The best funding options for women entrepreneurs are grants, SBA-backed loans and microloans, business credit, crowdfunding, and equity from angels, accelerators or venture capital. Which one fits comes down to a single trade: what you’re willing to give up. That could be repayment, ownership, or a lot of your time. This guide orders all ten by what they cost you, names real programs to start with, and gives typical amounts so you can match an option to your stage.
Which of these funding options fits you?
If you need under $50,000 and want to keep ownership, start with grants or a microloan. If you need more and can repay it, look at SBA-backed loans. Choose angel investors or venture capital only if your business can grow fast enough to justify giving up equity.
| # | Funding options | Typical amount | What it costs you | Best for |
|---|---|---|---|---|
| 1 | Bootstrapping | Whatever you put in | Personal financial risk | Low-cost service businesses |
| 2 | Grants | Often $5,000 to $25,000 | Time, competition, strings on use | Early-stage and mission-driven founders |
| 3 | SBA-backed loans | Up to $5 million (7(a)); most borrowers get far less | Interest, collateral, personal guarantee | Businesses with revenue and repayment history |
| 4 | Microloans | Up to $50,000 | Interest and fees; modest ceiling | Equipment, inventory, first working capital |
| 5 | Business credit cards and online lenders | Depends on credit and lender | High rates if not repaid fast | Short-term bridges |
| 6 | Crowdfunding | Depends on the campaign | Platform fees and fulfillment costs | Products with an audience |
| 7 | Friends and family | Depends on the relationship | Strained relationships if it goes wrong | Very early stage |
| 8 | Angel investors | Often $25,000 to $100,000 | Equity and some control | Businesses with fast growth potential |
| 9 | Accelerators and pitch competitions | Prizes or small investments, sometimes none | Often equity, plus your time | Founders who need structure and introductions |
| 10 | Venture capital | Typically $500,000 and up | Significant equity, board oversight, growth pressure | High-growth startups in big markets |
Not sure where you land? Match your stage:
- Idea stage, little or no revenue: bootstrapping, grants, friends and family.
- Early revenue, need equipment or inventory: microloans, a business credit card, crowdfunding.
- Steady revenue and a track record: SBA-backed loans or a line of credit.
- Built to scale fast: angels, accelerators, venture capital.
10 funding options for Women Entrepreneurs
1. Bootstrapping with personal savings and revenue
Typical amount: whatever you put in. Costs you: personal financial risk. Best for: consultants, freelancers and other low-overhead businesses.
Bootstrapping means funding the business from your own savings and your first customers. A copywriter needs a laptop and a decent internet connection. She doesn’t need a loan.
You keep every decision and every dollar of upside. The risk is that your rent and your business now draw on the same pot. Before you commit, open a separate business account, set a hard ceiling on what you’ll put in, and keep an emergency fund you won’t touch.
Your pricing is your first funding source, too. If you freelance, our pricing guide for women freelancers will help you stop underselling the work that pays for everything else.
2. Grants for women-owned businesses
Typical amount: often $5,000 to $25,000. Costs you: time and competition. Best for: early-stage founders with a clear story and a specific use for the money.
Grants don’t need repayment when you meet the terms, which is why everyone wants one. Most come from private foundations, corporations and local economic development groups, not the federal government. The SBA doesn’t offer general grants to start or expand an ordinary small business, so be skeptical of anyone who says otherwise.
Other programs worth a look: the Cartier Women’s Initiative, which is open to women entrepreneurs worldwide, and grant contests run by Hello Alice. Our guide to applying for grant money for a women-owned business lists more.
3. SBA-backed small business loans
Typical amount: up to $5 million for 7(a), up to $500,000 for SBA Express; most borrowers get far less. Costs you: interest, collateral and often a personal guarantee. Best for: businesses with revenue and a repayment plan.
The SBA doesn’t lend you money directly. It guarantees part of a loan made by a bank, credit union or online lender, which makes lenders more willing to say yes. You apply through a participating lender, and SBA’s lender match tools can help you find one. The 7(a) program covers working capital, equipment and certain real estate costs.
One thing surprises people: there’s no SBA loan reserved only for women-owned businesses. The programs are open to any eligible small business. The women-specific help comes from the SBA’s Women’s Business Centers, covered in the checklist below.
4. Microloans from community lenders
Typical amount: up to $50,000. Costs you: interest and fees. Best for: equipment, inventory and starting working capital.
Imagine you run a mobile pet-grooming business and you need $18,000 to fit out a second van. A bank will probably find that too small to bother with. A microloan is built for exactly that gap.
SBA microloans go up to $50,000 and come through nonprofit community lenders. Each lender sets its own credit conditions. The average loan is far below the cap, often in the low five figures. You can use the money for inventory, supplies, working capital and equipment, but not for real estate or paying off existing debt. Many of these lenders also offer coaching, which can matter as much as the cash.
5. Business credit cards and online lenders
Typical amount: depends on your credit and the lender. Costs you: high rates if you don’t repay quickly. Best for: short bridges, not long-term plans.
