HerMoney Media and Principal Finds Women Business Owners Take Fewer Risks

A 2023 survey by HerMoney Media and Principal Financial Group revealed differences in confidence levels between male and female small and mid-sized business (SMB) owners.

This post originally appeared in HerMoney Media on October 26, 2023.

According to the survey, nearly half of female SMB owners (46%) express caution about the U.S. economy in the coming year, in contrast to only a third of male SMB owners (35%).

Gender gaps are evident in financial confidence as well. Male SMB owners exhibit higher confidence in their financial knowledge and investment capabilities compared to female SMB owners.

When it comes to risk-taking and navigating economic challenges, male SMB owners are bolder than their female counterparts. In the event of an economic downturn, almost half (49%) of women SMB owners would adopt a conservative approach, whereas only a third of men (36%) would do the same.

The survey also highlights that women SMB owners place more emphasis on workplace culture. They consider a positive work environment (75% vs. 62%), mental health and well-being (52% vs. 42%), and opportunities for advancement (50% vs. 41%) more important for employees than men.

However, women are less likely to offer financial wellness programs (56% vs. 36%), often due to the belief that their workforce is too small to justify such programs (66% vs. 55%). Men are more likely to cite cost concerns (25% vs. 12%). Most employees (77%) feel it’s essential to focus on financial health and well-being in the workplace, while 69% of SMBs agree.

The study was conducted in August 2023 and included 510 small and midsize business owners, as well as 900 employed women and men aged 18 to 75 who have access to health insurance or a retirement savings plan as an employment benefit.

See all the data and the full post by heading over to the original post at HerMoney Media.