Bouncing Back From the 'Shecession': Startup Tips for Women Entrepreneurs
Covid-19 has had an immense impact on America’s businesses, and women have especially felt the effects of the tumultuous economic conditions. The Institute for Women’s Policy Research reported that in November 2020 women’s jobs on non-farm payrolls were 5.27 million below February's pre-Covid levels; in comparison, there were 4.57 million fewer non-farm payroll jobs for men.
Known as the “shecession,” that trend has given women good reason to explore creating their own career destinies by starting businesses. Even as job growth is on an upward trajectory in 2021, uncertainty still exists amid Covid-19’s ebbs and flows.
As a female entrepreneur, I would love to see more women embrace the possibilities and potential of launching their own companies and fulfilling their dreams. Of course, with the opportunities come challenges as well.
In this article, I’ll share helpful startup tips for women entrepreneurs and share some thoughts about what women entrepreneurs should consider as they venture forward in paving their professional path as business owners.
7 startup tips for women entrepreneurs
1. Realize risks come with the territory
My personal entrepreneurial experience has brought failure as well as success. The key is to recognize the risks upfront so you can minimize their impact if they do occur. Many women (and men) shy away from starting businesses because they fear risks and the sting of failure.
Know that fear in and of itself isn’t necessarily a bad thing—especially when it motivates you to learn as much as you can about what might not go your way. However, fear should not immobilize you and stop you from pursuing your dream just because there’s a chance of not achieving it. Be cautious but realize that every successful entrepreneur has faced risks.
“You can’t get anywhere in life without taking risks.”—Esme Bianco, actress
2. Follow your passion with fervor—and common sense
Because starting a business consumes a lot of time and energy, it’s much more exciting and fulfilling when you’re pursuing something you love. When you create a business built on your interests, skills, and knowledge, you will likely find it easier to commit yourself to it and stay the course. So one important startup tip for women entrepreneurs is to follow your passion when launching a new business.
That said, consider that passion can only take you so far. You need to choose a business idea for which there is a need or demand in the market. Whether you’re adding your own spin on an existing concept or developing something wholly unique, it’s critical to do your due diligence and determine if the products and services you intend to offer will be embraced by customers.
3. Talk it up!
Tell your family, friends, former coworkers, neighbors, bankers, local grocery store workers, gym acquaintances, and as many other people as possible about your startup. You’ll be spending a lot of time building your business, so start talking about it. Word-of-mouth can have a tremendous impact on a new company’s visibility in the market.
Moreover, letting people know about your entrepreneurial efforts will help them understand why you may not be as socially available as you were before. Setting expectations with friends and family can help avoid hard feelings and establish a foundation of understanding.
4. Begin bootstrapping
It’s very important to control spending when launching a new business. The less money you spend upfront, the better your cash flow will be to get you through what might be a tumultuous ramp-up period. Some bootstrapping ideas to help conserve precious dollars include:
- Start online (e-commerce) rather than paying for a leased or purchased office or retail storefront.
- Work from home. This has become extremely convenient to do with all the technology available today. Just make sure that the business activities you conduct from home are allowed by your local jurisdiction’s zoning laws.
- Exercise frugality. Focus on buying equipment, software, and supplies that are necessary versus merely “nice to have.” Also, consider purchasing used equipment and furnishings that are in peak condition, but have a lower price point than new items. Saving money is ALWAYS in style!
- If you need help accomplishing some business tasks, consider using freelancers or independent contractors. This can be especially beneficial if your workload isn’t always consistent and you don’t want the ongoing compliance responsibilities of managing payroll.
- Consider keeping your day job and working on building your business on a part-time basis. That can ensure you have steady household income flowing in while your business begins to bloom.
More articles from AllBusiness.com:
- No Money? No Problem–Here Are 10 Ways to Bootstrap Your Business
- 5 Make-or-Break Decisions Entrepreneurs Face When First Starting Out
- How to Build a $1 Billion Business: 12 Secrets From the World’s Most Successful Startups
- Why Working Moms Make Great Entrepreneurs
5. Don’t be a hero; find a mentor who can help guide you
Women entrepreneurs have many places to turn for guidance as they start and grow their companies. Consider the free mentoring available through Women’s Economic Ventures, SCORE, and your local Small Business Development Center (SBDC).
Also, local community colleges often offer low-cost classes on entrepreneurship, general accounting and bookkeeping practices, marketing, and business management.
Another great way to learn and improve your business acumen is by joining professional women’s organizations that connect you with other women business owners.
6. Be patient
One of the most important startup tips for women entrepreneurs is to remember that there is no such thing as an “overnight success.” Stay the course, be persistent, and have patience. Expect to experience bumps in the road as you navigate the opportunities and challenges of starting a business.
So many of us have become accustomed to instant gratification, thanks to the digital age we live and work in. However, building a company takes time. It’s essential to accept that and avoid becoming discouraged when things don’t take off as quickly as you’d like them to.
7. Make positivity your mindset
I live by two mantras. They are simple and straightforward:
1. Do what it takes to achieve your vision and goals.
2. Make time, show up, and act ... no excuses.
I know it can be easy to lose hope and let feelings of defeat overpower all else, especially during times of economic uncertainty like the "shecession." However, I encourage you to find your inner strength and embrace these mantras, too. I believe you’ll discover they can serve you well personally and professionally.
“If you don’t like something, change it; if you can’t change it, change the way you think about it.”—Mary Engelbreit
