Women entrepreneurs face a series of problems right from the beginning till the enterprise functions. Being a woman itself poses various problems to a woman entrepreneur.
Women entrepreneurs have to face the following Problems:
Lack of Adequate Capital: Generally, women entrepreneurs use their savings and personal property to start a new venture. Women entrepreneurs stiffer a lot in raising and meeting the financial needs of the business. Bankers, creditors, and financial institutes are not coming forward to provide financial assistance to women borrowers on the ground of their less credit worthiness and more chances of business failure. Due to their poor access to external financial resources, they face the problem in raising capital.
Poor Business Relations: In male-dominated groups, it is very hard for the women entrepreneurs to develop business relations. Therefore, they find limited business opportunities.
Lack of Skill: Generally, women possess administrative skills and lack manufacturing and technical skills. As women are accepting a subordinate status, as a result they lack confidence of their own capabilities, even at home, family members do not have much faith in women possessing the abilities of decision-making. Therefore, their skills and experience limits them to service-related ventures only.
Family Pressure: Women entrepreneurs suffer from family pressure. They have to devote their time for household works and for children. They are over burden with family responsibilities like extra attention to husband, children and in laws which take away a lots of their time and energy. This limits them to use time for new venture.
Low Mobility: Women tend to be less mobile than men by nature. Due to low mobility, they may lose various business opportunities. Women mobility in India is highly limited and has become a problem due to traditional values and inability to drive vehicles. Sometimes, younger women feel uncomfortable in dealing with men who show extra interest in them than work related aspects.
Lack of self confidence: Women entrepreneurs because of their inherent nature, lack of self-confidence which is essentially a motivating factor in running an enterprise successfully. They have to strive hard to strike a balance between managing a family and managing an enterprise.
Unfavorable Environment: The society is dominated by males. Many business men are not interested to have business relationship with women entrepreneurs. Male generally do not encourage women entrepreneurs.
Other Difficulties: Women entrepreneurs have to face various other problems such as legal constraints, lack of infrastructure, shortage of raw materials, stiff competition, etc.