Uncovering Financial Realities: Challenges and Opportunities for Women Entrepreneurs in Lucknow, India

International Journal of Humanities and Social Science

© 2024 by SSRG - IJHSS Journal

Volume 11 Issue 5

Year of Publication : 2024

Authors : Kaumudi Jain

10.14445/23942703/IJHSS-V11I5P101

How to Cite?

Kaumudi Jain, "Uncovering Financial Realities: Challenges and Opportunities for Women Entrepreneurs in Lucknow, India," SSRG International Journal of Humanities and Social Science, vol. 11,  no. 5, pp. 1-10, 2024. Crossref, https://doi.org/10.14445/23942703/IJHSS-V11I5P101

Abstract:

Women entrepreneurs in India face significant challenges in accessing financial resources despite their demonstrated success. This research focuses on female entrepreneurs in Lucknow, aiming to identify the sources of financing utilized, their awareness, challenges, and perceptions regarding access to financial resources. Using a qualitative approach, personal interviews were conducted with 11 respondents from various industries. The findings reveal that women entrepreneurs are hesitant to seek external investments due to perceived financial constraints imposed by investors. Selffunding and funding obtained from spouses are the predominant methods of financing. Despite government initiatives, a lack of awareness, accessibility, or trust results in minimal utilization. Additionally, there is a notable lack of knowledge about procedures for accessing funds. Many participants expressed a desire for the establishment of an entrepreneurship cell to provide guidance and facilitate connections with suitable investors. These findings underscore the need for targeted interventions to address the barriers faced by female entrepreneurs, emphasizing the importance of increasing awareness about funding opportunities and establishing support structures. Such initiatives could encourage greater participation, innovation, and success, promoting gender equality and inclusivity in Lucknow's entrepreneurial ecosystem.

Keywords:

Empowerment, Financial inclusion, Gender equity, Women entrepreneurship.

References:

