According to a recent report by Tide, a UK-based business financial platform, 47% of women continue to encounter obstacles when seeking credit. The report, released on Wednesday, highlights findings from Tide India’s inaugural Bharat Women Aspiration Index (BWAI), which surveyed over 1,200 new and established business owners aged 18 to 55 in Tier-II towns.
Among the key revelations is the staggering statistic that 95% of women entrepreneurs are unaware of government financial schemes or initiatives that could benefit their businesses. Despite this lack of awareness, the report indicates that 52% of women entrepreneurs do have access to financial credit, suggesting that approximately one in every two entrepreneurs has successfully secured financing.
These findings shed light on the ongoing challenges faced by women in accessing financial resources for their businesses, while also underscoring the importance of increasing awareness about existing government support programs. As efforts continue to address these disparities, there is hope for greater financial inclusivity and empowerment among women entrepreneurs in India.
Oliver Prill, global chief executive officer, Tide, said, “One of the biggest barriers to financial institutions supporting women entrepreneurs is the lack of reliable data by gender and region (especially Tier-II towns and beyond).
The lack of awareness, data, and other insights into the trends of women entrepreneurs in semi-urban and rural areas translates into a broader impact where targeted action and support, either financial or mentorship, can be lacking.”
The report emphasizes that approximately 80% of women recognize the importance of digital literacy in advancing their businesses. However, it also reveals that around 51% of business owners encounter obstacles in accessing digital tools necessary for their operations.
Tide’s findings underscore that 38% of women find it easier to reach customers through digital means. Additionally, 31% believe that being the first to enter the local market provides a competitive advantage in both business operations and talent acquisition. These insights shed light on the evolving landscape of entrepreneurship for women, highlighting both opportunities and challenges in leveraging digital platforms for business growth.
Gurjodhpal Singh, chief executive officer, Tide India, said, “The findings have inspired us to be a key partner in their success stories. Access to funding, mentors, and digital tools for doing business are tightly interwoven and interdependent. While women entrepreneurs from small towns report that they have access to credit, a large gap in their understanding of financial issues remains.”