FEMALE ENTREPRENEURS IN AUSTRALIA: AN INVESTIGATION OF FINANCIAL AND FAMILY ISSUES

Abstract

This paper discusses the findings of a survey of female entrepreneurs in Australia and provides a profile of the female entrepreneur and their business activity. The characteristics of the entrepreneur are described, including their motivation for going into business, their attitudes toward training and joining networks. The issues of access to finance and family/business conflict are further investigated in the light of current literature. The results indicate that female entrepreneurs in Australia are well educated and tend to commence their businesses with low start-up capital obtained from personal savings or from family and friends. Their businesses are concentrated in the services sector, with a significant number starting out as home-based businesses. Despite evidence that female entrepreneurs have difficulty in obtaining loan funds, the survey results indicated that a high proportion of female entrepreneurs applying for loans were successful. Further analysis of the survey data indicated that the reason for the loan success had little to do with the strength of the business. This was evidenced by the respondents advising that the main type of information requested at the loan interview was personal financial details, that a high proportion of loans were secured by the family home, and that financial institutions required little in the way of ongoing reporting.