Entrepreneurship

Corona Crisis Hits Female Start-ups Hardest, 70% of Female Entrepreneurs Fear Negative Impact

Corona Crisis Hits Female Start-ups Hardest, 70% of Female Entrepreneurs Fear Negative Impact

Up to 70% of female entrepreneurs anticipate negative effects of the corona crisis on their start-up. While male-run start-ups are also affected by the recent developments, the impact is felt less keenly, as can be seen in a new information graphic from Kryptoszene.de.

66.3% of the female founders expect declines in turnover. A similarly high proportion indicate that they expect cancellations of events and delays in orders. The infographic also reveals a large gap: just 15.7% of German start-ups were founded by women. Of start-ups managed by women, just 5.2% have received investments exceeding one million euros – among male business founders, the figure is significantly higher at 27.8%.

In addition, women are disproportionately likely to start a business in the areas of social entrepreneurship, green economy and the health sector, according to the survey. Other industries in which women are underrepresented have at points even profited from the corona crisis, including the Fintech sector. Around 70% of Fintech bosses are convinced that their company will benefit from the results of the pandemic.

The influence of the measures taken in the face of the virus on start-ups is also evident from a look at job vacancies. While at the beginning of the year, 63% of companies had jobs to offer, this figure has now risen to 49%.

“Business founders are facing unique challenges in the corona crisis,” explains Kryptoscene analyst Raphael Lulay. “While certain industries are even profiting, female founders are feeling the affects  particularly acutely. On the one hand, they are more likely to manage start-ups in sectors that haven’t been among the winners of the crisis, and on the other hand they have reduced working hours more significantly than their male colleagues – at least when children are involved”.

The full story with the infographic, facts and more statistics:

Corona Crisis Hits Female Start-ups Hardest, 70% of Female Entrepreneurs Fear Negative Impact

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