Pandemic Impacts Entrepreneuring Women at Work and Home

Diana research
Listen

The COVID-19 pandemic has impacted all business owners. The Diana International Research Institute (DIRI) team wanted to uncover just how it impacted a specific category of business owners: women.

“Women business owners have been particularly hard hit by the pandemic crisis on both the business and home fronts,” said Amanda Elam, Diana International Research Institute fellow, Center for Women’s Entrepreneurial Leadership at Babson College.

The first of several pulse surveys from Babson’s DIRI was designed to better understand how women entrepreneurs are leading during this global crisis. It found that for a majority of responders—67.4%—revenue had declined. Only 8.1% saw an increase because their product/service fitted needs in the new remote environment.

How are the entrepreneurs responding to the revenue decline? Nearly 40 percent of business owners are deferring or reducing executive pay, more than one-third are delaying payment, and one-quarter are reducing employee hours.

The survey found that women-owned businesses face key structural inequalities due to smaller size and business age, and these businesses also are over-represented in the industries hardest hit by both need for essential services and the economic shutdown.

 

“The ability of many of these women to adapt their businesses to new circumstances is further hampered by an explosion of family care duties resulting from school closures and home healthcare demands,” Elam explained.

The silver lining? “Two-thirds of the women business owners in our survey reported that they found the best support and resources from other business owners and entrepreneurs. This finding highlights the importance of healthy business networks for women entrepreneurs in the midst of a global crisis,” Elam said.

What’s the takeaway? Elam says, “There is nothing like a crisis to highlight both the strengths and the weaknesses in a business model. More than a quarter of the women business owners we surveyed reported the launch or expansion of online services as a clear opportunity for their businesses, while another 15% saw online marketing as an important opportunity. At the same time, 16% also found important lessons in financial management and crisis planning.”

DIRI is the first institution to uncover and report that women entrepreneurs receive less than 3% of venture capital.

Posted in Community, Insights

More from Community »

Latest Stories

Jason Ou ’27 talks on a microphone
After a 5-Year Entrepreneurial Odyssey, an Undergrad Returns to Babson’s Campus As a sophomore, Jason Ou ’27 left campus during the pandemic. His departure set him off on an entrepreneurial odyssey, as he moved from one opportunity to another. Now, five years later, he is back on campus.
By
John Crawford
Senior Journalist
John Crawford
A writer for Babson Thought & Action and the Babson Magazine, John Crawford has been telling the College’s entrepreneurial story for more than 15 years. Assignments for Babson have taken him from Rwanda to El Salvador, from the sweet-smelling factory of a Pennsylvania candy maker, to the stately Atlanta headquarters of an NFL owner, to the bustling office of a New York City fashion designer. Beyond his work for Babson, he has written articles and essays for The Philadelphia Inquirer, Notre Dame Magazine, The Good Men Project, and other publications. He can be found on Twitter, @crawfordwriter, where he tweets about climate change.
September 17, 2025

Posted in Community, Entrepreneurial Leadership

Three entrepreneurs featured in BostInno 25 under 25 list.
Babson Entrepreneurs Lead the Way on BostInno’s 25 Under 25 List From fashion to tech, 12 Babson entrepreneurs made BostInno’s 25 Under 25, reflecting the College’s leadership in innovation.
By
Hillary Chabot
Writer
Hillary Chabot
Hillary Chabot is a writer for Babson Thought & Action and Babson Magazine. An award-winning journalist, she is known for her insightful reporting and dedication to detailed storytelling. With a career spanning over two decades, she has covered a wide range of topics, from presidential campaigns and government policy to neighborhood issues and investigative series. As a reporter for The Boston Herald, Hillary earned a reputation for tenacity and integrity. Her work at Babson College fuels her passions—to learn something new every day and conduct thoughtful, empathic interviews. She’s thrilled to be at Babson College, where students, faculty, staff members and classes provide compelling copy daily.
September 16, 2025

Posted in Community

Three creative business people look at a window filled with post-it notes
What Is Creative Thinking in the Workplace? And How Does It Fuel Innovation and Problem Solving? Creative thinking is one of the most essential skills for the workforce. Here’s why those skills are so important, especially in this era of rapid change.
By
September 12, 2025

Posted in Insights