Tide commits to empowering 500,000 women-led small businesses in India by 2027
Over the last decade, the contributions of women entrepreneurs towards boosting India’s economy have grown leaps and bounds. From record-breaking IPOs, to investing millions in other businesses, women business leaders are making their presence felt. According to the India Brand Equity Foundation (IBEF), 13.5 –15.7 million women-owned businesses in the country provide direct employment to 22–27 million people. However, the contribution of women to India’s GDP is just 18 percent, one of the lowest in the world. It is also worth noting that the Female Labor Force Participation Rate (FLFPR) had dropped to 21.2% in March 2021 compared to 21.9% one-year prior.
What’s inhibiting women from running business in India?
Women in India run fewer than 13 percent of businesses; the primary reason for this is access to finance. Nearly 20 percent of women entrepreneurs face rejection from lending institutions, more than twice the rate of 8 percent for men. Other key challenges that hold back women entrepreneurs include, absence of support networks and financial inclusion.
Tide’s commitment to supporting women-led businesses
At Tide, supporting women in opening and running their businesses has been an unwavering commitment. Therefore, we have announced a bold target of supporting 500,000 women-led businesses in India, start out by the end of 2027. This initiative is aligned with Tide’s ‘Women in Business’ initiative in the UK and the company’s plan to work as an incubator for women business owners in India. Through this initiative, Tide aims to help women led SMEs start and grow their businesses in the country.
To further power the company’s vision for women entrepreneurs, Tide has also created an internal Women in Business Mentor Panel under their ‘Tide Women Entrepreneurs Mentorship Programme’. The internal panel will feature in-house experts in Leadership, Marketing, Capital Investment, Hiring and Payroll, Taxation, and Legal, among others, to provide one-on-one advice and host regular masterclasses, webinars, and AMA sessions for women entrepreneurs.
The mentorship panel will also play an advisory role for women-led small businesses and support them with tracking progress and reporting issues. Select Tideans who will be part of this mentor panel have been chosen based on the specific domain knowledge they possess. The business financial platform also plans to partner with external mentors, who have or are working in the MSME space, to play an advisory role in the programme.
“Tide believes that there is a huge untapped potential for women entrepreneurs to contribute to the Indian economy. We want to support entrepreneurial women in their journey and believe we’re in a strong position to do exactly that. From the lessons learnt by working with small businesses every day in the UK, we understand the support and guidance needed to crack it as a small business owner. We believe this mentorship programme will not just prove instrumental in addressing their financial challenges but will also foster digital inclusion,” – Gurjodhpal Singh, CEO, Tide (India).
Women-led businesses in India present an incredible opportunity to provide a significant boost to the country’s economy. According to McKinsey Global Institute, India could add USD 770 billion to its GDP by 2025 by providing more opportunities to women business owners.
At Tide, we are perfectly placed to provide the support, guidance, and mentorship to women wanting to take their first big plunge. We have the necessary experience in working with small businesses, day in and day out, and have a great understanding of the support and guidance needed to start a new venture. While our targets are ambitious, our commitment is equally strong to make a significant contribution to the women entrepreneurs in India and the country’s economy.