The small-business gender gap is closing as female entrepreneurs continue to launch businesses at nearly twice the rate of men. This is good news for the economy. The Guardian Small Business Research Institute projects that women-owned businesses with create 5 million new jobs by 2018, about one-third of the 15.3 million total new jobs anticipated by the Department of Labor.
For this sector of the economy, prospects seem bright. Earnings of women-owned businesses increased a whopping 54 percent in a year-to-year comparison conducted by my company, Biz2Credit.com, which analyzed bank data and tax filings of more than 10,000 companies that applied for small-business loans during the past year. Average earnings for women-owned businesses rose to $54,114 in 2013, from $35,135 in 2012.
These improved fundamentals have spurred the fund-raising efforts of female entrepreneurs. Last year twice as many women-owned businesses sought funding than in 2012, raising $55 million through our platform, as confirmed by IRS data. The average loan size: $85,000.