Women entrepreneurs in Austin are calling for more support and resources, revealing a significant gap in opportunity and growth for their businesses. The Mayor's Task Force for Austin Women Entrepreneurs, launched by Mayor Kirk Watson last summer, has unveiled a report spotlighting this issue, according to KXAN. The report, based on a survey and input from task force members across various sectors, identified key obstacles such as limited access to capital, narrow professional networks, and the affordability of essential business services.
Despite making strides in their businesses, women founders note the difficulties in obtaining capital as highlighted in the report. "Sixty-two percent of those surveyed cited access to capital as the biggest challenge they face in building their business," per the findings detailed by KXAN. The issue persists even for those running profitable ventures, with 45% of these stating that funding remains a significant hurdle, KXAN reports. Women entrepreneurs are thus often left funding their companies through non-traditional means such as sales, personal savings, and credit cards.
Networking and mentorship are other critical areas where women entrepreneurs feel left out. Some 52% of survey respondents cited a lack of a "broader, more helpful network" as a barrier, with a striking 30% underscoring the absence of mentors. This state of affairs has led to the formation of several women-only networking groups in the city, as revealed by the Task Force. Yet, these initiatives remain insufficient in truly integrating women into Austin's broader entrepreneurial ecosystem, a situation a task force participant described as having "very little space for women [to do] new and innovative things here," reported KXAN.
The report didn't shy away from recommendations; it provided a dozen pragmatic strategies aimed at bolstering women-run businesses. Among the proposals were calls to open a U.S. Small Business Administration Women’s Business Center in Austin, establish an investment group targeting women-owned businesses, and create a city fund focused on the same, the Austin Monitor outlines. Further suggestions included setting up initiatives to increase affordable debt financing and establishing a virtual hub for resource centralization and networking.
In a broader economic sense, supporting women entrepreneurs isn't just about equity, it's also good business. Carla McDonald, chair of the Task Force, emphasized, “If we were to give our women founders the same level of support we give our male founders, we could increase our local GDP by $6-$12 billion, create thousands of new jobs, accelerate innovation, and build an even better city since studies show that women entrepreneurs invest more in their local communities,” she told the Austin Monitor. This report stands not only as a diagnosis of the current state but as a blueprint for potential economic growth through inclusivity.
Mayor Watson has commended the task force for identifying these significant challenges faced by women entrepreneurs and has expressed commitment to working with Austin's business leaders to enact the task force's recommendations, aiming to secure Austin's place as a preeminent city for women to nurture and grow their business ambitions.
