Definition of a Woman-Owned Business

The government defines a woman-owned business as a private business that is at least 51 percent owned by at least one woman. If the company is public, then 51 percent of the stocks must be owned by women.

Benefits

A woman-owned business can apply for certain private grants and government loans. Women-owned businesses are also eligible to receive certain government contracts.

Misconceptions

The female business owner can certify her own business as woman-owned; an outside party doesn't have to certify the information. However, if female business owners wish, they can have their business certified woman-owned by an organization that offers certificates.

Types

Certification comes from either self-certifying or from the Women's Business Enterprise National Council or the National Association of Women Business Owners Corp.

Statistics

According to the U.S. Census, women-owned businesses grew 20 percent between 1997 and 2002. Most of these businesses are one-woman operations.

Considerations

The government also has programs in place through the Small Business Administration for women business owners with special needs, as well as for minority business owners.

References

• Office of Women's Business Ownership: FAQ
• U.S. Census Report on Women-Owned Businesses