Solving the longstanding financial barriers faced by women-led businesses, UK Export Finance (UKEF) has announced a new partnership with Female Founder Finance, a Derbyshire-based organization dedicated to supporting female entrepreneurs.
This collaboration aims to provide women-owned businesses with streamlined access to export finance, enabling them to scale up and compete on the international stage.
Supporting Small Businesses, Empowering Women
UKEF’s commitment to supporting small businesses is underscored by its latest partnership.
“Supporting small businesses is a priority at UKEF. Each year we support a large number of small businesses. Just last year, 88% of businesses to which we provided a loan, guarantee or insurance were small or medium-sized businesses,”
said Tim Reid, CEO of UK Export Finance.
This initiative is particularly crucial given that only 6% of UK women run their own businesses, significantly lower than in countries like Canada, the USA, and Australia.
Streamlining Access to Finance
The partnership between UKEF and Female Founder Finance will facilitate a smoother referral process for eligible businesses. Female Founder Finance can introduce its clients to UKEF’s short-term products, such as capital guarantees, bond support guarantees, and export insurance policies.
Conversely, UKEF can refer female clients to Female Founder Finance where appropriate. This synergy is expected to reduce missed opportunities for women-owned businesses and enhance their access to vital financing support.
Scheme Benefits and Initiatives
Enhanced Financing Options:
- UKEF’s financing support for small businesses was worth over £570 million last year.
- Female Founder Finance has handled over £115 million worth of funding since its launch in June 2023.
Addressing the Gender Gap:
- The Rose Review estimates that if women received more business investment opportunities, around £250 billion could be added to the UK economy.
Role Models and Mentorship:
- The partnership aims to equip women-led businesses with the knowledge and funding they need, empowering them to reach new international markets.
Roxanne Goodman, Founder of Female Founder Finance, emphasized,
“By working in partnership with UK Export Finance we can… fuel growth and innovation through export finance, and add back to the growth of the UK”.
Impact on the UK Economy
The contribution of female-led businesses to the UK economy is substantial. Despite challenges in accessing external capital, these businesses contribute an astonishing £105 billion to the economy.
The partnership between UKEF and Female Founder Finance is part of a broader effort to close the gender investment gap and unlock the full potential of women entrepreneurs.
Statistic |
Value |
|---|---|
| UKEF Support for SMEs | £570 million |
| Female Founder Finance Funding | £115 million |
| Potential Economic Contribution | £250 billion |
| Female-Led Business Contribution | £105 billion |
The Future for Women Led Businesses
This partnership is a significant step towards creating a more inclusive and supportive financial ecosystem for women entrepreneurs.
As the UK prepares to celebrate Small Business Saturday on December 7, 2024, initiatives like this underscore the government’s commitment to fostering economic growth through the empowerment of women in business.
The collaboration between UKEF and Female Founder Finance is a beacon of hope for women entrepreneurs seeking to expand their businesses globally.
By providing the necessary financial tools and support, this partnership paves the way for a more equitable and prosperous business landscape in the UK.
Sources: THX News & UK Export Finance.
