What are grants? Grants are usually extended by companies, charities, governments, or industrial agencies. The ones that provide the grant usually instruct the individuals or group that can access the funds and the purpose for which the same can be used.
There is a difference between business grants and a business loan. You must repay the loan in the latter case, but grants do not have to be returned.
Women Entrepreneurs in India – What is Stopping Them from Budding
Although we do not have too many women entrepreneurs in India, a handful of them have managed to carve out a niche for themselves. More about a few impediments are still being faced by women entrepreneurs in the country.
According to data from the Sixth Economic Census conducted between January 2013 and April 2014. The census counted as many as 58.5 million businesses, out of which women owned 8.05 million, and it corresponds to a 13.76% rate of women entrepreneurs in the country. However, in 2014, companies involving female businesswomen ownership was 10.7%.
As of 2019, the top five states with the highest women percentage of an entrepreneur in India include Maharashtra, West Bengal, Tamil Nadu, Andhra Pradesh, and Kerala. Since India is a diverse country, the type of entrepreneurship that women engage in is varied.
The fact that microfinancing has gained prominence has led to 98% of the small business administration business entities being owned by women.
What are the causes of low women entrepreneurship despite federal grants? Let us find out more about the reasons.
1. Unconscious Gender Bias
As a result of a survey, it was found that while many women entrepreneurs felt they were not discriminated against based on gender, there was a sect, mainly comprising veterans, that stated that they had to face gender bias instances when they first started.
2. Confidence in Business Skills
There have been instances when co-founders couples have been tagged as “founding couples.” While the husband was called the actual founder, the wife was referred to as “helping the husband.” However, many such women co-founders have broken the shackles and made a mark in their respective fields, working in tandem with their husbands.
3. Access to Funding
Funding has been identified as one of the main factors that tend to pull back the women entrepreneurs in India. While the women from affluent families have their loved ones to finance their projects, those seeking financial assistance in business loans are looked upon as “risky to deal with.” In the yesteryears, not many women entrepreneurs were seen, unlike these days when their number is gradually on the rise.
4. Relationships, Equation, and Networking
Although not predominant, the corporate culture is still male dominant with the evolution of the so-called “bro culture” or the “alpha males.” In the corporate culture speaking out about emotional challenges is still seen as a sign of weakness.
All the above factors contribute to low women entrepreneurship in the country. But the picture is gradually changing these days.