[1] Niels Bosma et al., “Global Entrepreneurship Monitor 2020/2021 Global Report,” Global Entrepreneurship Research Association, 2021.
[Publisher Link]
[2] Pivot Pathways, From Frustration to Fortune, Medium, 2024. [Online]. Available: https://medium.com/@pivotpathways/from-frustration-to-fortune-c7779b789a34
[3] Seema Singh, Kiran Mazumder-Shaw: A Journey Marked by Grit, Business-Standard, 2016. [Online]. Available: https://www.businessstandard.com/article/companies/kiran-mazumder-shaw-a-journey-marked-by-grit-116042201274_1.html
[4] Nancy Carter et al., “Women Entrepreneurs Who Break Through to Equity Financing: The Influence of Human, Social and Financial Capital,” Venture Capital, vol. 5, no. 1, pp. 1-28, 2003.
[CrossRef] [Google Scholar] [Publisher Link]
[5] Joanna Partridge, Women-Led UK Firms Struggle to Attract Equal Investment, Study Finds, The Guardian, 2022. [Online]. Available: https://www.theguardian.com/business/2022/mar/31/uk-firms-run-by-women-struggle-to-attract-investment-gender-index
[6] Aleksandra Liaplina, and Kruskaia Sierra-Escalante, “Closing the Gender Finance Gap Through the Use of Blended Finance,” International Finance Corporation, World Bank Group, pp. 1-15, 2022.
[Google Scholar] [Publisher Link]
[7] Katie Abouzahr et al., Why Women-Owned Startups are a Better Bet, The Boston Consulting Group, 2018. [Online]. Available: https://www.bcg.com/publications/2018/why-women-owned-startups-are-better-bet
[8] Alexander Muravyev, Oleksandr Talavera, and Dorothea Schäfer, “Entrepreneurs’ Gender and Financial Constraints: Evidence from International Data,” Journal of Comparative Economics, vol. 37, no. 2, pp. 270-286, 2009.
[CrossRef] [Google Scholar] [Publisher Link]
[9] Saibal Ghosh, and D. Vinod, “What Constrains Financial Inclusion for Women? Evidence from Indian Micro Data,” World Development, vol. 92, pp. 60-81, 2017.
[CrossRef] [Google Scholar] [Publisher Link]
[10] Ridhima Saggar, Nischay Arora, and Balwinder Singh, “Gender Diversity in Corporate Boardrooms and Risk Disclosure: Indian Evidence,” Gender in Management: An International Journal, vol. 37, no. 2, pp. 182-201, 2022.
[CrossRef] [Google Scholar] [Publisher Link]
[11] Purva Khera, Closing Gender Gaps in India: Does Increasing Womens’ Access to Finance Help?, International Monetary Fund, pp. 1- 43, 2018.
[Google Scholar] [Publisher Link]
[12] Asit Kandpal, and Megha Grover, “Efficacy of Mudra Yojana of Funding the Unfunded on Women Empowerment,” Social Science Learning Education Journal, vol. 5, no. 11, pp. 368-376, 2020.
[Google Scholar] [Publisher Link]
[13] P T. Shivakumar, “Stand Up India (SUI) Scheme: Opportunities and Challenges,” Indian Journal, vol. 14, no. 1, pp. 61-73, 2020.
[CrossRef] [Google Scholar] [Publisher Link]
[14] A. Flora Noyal, “Women’s entrepreneurship in India: Challenges and Opportunities,” Journal of Emerging Technologies and Innovative Research, vol. 10, no. 8, pp. 539-541, 2023.
[Publisher Link]
[15] Ashish Kumar, Mitu Mandal, and Uma Shankar Yadav, “Motivation and Challenges in Career Choice and Well Being of Women Entrepreneurs; Experiences of Small Businesses of Lucknow, Uttar Pradesh,” Journal of Positive School Psychology, vol. 6, no. 4, pp. 10890-10906, 2022.
[Google Scholar] [Publisher Link]
[16] Press Trust of India, Only 3% Women Have Access to External Funding in Small Cities, Finds Study, Business-Standard, 2024. [Online]. Available: https://www.business-standard.com/finance/investment/only-3-women-have-access-to-external-funding-in-smallcities-finds-study-124050201128_1.html
[17] V. Ramanathan, and Toopalli Sirisha, “Mind-Set of Women Entrepreneurs towards Informal Sources of Funds with Family Type in Tamilnadu,” International Journal of Emerging Technologies and Innovative Research, vol. 8, no. 8, pp. 378-384, 2021.
[Google Scholar] [Publisher Link]
[18] Nevena Kulic, and Giulia M. Dotti Sani, “Intra-Household Sharing of Financial Resources: A Review,” European University Institute: Max Weber Programme, pp. 1-13, 2017.
[Google Scholar] [Publisher Link]
[19] SitiSuziyati Suman, and Abdul Basit, Sahibzada Muhammad Hamza, “The Impacts of Ownership Structure on Firm Performance,” International Journal of Accounting & Business Management, vol. 4, no. 2, pp. 262-271, 2017.
[Google Scholar]
[20] Candida G. Brush, Anne de Bruin, and Friederike Welter, “A Gender‐Aware Framework for Women’s Entrepreneurship,” International Journal of Gender and Entrepreneurship, vol. 1, no. 1, pp. 8-24, 2009.
[CrossRef] [Google Scholar] [Publisher Link]
[21] Alka Gupta, Safal Batra, and Vishal K. Gupta, “Gender, Culture, and Implicit Theories About Entrepreneurs: A Cross-National Investigation,” Small Business Economics, vol. 58, pp. 1073-1089, 2020.
[CrossRef] [Google Scholar] [Publisher Link]
[22] Muriel Orhan, and Don Scott, “Why Women Enter into Entrepreneurship: An Explanatory Model,” Women in Management Review, vol. 16, no. 5, pp. 232-247, 2001.
[CrossRef] [Google Scholar] [Publisher Link]