A new study shatters the myth of women being averse to taking risks and hesitating while making bold decisions.
According to the new BMO Wealth Management report (PDF), 72 percent of female entrepreneurs feel very confident in making risk-related business decisions, compared to 64 percent of their male counterparts.
Highlights Paint a Positive Picture of Risk and Women Business Owners
Some of the key findings of the study include the following:
- Sixty-one percent of women entrepreneurs feel a business risk should be calculated, assessed and managed well.
- Thirty-five percent of women entrepreneurs describe their work as something they enjoy, compared to 34 percent of men.
“Decisions that involve risk can cause anxiety, especially for entrepreneurs whose personal finances may be on the line. It’s great to see that so many business owners feel confident making these types of decisions,” said Chris Buttigieg, Senior Manager, Wealth Planning Strategy, BMO (NYSE:BMO) Wealth Management in a press release.
Issues Facing Female Entrepreneurs
The study also found some key concerns posing as challenges for most women entrepreneurs. Among these, managing everything themselves (35 percent) and growing business (35 percent) are the biggest concerns.
About 11 percent of women are also not too confident in their abilities, the study revealed.
Tips for Women Entrepreneurs to Succeed
Lately, women entrepreneurs are showing a lot more confidence and optimism in making their businesses successful than male business owners.
But to break the glass ceiling that has existed for years, women entrepreneurs must address challenges that portray them as risk-averse.
The first step is to come up with a solid business plan. This is crucial because you have to sell your ideas at every step and answer questions such as: Where do you see your business in the next 12 months? How are you going to stay ahead of competition? Why should the target audience choose you?
A strong business plan takes these factors into account to prove the worthiness of your enterprise.
The next step is to dig deeper. Look at the contingencies and the more technical aspects that will play a very important role in your business. Funding, emergencies and insurance are some of the things you will be expected to consider.
Of course, no business owner is expected to do everything alone. The solution is to find the right people who can help you. You may hire consultants to look at the more complex part of your business. But while you may rely on them for their technical expertise, you must keep a close eye on these aspects to stay on top of your game.
Pamela Barnes, CEO and president of EngenderHealth, offers some advice on Business.com, “For all professionals, and especially young women, the world outside our comfort zone can be huge and scary. Until we are willing to put ourselves out there and take a risk, we will never able to achieve professional success and realize out potential.”
Running a business involves facing difficult situations when you’ll be expected to make tough calls. But a solid plan and a great team can make all the difference.
Chart: BMO Wealth Management report