Lending to female entrepreneurs is not the same as lending to male entrepreneurs; a distinctive approach is required that will facilitate boost women-run ventures. More typically than not female entrepreneurs realize it harder to start out and run a business as compared to males.
This expertise finally ends up dissuading female entrepreneurs from getting into the battle. The biggest factor that still produces a roadblock to female entrepreneurs from finding access to funding and capital for her business is the financial institution itself. They have traditionally been extraordinarily cautious in extending credit to business women as they still take into account female entrepreneurs to be risky borrowers and aren’t assured of their ability to compete and succeed. Second, the normal mental attitude of disposition driven by social group biases.
Once it involves risk assessment, a female individual is usually asked for a male patron, be it husband or brother or a male member within the family. Hence, the norms ar tightened for female borrowers and a definite reasonably discrimination takes place once it involves accessing capital from bequest establishments. One of the ways in which situations can be made better for females is through the entry of new-age financial entities that have modified the paradigm by not solely employing a non-discriminatory lending method however by conjointly actively supporting women and their businesses.