Most Women Business Owners Make Less Than $50K A Year — Here’s How We Can Change That

It’s a stark reality that despite the growing number of women entering the entrepreneurial space, most women business owners earn less than $50,000 a year. Melissa Houston’s recent Forbes article sheds light on this troubling statistic and highlights the barriers women face, such as lack of access to capital, undervaluing their services, and juggling family responsibilities.

As the founder of She’s in Business, I have seen firsthand how women can overcome these challenges and build thriving, profitable businesses. But to do this, we need a shift in the way women approach entrepreneurship and the support systems available to them. The good news is that change is possible — and it’s happening right now.

The Barriers to Success for Women Entrepreneurs

Houston’s article identifies some key reasons why so many women business owners struggle to break past the $50K income ceiling. Let’s explore these barriers in more detail:

1. Lack of Access to Capital: Women often face gender bias in the lending space, making it difficult to secure the funding necessary to grow their businesses. Without sufficient capital, it’s challenging to invest in marketing, hire teams, or scale effectively.
2. Undervaluing Services: Many women undercharge for their services due to a lack of confidence or fear of scaring off potential clients. This not only limits revenue but also devalues the expertise women bring to the table.
3. Balancing Business and Family Life: Women are often juggling multiple roles, managing both their businesses and families. This can limit the amount of time and energy they can devote to scaling their ventures.
4. Limited Networks and Mentorship: Women often have fewer opportunities to connect with mentors or enter high-value networks, which are critical to business growth and expansion.
5. Gender Bias in the Marketplace: Despite progress in gender equality, women still face biases in the marketplace. These biases manifest in being taken less seriously by potential clients or investors, which impacts their ability to grow their business.

Why We Need Change

The fact that most women business owners make less than $50K annually isn’t just an economic issue — it’s a societal one. When women are financially empowered, they invest back into their families, communities, and society at large. Closing the income gap isn’t just about improving individual lives; it’s about creating a more equitable and prosperous world for everyone.

Women bring incredible ideas, innovation, and leadership to the business world, but when they’re held back by income disparities and structural barriers, society misses out on their full potential. To unlock this potential, we must take tangible steps to dismantle these barriers.

How the She’s in Business Challenge Can Help

The 5-Day She’s in Business Challenge, starting on October 7th, is designed to help women break through these barriers and create profitable businesses before the end of 2024. During this free challenge, participants will learn how to:

• Build a Viral Offer: Discover how to craft an irresistible offer that attracts the right clients and stands out in today’s crowded marketplace.
• Attract Quality Leads: Learn proven strategies for attracting leads without burning out, using the power of digital marketing and personal branding.
• Launch with Impact: Implement effective business strategies to launch or scale your business in ways that will immediately increase profitability.

This challenge is about more than just learning the basics. It’s about empowering women to step into their full potential as entrepreneurs. We’ll be tackling head-on the issues that hold women back — from undervaluing their services to balancing work and family life.

Addressing the Barriers Together

If we want to change the fact that most women business owners earn less than $50K a year, we need to address the root causes. Here’s how we’re making this possible through the She’s in Business Challenge:

• Confidence in Pricing: One of the key areas we focus on is helping women understand the value they bring to the market and how to confidently charge what they’re worth. Pricing shouldn’t be about discounting to attract clients — it’s about owning your expertise and positioning yourself as an authority.
• Business Systems for Growth: We teach women how to automate and scale their businesses using modern tools, so they can focus on high-impact activities. From automating marketing processes to learning how to delegate, we show you how to make your business work for you.
• Mentorship and Community Support: Our challenge provides participants access to a community of like-minded women who are all working toward the same goal — building profitable businesses. We also connect participants with mentors who’ve successfully navigated these challenges.

A Call to Action

The current income gap among women entrepreneurs is unacceptable, but it doesn’t have to be this way. Women deserve to not only survive but thrive in business. If you’re a woman ready to break through the income ceiling and create a thriving business, I invite you to join us for the 5-Day She’s in Business Challenge starting October 7th.

This is your opportunity to finally gain the clarity, confidence, and community you need to make 2024 your breakthrough year. Together, we can change the narrative and ensure that more women reach — and exceed — that $50K milestone.

