Women-Owned Business Loans and Grants: A Complete Resource Guide

Women-owned businesses are among the fastest-growing segments of the U.S. economy, yet studies consistently show that women entrepreneurs face unique challenges in accessing capital. The good news: numerous programs, lenders, and resources specifically support women business owners.

This guide covers financing options for women-owned businesses, from SBA programs to grants to alternative lenders, plus certifications that can open additional doors.

The Funding Gap for Women Entrepreneurs

Understanding the landscape helps you navigate it more effectively:

• Venture Capital: Women-founded companies receive approximately 2% of VC funding.
• Bank Loans: Studies show women are approved at lower rates and for smaller amounts than men.
• Interest Rates: When approved, women often pay higher rates on average.
• Ask Gap: Research suggests women ask for less money than male counterparts.

These disparities have prompted the creation of numerous programs specifically supporting women entrepreneurs. Leverage these resources.

SBA Programs for Women-Owned Businesses

The SBA offers several resources for women entrepreneurs:

• SBA 7(a) and 504 Loans: Available to all qualifying businesses, but SBA actively encourages lending to women-owned businesses.
• SBA Microloans: Up to $50,000 through intermediary lenders, often community organizations focused on underserved entrepreneurs.
• Women's Business Centers (WBCs): Over 100 centers nationwide offering free counseling, training, and financing guidance.
• Women-Owned Small Business (WOSB) Federal Contracting Program: Set-aside contracts for certified women-owned businesses.

Grant Programs for Women Entrepreneurs

Unlike loans, grants don't require repayment. Major grant programs include:

• Amber Grant Foundation: Monthly $10,000 grants plus additional annual awards for women-owned businesses.
• IFundWomen Universal Grant Database: Aggregates grant opportunities for women entrepreneurs.
• The Tory Burch Foundation Fellows Program: Funding and education for women entrepreneurs (competitive).
• Eileen Fisher Women-Owned Business Grant: Annual grants for women-owned businesses with social/environmental mission.
• Cartier Women's Initiative: International program for women-owned businesses with social impact.
• State and Local Programs: Many states offer grants for women entrepreneurs — search your state economic development office.

CDFIs and Mission-Driven Lenders

Community Development Financial Institutions (CDFIs) often focus on underserved entrepreneurs:

• Accion Opportunity Fund: Nationwide lending to underserved small businesses, including women-owned.
• Grameen America: Microloans specifically for women entrepreneurs, starting at $500.
• WWBIC (Wisconsin Women's Business Initiative Corporation): Despite the name, operates nationally.
• Justine Petersen: Midwest CDFI with programs for women entrepreneurs.
• Pacific Community Ventures: West coast CDFI supporting underserved business owners.

CDFIs often have more flexible qualification requirements than traditional banks and may offer additional business support services.

Women-Focused Alternative Lenders

Several alternative lenders specifically target women entrepreneurs:

• Fundbox: Fast line of credit accessible to women-owned businesses.
• Kabbage (American Express Business Blueprint): Online lending with streamlined application.
• Biz2Credit: Marketplace connecting women entrepreneurs with multiple lenders.
• BlueVine: Invoice factoring and lines of credit.
• OnDeck: Term loans and lines of credit with fast approval.

Alternative lenders typically offer faster approval but at higher costs than traditional banks or SBA loans. Compare total cost before choosing.

Women-Owned Business Certification

Certification as a women-owned business opens additional opportunities:

Certification typically requires majority (51%+) ownership by women, with women controlling management and daily operations.

Strategies for Successful Funding

These strategies can improve your success in securing financing:

• Don't Under-Ask: Request the full amount you need, not what you think you can get.
• Leverage Networks: Women's business networks provide mentorship, introductions, and peer support.
• Get Certified: Certification opens doors to contracting and some lending programs.
• Build Business Credit: Strong business credit improves terms regardless of gender.
• Use Multiple Sources: Combine loan types, grants, and other funding as appropriate.
• Seek Women-Led Lenders: Some lenders and funds are led by women who understand the challenges.

Additional Resources

Organizations supporting women entrepreneurs:

• NAWBO (National Association of Women Business Owners): Networking, advocacy, and resources.
• Women Impacting Public Policy (WIPP): Advocacy and education for women business owners.
• The Wing and similar communities: Networking and workspace communities for women.
• Score: Free mentoring with mentors experienced in women's entrepreneurship.
• Local Women's Business Networks: Many metro areas have active women's business communities.

Getting Started

Take these first steps to access financing:

• Visit your local WBC: Free consulting can help you prepare for funding applications.
• Pursue certification: If pursuing contracts or supplier diversity programs.
• Apply for grants: Submit applications to relevant grant programs while pursuing loans.
• Compare lender options: Get pre-qualified with multiple lenders to compare offers.