In a stark illustration of the hurdles facing women entrepreneurs, new research has revealed that nearly one in five female business leaders have been compelled to delay or abandon their business plans due to difficulties in securing financing.
A recent survey commissioned by HSBC sheds light on the significant barriers women face when seeking financial support. The survey, which included over 1,000 female business owners, found that securing adequate funding is the primary challenge for one in ten respondents.
Despite plans to expand their businesses both domestically and internationally, many female entrepreneurs are hindered by a lack of access to loans and other forms of financing. Specifically, 18% of female business leaders identified access to funding as a major obstacle to business growth, with 19% having had to either postpone or entirely cancel their business plans due to financial constraints.
In response to these challenges, HSBC has launched a substantial £250 million funding initiative aimed at supporting women-led businesses. This new funding plan is part of a broader effort by the bank to address the financial barriers faced by female entrepreneurs and unlock growth opportunities for their ventures.
Stephanie Betant, Head of Global Trade and Receivables and Lead Sponsor for Women-Led Business at HSBC UK, emphasized the importance of this initiative: “Without sufficient credit lines, women are too often forced to sit on their innovative business ideas and growth plans, or cancel them completely. At HSBC UK, we want to drive meaningful change by using our financial expertise and global network to help women-led businesses realize their full potential, achieving growth and contributing to a stronger economy.”
The survey also highlighted that nearly a quarter (23%) of female business leaders do not seek support from anyone, including family, friends, or colleagues, despite facing significant challenges.
To complement the financial support, HSBC will offer additional resources including quarterly growth masterclasses with senior leaders at the bank, networking opportunities with peers, and recognition through annual award ceremonies. These masterclasses will cover various growth topics such as supply chain management, international market selection, and business planning.
This initiative builds on HSBC’s existing commitment, which includes a $1 billion (£764 million) fund established in 2022 to support female entrepreneurs globally.
The research was conducted by YouGov, surveying 1,014 female leaders—ranging from founders and owners to CEOs and CFOs—across the UK between August 30 and September 10.