Sign up today and take the first step toward building the business — and life — you deserve.

Let’s talk about something that hits close to home for many of us: the nurturing trap. It’s that instinctual urge to offer our skills and services for free, hoping it will pay off in the long run. Spoiler alert: it often doesn’t. Instead, it leads to a cycle where we’re funding our businesses with credit cards, rather than profits.

The Nurturing Nature

As women we are naturally inclined to someone out, offering your expertise, and you’re genuinely happy to do it. But deep down, there’s a concern gnawing at you. “Will this ever translate into paying clients?” For many women, the answer often ends up being NO, we turn into social entrepreneurs!

A recent survey which absolutely blew my mind, found that a significant number of female entrepreneurs fall into this pattern. According to the National Women’s Business Council, nearly 57% of women-owned businesses are financed through credit cards at some point​​. This isn’t just a temporary fix; it’s a symptom of a bigger problem.

The Myth

“If I offer more for free, people will see my value and eventually pay for my services.” Sounds familiar, right? The harsh reality is that while generosity is a beautiful trait, it doesn’t pay the bills. Free work often leads to more expectations of free work, rather than a stepping stone to paid opportunities.

The Truth

Here’s the truth, ladies: offering too much for free usually leads to a business funded by credit cards, not profits. This isn’t sustainable and can lead to financial strain. In fact, statistics show that women are more likely than men to use personal credit cards to finance their businesses​. This can lead to high-interest debt and financial stress, making it harder to scale your business.

The Solution: Charge Your Worth

Recognizing your value is the first step to breaking this cycle. Start by setting clear boundaries and pricing for your services. Your skills and expertise are valuable, and it’s time to start charging for them.

Building a sustainable business means ensuring that your work is both impactful and profitable. It’s about finding the balance between helping others and valuing your own worth. By doing this, you’re not only building authority in your field but also creating a business model that’s financially sustainable.

Final Thoughts

Ladies, let’s break free from the nurturing trap. Let’s build businesses that are profitable and sustainable. Remember, you deserve to be paid for your expertise.

So, if you’re serious about building your authority and attracting paying clients, join our free training session. Click here to reserve your place: https://shesinbusiness.co.uk/sp/authoritytraining

Dr. Stephanie Wilson

When I first started out, I was convinced that investing in the latest marketing tools and software would be my ticket to success. I spent a lot of money on all kinds of tools – from complex sales funnels to expensive analytics software. I believed these tools would magically boost my business and attract clients.

But here’s the truth: despite all the fancy tools, I didn’t see the growth I was hoping for. I realized that while tools can be helpful, they aren’t the magic solution. What really made a difference was something far more fundamental – building a strong personal brand.

Your personality and authenticity are your greatest assets. People connect with real stories, genuine experiences, and authentic personalities. When I shifted my focus to building my personal brand, everything changed.

• Authentic Storytelling: I started sharing my journey, my struggles, and my successes. I was transparent about the ups and downs of entrepreneurship, and people resonated with my story.
• Engagement Over Funnels: Instead of spending hours tweaking sales funnels, I spent time engaging with my audience. I replied to comments, had meaningful conversations in DMs, and built real relationships.
• Market Research Through Conversations: Rather than relying solely on data, I got on calls with my target audience. I listened to their pain points and understood their needs firsthand. This not only helped me create better content but also fostered trust and loyalty.
• Daily Documentation: I began documenting my daily experiences, focusing on my feelings and thought processes. Sharing these genuine moments helped my audience relate to me on a deeper level.
• Finding the Right Mentor: I looked for mentors who were just a few steps ahead of me, rather than those who had already made it big. These mentors provided practical advice and guidance that was relevant to my current stage.

Focusing on personal branding had a bigger impact than any tool ever could. My engagement skyrocketed, my audience grew, and most importantly, I started attracting paying clients who trusted me and valued my expertise.

If you’re serious about building your authority as the go-to expert to attract paying clients, comment “Me” below! Let’s connect and grow together. Remember, it’s not about the tools you use, but the story you tell and the connections you build.