The expectations of women entrepreneurs in relation to the 2022 budget

According to the WEF Global Gender Gap Report 2021, India fell 28 places to rank 140 out of 156 countries, among the lowest in South Asia.

The gender gap in India has widened to 62.5%, largely due to inadequate representation of women in political, technical and leadership roles, declining rate of female market participation of work, poor health care, low literacy rates for women compared to men, and income inequality.

India’s tech startup ecosystem has only one female founder/co-founder present in 12-15% of startups and 10 unicorns, according to a report by Nasscom. However, in the past year, 42% of female business owners have transitioned to a digital business model and 34% have identified new business opportunities in response to the pandemic.

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According to a study by Bain & Company, Google and the AWE Foundation, women-led businesses generate 12% more revenue per year and use on average one-third less capital than male-led startups.

But that’s not enough — women entrepreneurs and startup ecosystem stakeholders expect much more. In this year’s budget, they expect incentives, additional funding, and incentive programs for women-led startups, as well as a fair and balanced allocation of funds for their business.

Priyank Shah, Co-Founder and Director, RENEE Cosmetics: “We hope to see some tax and GST policy relief so that women entrepreneurs can be encouraged to take the plunge with a little more convenience. We can expect the government to encourage and provide funding to enable women entrepreneurs academic incubation centers in women-only colleges, which will allow more young women to not only explore entrepreneurship, but also create startups.

Support from working capital and interest-free loans would also be very beneficial in encouraging women-led startups. We are looking for easy, low interest loans to cover the manufacturing part and provide the public with better products. In this budget, the government should provide financial assistance to growth-oriented startups with proven capabilities to improve their R&D. »

Shilpa Khanna Thakkar, CEO, Chicnutrix: “A good number of successful start-ups have been led by women. There is still a lack of financial support and literacy that becomes a barrier. Efforts must be made to support and mentor these entrepreneurs. Investors and organizations Governments should allocate funds that support sustainable businesses.With health and wellness at the center of attention, there should be a relaxation of taxes on essential wellness products.

Anika Parashar, Founder and CEO of The Woman Company: “The Union budget should focus on women’s well-being – especially menstrual hygiene. We already have a tax exemption on sanitary napkins, but this could be extended to manufacturing and production Also, lower import duties on raw materials could bridge the gap between supply and demand as well as encourage more Indian manufacturers to start manufacturing biodegradable towels in the country.

There should be policy-level incentives for Made In India products, women-led startups, and businesses that focus on sustainability and solving women’s issues. The government should promote the use of biodegradable menstrual products to reduce the waste produced by plastic products – a figure which currently stands at 12.3 billion a year.”

Sanjana Govindan, Vice President, Women’s Entrepreneurship, GAME: “Recognizing that 90% of women-owned SMEs still rely on informal financing, there is a need to inspire financial institutions to think about other methods to verify credit and address the collateral problem that plagues millions of women entrepreneurs. asset poor.

Despite leading the world in female STEM graduates, the number of new female founders in manufacturing or high-value sectors is extremely low. A budget that recognizes this and takes a gendered approach to funding these types of entrepreneurs will be a huge boost to the economy. »

Poshak Agrawal, Co-Founder and CEO, Florence Capital: “The pandemic has forced more and more women into casual work – 9.3% in January-March 2021 compared to 7.7% in January-March 2020. So the budget must not only reverse this trend, but create the ground for better employment opportunities in the sector for women.

This requires hard work, including higher capital expenditure on education and health – issues that are critical for women. We hope the budget for 2022-23 will prioritize spending on gender-responsive budgeting to help reduce inequality.”

(Edited by : Jomy Jos Pullokaran)