Women-Owned Businesses Tend to Be Very Small

September 8, 2006 | Anita Campbell

When dealing with women small business owners, you’ll need to identify with very small businesses.

Women-owned small businesses in the United States are growing in number, and growing fast. Yet, the surprising part is just how small so many of them are.

According to a report recently issued by the U.S. Small business Administration’s Office of Advocacy, women-owned firms increased nearly 20% in the five years between 1997 and 2002.

Women-owned businesses number 6.5 million (not counting farms).

However, almost 80% of them bring in less than $50,000 annually. And 86% have no employees.

What’s more, almost one third of self-employed people (i.e., the no-employee business owners) are moonlighters, meaning they are both an employee somewhere and have a business. Most likely the business is on the side.

What this means is that when you are dealing with women small business owners, you truly are in microbusiness territory. Very small businesses. Maybe even part-time businesses.

Your message will need to be adjusted, as will your pricing, your product mix — everything.

Check out the press release about women-owned firms. Download the full report on Women’s Business Ownership (PDF).