Women-owned companies are an essential part of the U.S. business landscape, and a recently published report looked at some of the statistics driving it, based on the figures from 2016 alone. The American Express OPEN report estimated that women-owned businesses are responsible for more than $1.6 trillion in revenue and that the amount of these enterprises in the country increased five times more than the national average over a nine year period beginning in 2007.
Growth and success
For women who want to or currently do own businesses, the results of this report may be encouraging. Not only did this demographic show marked comparative success, it signified other important ties between the women owning businesses and the country’s overall state of diversity.
“The American Express OPEN report estimated women-owned business revenue is responsible for more than $1.6 trillion.”
Specifically, the report stated that minority women owned almost 5 million firms, with African-American women making up 1.93 million of these. Ohio was one of the top 10 states home to the highest number of women-owned firms in 2016, along with California, New York and Texas.
However, Florida’s growth rate for women-owned businesses between 2007 and 2016 was 67 percent, the highest of any individual state during this stretch of time.
The industry-specific breakdown showed some additional interesting statistics. The industries with the highest number of women-owned businesses (wholesale trade and accommodations/food services) also had the highest number of total firms.
The two sectors with the shortest gap between total and women-owned firms were construction and transportation. All of the businesses measured for these respective industry figures had at least $500,000 in revenue.
Other signifiers
American Express was also part of a recent ranking of the 50 Fastest-Growing Women-Owned/Led Companies, along with the Women Presidents’ Organization. A statement listed the three top ranked businesses (Orangetheory Fitness, Pinnacle Group and Technology Concepts Group International), and 92 percent of the honorees founded their business.
All of the CEOs are active in daily operations, while 94 percent provide health insurance to all employees. American Express Global Commercial Payments President Susan Sobbott explained the hope of what these awards can possibly lead to.
“Supporting the growth of women-owned and led companies is a true mission for us at American Express, and we are delighted to recognize these trailblazing women for their success,” she said. “We hope these awardees and the stories of their business success will inspire others to create and lead prosperous businesses.”
Gaining alternative offensive
In light of these reports, women entrepreneurs may feel like the time is right to search for how to get an SBA loan. The SBA 504 Loan Program can help owners discover the resources to make important purchases for business development. Register with our mailing list here to learn more about this and other options.
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