Why Startups Are the Best Place for Women in Business

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Did you know one in five companies that generate $1million revenue is owned by women? According to the Bureau of Labor Statistics, 16 million women worked in the 50s’ and that number has gone far beyond 66 million now. With technology, liberation and globalization, women have come a long way to now running full-fledged businesses.

What makes women so resilient, so that even in the face of sexism, gender bias, and other obstacles, they succeed in businesses? Here are clues to figure out the phenomenon of why startups are the best place for women in business.

startups for women

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Startups Break the Glass Ceiling

Doing business is no easy feat. For women, though, a startup business can mean many things. One of the most important benefits startups give to women is the destroying of the glass ceiling effect. As women are more empowered when they run their own business; they hold the reins. For the women in business, gender is not an impediment to growth. The nature of business will foretell the success or failure, not sexism.

Less Discrimination in Society

A successful business is one that offers a solution to a problem. When women in business can give a solution, offer something valuable to society then there is less discrimination against the people. For example, Elizabeth Arden started a spa with a red door in 1910. Four years later she hired chemists to formulate a range of skin care cosmetics.

Within a decade Elizabeth Arden became a global cosmetics brand and became one of the top three most-known companies despite the Great Depression. She was the first woman to be on the cover of a magazine and this was in a society that repressed women to be the perfect wives in ideal homes.

The Lure of Freedom and Autonomy

In a regular job, if the promotion was given to a man, there is nothing much the woman can do about it. Women in business, though, have the control and the power to defy such scenes. Running a business is no easy feat, but once women figure it out, they are happier being in startups than working a full-time job elsewhere. The flexibility for women in business is incomparable to city jobs.

In light of women still fighting for a decent parental leave, wellness perks and flexible hours, the lure of startups is irresistible. This doesn’t mean women take on more free time in startups than men. It just means minimizing the commute makes women in business more available to their family on short notice. The startup benefits far surpass the economic and social value.

Women’s Brain is Wired Differently than Men’s

Women use as much as 10,000 gestures compared to men who only use about 3000 in a day. Communication is a powerful quality that helps women to confront team members or be the peacemakers in times of trouble. Being more expressive and descriptive, women pay more attention to detail and get things cleared up. Women are multi-taskers compared to men who compartmentalize brain activity. This is a helpful quality for being in a startup where you need to be working on multiple activities.

startups for women

Women are Better Risk Takers

Compelling research shows that startups led by women in business are 63 percent more profitable than led by men. Another report shows tech women entrepreneurs generated nearly 35 percent higher return on investment than the men. A growing body of research shows men are more egotistical or over-confident view of risks. Women are realistic about risks. Women do not suffer from a superiority complex as much as men, and so, their approach to risk is more calculated than men.

A Higher Emotional Quotient is Advantageous

This is no secret that women can empathize more than their male counterparts. Women have an open mind and are more open to listening. So women in business are more eager to listen to customer feedback and implement changes. Cheryl Yeoh says women are fantastic at conducting user interviews and communicating business needs to the technical team. This quality is helpful in a startup environment where the business is all about solving a problem.

startups for women

Even though you don’t need a scientist to tell you men and women act differently, there is compelling research that proves men and women think differently; their brains are wired differently. It’s not about who does it better, it’s about how the different qualities give women in business an edge over women in city jobs. It is important to note that both men and women have skills. So, hire more women in business to combine both minds and bring forth innovative ideas and better balance.


The battle of the sexes need to end, and what better way than encouraging more women in business!