‘Women founders are over-mentored but underfunded’

Amanda Etuk, founder of Messenger, a logistics financing company, has said that female founders are usually over-mentored but underfunded.

She disclosed this during a fireside chat at the Zoho Women in Business Summit held in Lagos recently. She said, “If you are a woman in business, you will be over-mentored and underfunded. People are going to give you advice, but will they give you money? No. They will take you to training programs, but will they give you the funding you need for the business? No.”

She pointed out that access to funding is a critical issue many women entrepreneurs face. While mentorship and advice are readily available, securing actual financial investment proves to be much more challenging.

Read also: Five transport companies thriving in Nigeria’s logistics business

According to Disrupt Africa’s ‘Diversity Dividend: Exploring Gender Equality in the African Tech Ecosystem,’ 55 percent of female founders have cited access to funding as one of the biggest challenges in their entrepreneurial journey.

Briter Bridges ‘ Beyond the Noise report showed that only 10 percent of Nigerian female-founded startups secured funding between 2019 and 2023.

Etuk noted that the issue of underfunding often stems from inherent biases towards women-led businesses. “Your business seems cute when you’re talking about it to investors, or it just seems smaller than it is,” she said.

She called for a shift in how women leaders are perceived and supported, advocating for a future where women are seen simply as leaders, not just as women in business.

Etuk admonished women that navigating these challenges involves confidence, self-belief, and the ability to network effectively.

Commenting on the role of women in the logistics sector, Etuk noted that they have changed the face of the industry, with most of the successful and innovative logistics and mobility services in the country being run by women.

Keturah Ovio, the founder of Dukka, argued that technology had levelled the playing field for women in business. “Compared to 10 years ago, tech has allowed women to compete equally,” she said.

“Women also have strong communities and resources that are specifically designed for women,” she added,

Bisola Alabi, founder of Heels and Tech, tackled technophobia, which she noted is a common fear among women. “For you to have the money needed to be who you want to be, you need to break into sectors that are uncommon for women,” Alabi encouraged.

Read also: Report sees warehousing, logistics contributing most to economy in 2024

She stressed the importance of breaking free from societal stereotypes that often limit women’s potential. Alabi also shared research indicating that while more women have businesses on platforms like Jumia, men tend to make more revenue. She urged women to embrace the dirty work and take on big challenges to achieve success.

Adeyinka Aderoju, CEO of Market Knowledge and Insights, emphasised the need for women to have solid support systems, especially in their personal lives. “You cannot be in a toxic relationship at home and expect to have a good flow at work and vice versa,” she explained.