Study Reveals Gender Gap in Start-Up Sector: Women Underrepresented Among Founders

A recent study has highlighted a significant gender disparity in the start-up ecosystem, revealing that men dominate the founding landscape. According to the findings, approximately 80% of start-up founders in Germany are male, with women accounting for only 19% of entrepreneurs in this sector. Alarmingly, this figure has decreased slightly over the past year.

The research, conducted by the Startup Association and commissioned by the Bertelsmann Foundation, involved surveys of 1,800 start-up founders and 1,000 students across the country. It identifies several barriers that hinder women's participation in entrepreneurship, many of which stem from early life experiences.

One prominent issue is the lack of female role models and the prevalence of stereotypes that can discourage women from pursuing entrepreneurial paths. Many women find it challenging to reconcile family responsibilities with the demands of starting a business. In fact, women still undertake the majority of caregiving tasks, and the timing of family and business ventures often coincides, complicating their ability to launch start-ups.

The gender gap is intertwined with traditional societal roles that influence the career aspirations of young people. The study indicates that around two-thirds of male start-up founders had conceived their business ideas during their teenage or college years, while female entrepreneurs typically develop such ambitions later in life, often prioritizing different paths initially.

Approximately 60% of female students express a preference for secure employment, contrasting with fewer than one-third of male students who share this sentiment. This disparity underscores how societal expectations shape the risk perceptions of men and women differently.

As a result of these prevailing attitudes, women are less likely to consider start-ups as a viable option early in their careers. However, perspectives can shift over time; about one-third of female founders make the decision to start a business within their first years of professional life, with an additional quarter doing so even later.

The report asserts that the lack of female entrepreneurship is not due to a lack of interest but rather to the existing conditions that must be improved for women to thrive as business founders. The Startup Association emphasizes that Germany cannot afford to overlook the potential contributions of women to the economy. In a period marked by economic stagnation, leveraging every available resource, including female talent, is essential for driving innovation and economic growth.