A business card with a 0% introductory rate gives you interest-free breathing room, and those offers commonly run 12 to 18 months. It also builds a business credit history. Use it as a bridge with a payoff date, because the rate that follows can be steep. Cash advances on cards usually cost more than regular purchases and add a fee.
Online lenders approve faster and often ask for less than banks. You pay for that speed with higher rates and shorter terms, so compare the total repayment amount, not the monthly payment.
6. Crowdfunding
Typical amount: depends on the campaign. Costs you: platform fees and fulfillment costs. Best for: products with an audience.
Crowdfunding turns customers into your first investors. In reward-based campaigns, backers get the product or another perk. Platforms include Kickstarter and women-focused IFundWomen. SCORE has noted that crowdfunding is one area where women tend to do better than men. Debt-based options such as Kiva US lend to small businesses, and equity crowdfunding sells ownership, with its own rules.
Plan a campaign like a product launch. The founders who succeed usually bring their audience with them before day one. Before you set a goal, subtract platform fees, payment fees, manufacturing and shipping. A campaign that raises $20,000 and costs $17,000 to fulfill isn’t a win.
7. Friends and family
Typical amount: depends on the relationship. Costs you: potentially the relationship. Best for: the very early stage, and only if you’d stay friends after losing the money.
I treat this as a last resort, and I’d rather you borrow from a lender than from your sister. If you do it, write it down: the amount, the repayment schedule, any interest, any ownership, and what happens if the business fails. Say that last part out loud, too.
8. Angel investors
Typical amount: often $25,000 to $100,000. Costs you: equity and some say in decisions. Best for: businesses with proven demand and a path to fast growth.
Angels invest their own money. Women-focused groups include Pipeline Angels, 37 Angels and Topstone Angels.
The math is simple and worth doing before the meeting. If someone invests $50,000 in a company valued at $500,000 after the investment, they own 10%. That’s a hypothetical, but it shows why valuation matters more than the check size. Ask about valuation, ownership percentage, decision rights and what the investor expects in return.
The best angels bring introductions and judgment along with cash. A $50,000 check from someone who opens three customer doors beats a $75,000 check from someone who doesn’t return your emails.
9. Accelerators and pitch competitions
Typical amount: prizes or small investments, sometimes none. Costs you: often 5% to 10% equity, plus your time. Best for: founders who want structure, mentors and introductions.
Accelerators exchange mentoring, a network and sometimes cash for equity. Programs aimed at women founders include the Tory Burch Foundation’s fellows program and Coralus, formerly SheEO. Selective funds like The Refinery run application processes you should research first.
Before you apply, check what the award is. A grant, a prize, a loan and an investment all look the same in a press release. Some programs pay nothing and ask for a lot of your calendar. Pick programs whose mentors and network fit your industry, not the ones with the biggest headline number.
10. Venture capital
Typical amount: typically $500,000 and up. Costs you: significant equity, board oversight and growth pressure. Best for: high-growth startups aiming at very large markets.
Venture firms need a few outsized wins to make their funds work. That means they’ll often pass on a healthy, profitable business growing 15% a year, and that isn’t a verdict on your business. It reflects how their model works.
Ask yourself one question honestly: do I want a profitable company I control, or a rocket I’m willing to hand part of the steering wheel to? Both are valid. Only one needs venture capital.
Frequently asked questions
What are the best funding options for women entrepreneurs?
It depends on your stage and how much ownership you want to keep. Bootstrapping or grants suit very small starts. SBA-backed loans and microloans suit businesses that can repay. Angels and venture capital suit founders building for rapid growth.
Can women get grants to start a business?
Yes. Private programs such as the Amber Grant and Hello Alice contests are open to eligible women. The SBA doesn’t offer general grants for starting or growing an ordinary small business, so check eligibility and deadlines on each program’s official site.
Is there an SBA loan just for women?
No. SBA loans are open to eligible small businesses regardless of gender. The SBA supports women through Women’s Business Centers, counseling and its women-owned contracting program.
How can I fund a business without taking on debt?
Grants, bootstrapping, reward-based crowdfunding and competition prizes involve no repayment. Equity from investors doesn’t either, but it costs you ownership.
Can I get funding with limited credit history?
Possibly. Microloan lenders, community lenders and grant programs often look at your plan, cash flow and story, not only your credit score. Requirements vary, so ask each lender before you apply.
Should I choose a loan or an investor?
Choose a loan if you can handle repayments and want to keep ownership. Choose an investor if you need growth capital and are comfortable sharing decisions. Most founders do better starting with the first.
Conclusion
Pick one option from the table and spend an hour on it this week. Read the terms, ask one lender or program one real question, and write down what you’d need to apply. That’s how funding stops feeling overwhelming.
For more founder stories and practical guides, read our interviews, or explore resources for mompreneurs. And if you’ve funded your business in a way others could learn from, tell us about it.
