loans for women owned business
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