India is witnessing a rise of women in entrepreneurial roles, and it's gradually leading to business and economic growth in the country. Women-owned enterprises are actively contributing to societal evolution by creating employment opportunities, instigating demographic transformations, and serving as inspirations for the upcoming generation of businesswomen.
My journey into entrepreneurship began organically, driven by personal experiences and the challenges of motherhood. Observing the unsuitability of conventional baby care products, I, along with Varun (my spouse), founded Mamaearth to fill the gap in toxin-free baby products in the Indian market. Since the inception of Mamaearth seven years ago, I have seen the industry change rapidly. There are opportunities galore for Indian women entrepreneurs and the future definitely is female!
The upward trend of women's entrepreneurship
The current business landscape is undergoing a positive shift with an increasing number of women entering the field. Women-owned enterprises, comprising only 20% of all businesses a few years ago, are projected to reach a substantial 33% by 2030. I believe this growth is expected to result in a significant rise in women-led businesses. Even the numbers support this—start-ups led by women exhibit an impressive 35% higher return on investment compared to those led by men, underscoring the effectiveness and success of women-led businesses in operating with lower investment while generating higher net revenue. In fact, my investment portfolio reflects my belief in women's power and potential, with 80% of it dedicated to supporting women-led startups, including ventures like Leap.club—an ecosystem fostering collaboration among women and providing companies access to the right talent to address workplace gender disparities.
The tier two and three opportunity for women entrepreneurs
Thankfully, in today's age, entrepreneurship and startups are not limited to only the top metro cities. Tier two and three cities contribute nearly 50% to the recognised startups in India. This trend clearly highlights the potential of women in the smaller cities and suburbs of India. According to a study by the Edelgive Foundation, businesses owned by women are poised to grow by up to 90% in the next five years in India, surpassing growth projections in the US (50%) and the UK (24%). Among India's 63 million MSMEs, approximately 20% are women-owned. This trend is not only going to help women break the barriers and enter the entrepreneur world, but it will have a trickle-down effect and boost even female employment.
Challenging the status quo
I believe that as women entrepreneurs, the onus is on us to encourage and boost other women in businesses and employment. Today, women entrepreneurs are excelling in sectors such as e-commerce, fashion, education, healthcare, and technology. These women entrepreneurs serve as key drivers, not only creating job opportunities but also spearheading growth in vital industries. All of this is achieved in the face of overcoming cultural biases and breaking barriers. I too, faced gender bias in the workplace, including resistance from team members and manufacturing partners. In a male-dominated business environment, it becomes difficult for women entrepreneurs to thrive. Every little step counts to bring about a positive change and build a better future for businesswomen. Therefore, I take pride in the fact that our workforce now consists of 51% women, showcasing our dedication to promoting gender equality. In our organisation, I've also implemented a policy mandating an equal number of CVs from both genders for every role to ensure equality. Women-led businesses are not only catalysts for innovation and diversity but also ensure an equal and inclusive future for women.
As I contemplate my entrepreneurial journey, founding Honasa Consumer from the ground up, I can say that empowering women extends beyond establishing successful businesses. It's about instigating meaningful change, fostering innovation, and constructing a world that is inclusive and equitable for all. For all the future women leaders and budding founders, I'd say make mistakes, fall, but learn from those mistakes. Don't be afraid to challenge the norms and follow the unconventional path. That's how I built a company with 25 lakh investment into one worth INR 9800 crore today.
(The author isco-founder and CIO, Honasa Consumer)
