It’s a big decision to become your own boss, and it often seems even bigger for women, who often lack the confidence of their male counterparts.
It’s a fact that women are still struggling with the workplace pay glass ceiling.
At the current rate of progress, we won’t achieve pay parity until beyond 2050 – a sobering thought when pay is supposed to be calculated according to job requirements and employee skills alone. However, if women continue to be open about what they earn and keep abreast of the legislation on equal equalities, things should improve. Similarly, the news is full of stories where entrepreneurs demand more women on company boards and in senior roles. It is generally accepted that a well-formed board needs three to four women on it, not a solitary, token female. But before quotas are considered, we must address the fact that many women simply do not want to become a director. It’s a stressful, high pressure role, with our child-bearing needs often dissecting our level of seniority required. Luckily, this doesn’t mean that women are reluctant to start their own businesses. If you’re female and unwilling to wait for boardroom change, why not run your own business now? BankWest looked at information from the Bureau of Statistics and revealed seven percent growth in the rate of women starting businesses between 2007- 2011, compared with a 1.9 percent increase among men. And business website www.biz-find.co.uk has found even higher figures in the UK, with 16% more women going into business since 2008, compared to 2% for men.
An alternative: business buying
However, starting a business from scratch can be just as stressful as sitting on a company board.
If you are thinking about going into business for yourself, then buying an existing business could be an easier way in.
Pooling resources to buy a business with partners or friends can reduce the effort of going out alone. And when going into business is any form, choosing the right partners is paramount. Everyone has good intentions, but relationship issues can impact on any business. I recommend writing a partnership agreement to regulate business relationships, covering management and exit strategies – so you could buy your partner’s share at a fair price if later.
The advantages of the fairer sex
If you are still wary, here’s some motivation – reasons why women can make great business owners. We bring valuable qualities to workplace discussions. Firstly, women are often keener than men to rely on their instincts, applying them as easily to location specification, product choices and marketing decisions as they would to decisions about childcare or relationship issues.
What women can also do, perhaps to a greater extent than their male counterparts, is to use their natural behavioural style to influence events in their favour.
This includes listening more and talking less during important meetings, putting us in a position of greater power in deal negotiation. Many people feel that they must fill conservational gaps. However the ability to patiently listen giving others their turn, allows them to say more than initially intended, revealing additional information. But also be watchful, as women are also known for qualities not so favourable in business, such as lack of confidence. Pam Bader, CEO of cleaning business Molly Maid says that female franchisees come to her business not knowing if they can do it, whereas men arrive assuming that they can. Running a small business can help build self-esteem, confidence and financial independence. Bader lists being ‘politically astute’ as a skill important for getting on in the business world, saying:
“I’m not going to spend my time sat here if I don’t know what [someone] is talking about. You have to stick your head above the parapet.”
Lastly, women are famous for their multitasking abilities and are used to managing many roles – wife, mum and carer to name three, which easily translate, when required to act in one day as salesperson, money-manager and CEO.
Making it work for you
It’s scary, but I implore women not to reject business ownership out of hand. Small business management offers women flexibility and a work-life balance. And it is never too late to make the break. Take solace from Vera Wang, who says,
“It’s good to work for other people. I worked for others for 20 years. They paid me to learn.”
