There is no denying that most big business conglomerates have been set up by men. Men are considered more eligible than women for running a successful business. But does that make women less competent? Well, women are capable of handling multiple tasks at a time and are more productive at work than men. The irony is that women did get enough chance to prove their entrepreneurial skills in the male-dominant business world. Even today women are not well accepted as "Boss" and this is what makes the title of this article more meaningful.
The 21st-century women are not only working and handling multiple tasks but also setting up their businesses and motivating other women to follow their dreams. All they need is business loans for women to provide them the much-needed capital to multifold the reach of their idea and generate more revenue. But applying for a business loan and getting it is not so easy for women in the male-dominant business world.
There are a few reasons why women are denied business loans:
Even if the idea for a startup is good enough to turn into a big business one day, women are mostly denied the loan because of either having no business experience in the past or being unfit for the role of running a business on her own.
It's a fact that discrimination is done with women in the business world. Most business loans for women are denied because it is considered that in the long run women would not be able to cope up with the pressure, finance, procurement, manufacturing, networking, manpower and thus will not be able to repay the loan.
What options women have for financing:
It's not the end of the road if you did not get a business loan from a bank. There are few alternatives available which are assisting women entrepreneurs to take their business idea one level up.
The first alternative handily available for women to avoid the male-dominant venture capital market is Crowd Funding. It is an excellent medium for women to raise the fund for their idea. Even the Crowdfunding market has grown exponentially over the past few years. Crowdfunding help women showcase their business idea in front of numerous individuals and let them fund for the project.
Another alternative is merchant cash advance that is a good medium to inject the much-needed capital in the business to increase sales. A merchant cash advance is generally provided to women who are already running a business. Merchant cash advance is based on future sales projections. The business needs to pay a certain portion of the future revenue until the advance is paid back. The formalities for merchant cash advance vary a lot in different countries for instance if you are UK based then your firm should be registered and trading in the UK. Your firm should be trading for more than 6 months. Your monthly sales average should be of £5,000.
The last option is a bank loan, even though it is pretty difficult for female entrepreneurs but is a good option if the loan is sanctioned. All that a female entrepreneur has to do is to fill in the application form, provide details of the business and the amount of loan to be borrowed. It might be possible that you have to talk with the manager regarding your business idea and tell him about the potential behind the idea and the planning you have to turn it big one day.
Author, Freelance writer