New research from Mastercard reveals almost half (45%) of women in India have considered running their own business. This increases significantly among millennial women (46%), followed by Gen Z (45%) who are far more likely to say this than Gen X or Baby Boomers, both accounting for 38% each.
The top three motivators for Indian women to start their own business are the desire to pursue their dreams (51%), the search for a better work-life balance (44%), and freedom from traditional working structures (40%). Further, nearly half (46%) of Indian women currently have a side hustle, with the figure increasing to 61% among women baby boomers, who are more motivated than all other age groups to start a side business to earn more money.
Women business owners are slightly more likely (89% for women; 87% for men) than their male counterparts to say they expect revenue to grow over the next five years. Nearly four in ten (38%) women expect more than 50% growth over the next five years compared to just a fifth (20%) of men. The industries in which they would like to start a business are education (28%), food and drink (21%), and working as an online seller (16%).
However, despite an evident appetite for entrepreneurship, the research shows that for many women, including those who have already started a business, there are still barriers in place. Around four in ten (42%) women would like to start their own business but believe it isn’t possible for someone like them — with the count rising to 46% among Gen Z women.
The main barrier preventing them from setting up their own business is limited understanding of the customer base (38%). Over a third (36%) of the women surveyed claim they lack the financial resources to start a business, compared to 29% of men. Lack of funding (24%), risk of failure (29%) are some of the other challenges faced by women when starting a business.Women who have already started a business also say they struggle disproportionately with caring responsibilities and work-life balance, with women founders twice as likely as men to say childcare arrangements were a challenge when starting their business (16% for women vs. 7% for men).“This research highlights the remarkable entrepreneurial spirit among women in India, particularly within younger generations. Despite the progress made by women entrepreneurs, the findings also underscore the challenges that still exist. These barriers emphasise the need for fast and meaningful change to create an environment where all entrepreneurs can thrive,” said Gautam Aggarwal, division president, South Asia at Mastercard.
Women feel more confident about starting their own business when they receive training on the best technology (43%) and develop their business plan (42%), compared to men (35% and 34%), respectively.
Two-fifths of Indian women (41%) are also looking for more available funding options to help them set up their business, with the figure rising to more than half (54%) of Gen X women. Four in ten women (38%) would also like better training in technological skills, such as coding. Additionally, nearly two fifths of women founders (36%) said they would benefit from guidance from an expert on managing payments, compared to 27% of men.
