Women Entrepreneurs on the Rise, According To Report

A new report by Gusto reveals a significant surge in women-led entrepreneurship. According to the survey, nearly half (49%) of new business owners in 2023 were women, a dramatic increase from just 29% in 2019. This trend coincides with a record year for new business applications overall in the United States.

The report attributes this rise in female entrepreneurship to several factors, including:

• Technological advancements: The rise of new technologies, like Generative AI, is seen as a game-changer, helping to level the playing field for businesses regardless of founder demographics.
  

• Increased investor interest: The report highlights a growing investor interest in underrepresented groups, including Black-owned businesses. While there's still a gap in funding equality, the overall trend suggests a more open investment landscape.
  

• Pandemic effects: The report acknowledges the initial surge in women-led businesses during the pandemic and suggests this trend continues to hold strong.

Gusto's survey specifically focused on businesses launched in 2023. Surveying over 1,300 entrepreneurs, the report found:

• Women are leading the charge: Nearly half of all new business owners in 2023 were women.
  

• Funding disparity persists: Despite their success in launching businesses, women are still significantly less likely to receive private capital investment compared to men.

The report concludes with a call for continued progress in closing the funding gap for women entrepreneurs. Overall, the findings paint a positive picture for the future of female entrepreneurship in the United States.