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In the dynamic landscape of entrepreneurship, where gender diversity and representation have taken centre stage, a recent study conducted by Sage has explored the state of women-led startups across the country.

The study delves into where women entrepreneurs felt most prepared and supported when launching their businesses, exploring their struggles and sources of support. With data gathered from a survey of 500 small business leaders, the research provides some interesting insights into the experiences and aspirations of women in business, and also reveals how the North East is leading the way when it comes to regions best suited for female-led startups.

North East takes the lead

The study revealed regional variations in terms of the level of support and readiness felt by women entrepreneurs, with the North East emerging as a standout region where women entrepreneurs felt significantly supported during their startup journey. Impressively, 81% of female entrepreneurs in this region reported feeling supported as they embarked on their business ventures, and 69% of them highlighted their ability to manage the delicate balance between work and life commitments.

This compared to 66% of women across the country who said they felt supported when starting up, and 61% who said they felt they had been successful at managing their work-life balance as an entrepreneur, clearly showing the North East as above the national average. The North East also scored favourably in other aspects of the overall ranking, including the low cost of office space and the smaller gender pay gap.

Reasons for Startup: Flexibility Trumps All

When it comes to the motivations behind starting a business for regions across England, the study found that women were more inclined to initiate their entrepreneurial journey seeking flexibility and improved work-life balance, with 51% of female entrepreneurs citing these as primary reasons. On the other hand, the top reason for men entering the business world was the pursuit of financial opportunities, as indicated by 48% of male entrepreneurs.

While a majority of both male and female business owners expressed a sense of readiness when launching their startups in terms of skills and knowledge, a notable portion still said they felt unprepared. Around 27% of women and 23% of men admitted to not feeling completely ready for the challenges they encountered, and 97% of all entrepreneurs acknowledged the need to continually develop and enhance various skills to effectively run their businesses.

Struggles Encountered: Gendered Challenges

The research highlighted key areas where women entrepreneurs encountered more challenges compared to their male counterparts. Struggles encompassed profitability (77%), work-life balance (72%), environmental sustainability (65%), cost minimization (71%), financial management (74%), tax understanding (75%), and technology adoption (69%).

Confidence in Success: Women Outshine Men

In terms of confidence for future success, women entrepreneurs demonstrated remarkable self-assurance in several key areas compared to men. The survey indicated that women were more optimistic about achieving the following within the next 12 months:

· Increasing profitability (68% vs. 67%)

· Expanding brand awareness (67% vs. 64%)

· Enhancing customer satisfaction (74% vs. 72%)

· Boosting sales (66% vs. 61%)

· Pursuing environmental sustainability (61% vs. 53%)

Another significant finding was that a higher percentage of women (12%) reported not accessing any funding resources or options during their startup phase, in contrast to 6% of men. Moreover, the study revealed that women often felt a lack of support from various quarters, including financial assistance, governmental and local council support, trade organisations, and industry networks.

Empowering Women Entrepreneurs

With 1 in 3 female entrepreneurs feeling unsupported when beginning their startup journey, and twice the number of women not accessing funding resources compared to men, clearly there is more to do when it comes to fostering environments that uplift women-led startups. The North East is ahead in this regard according to this research, but armed with this information, there is room for improvement everywhere to drive further support for future startup entrepreneurs entering their journey to business success.

You can read more about the study from Sage here.