Women started an average of 1,821 new businesses per day in the U.S. between 2017 and 2018, according to analysis in the 2018 State of Women-Owned Businesses Report, commissioned by American Express.
The report explores data back to 1972 – the first time the U.S. Census Bureau provided data on minority-owned and women-owned businesses.
The analysis shows that over 48 years the number of women-owned businesses increased a dramatic 31 times from 402,000 to 12.3 million in 2018.
During that time, employment for these firms grew 40-fold from 230,000 to 9.2 million, and revenues rose from $8.1 billion to $1.8 trillion-- 217 times greater.
“This new data demonstrates not only the remarkable impact women entrepreneurs have on our economy when it comes to creating jobs and generating revenue, but also the growing role of women-owned businesses in our communities,” said Julie Tomich, SVP, American Express Global Commercial Services.
“Over the past 11 years, we’ve seen women’s entrepreneurship and economic impact increase – especially among the growing number of women-owned companies that generate more than $1 million in revenue.”
Notably in 2018, women-owned businesses that generated revenues of more than $1 million increased 46% over the past 11 years vs. 12% of all U.S. businesses. While these high-earning firms make up only 1.7% of all women-owned businesses, they now account for 68% of total employment and 69% of revenue among all women-owned businesses.
Since 2007, women of color have started businesses at an unmatched rate. While the number of women-owned businesses grew 58% from 2007 to 2018, firms owned by women of color grew at nearly three times that rate (163%).
As of 2018, women of color account for 47% of all women-owned businesses. An estimated 5,824,300 women-of-color-owned businesses employ 2,230,600 people and generate $386.6 billion in revenues.
Meanwhile, women are also making headlines in other aspects of the business world.
Female chief executive officers of the biggest London-listed businesses are earning an average of 3 million pounds ($4 million) less than their male counterparts, Bloomberg reported.
The figures, from a Chartered Management Institute survey published by the Sunday Times, found that total pay for male FTSE 100 CEOs averaged 5.8 million pounds, compared with 2.6 million for women. The gap is narrowest at around 12 percent when comparing basic salaries, and widens to 36 percent for bonuses and 75 percent for long-term incentive plans.
The report follows a study released last week by the CIPD and the High Pay Centre, which showed men called Dave were as common as women in FTSE 100 CEO roles. Those figures suggest men earn 100 percent more than their female counterparts on average.
The highest-paid male boss was Jeff Fairburn at homebuilder Persimmon Plc, who earned a total of 47 million pounds. The best paid woman CEO was GlaxoSmithKline Plc’s Emma Walmsley, who earned 4.9 million pounds.
Material from Bloomberg, Reuters and the Associated Press were used in this report.
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