Women-owned businesses significantly boost Canada's economy

New research indicates that women-owned businesses in Canada are becoming increasingly important for the economy. The annual report from the Women Entrepreneurship Knowledge Hub (WEKH) highlights their role in economic development, job creation, and innovation. The report, released during International Women's Month, shows that women own nearly 20% of private sector businesses. Women-owned companies employ nearly one million people and generate over $90 billion in revenue. This growth is critical as Canada faces economic uncertainties and trade challenges. In Canada, small and medium-sized enterprises (SMEs) play a key role. Unlike the U.S., where large corporations dominate employment, SMEs are the backbone of the Canadian economy. The number of majority-women-owned SMEs has risen from 15.6% in 2017 to 17.8% in 2023, despite the hardships of COVID-19. Women entrepreneurs have made significant strides in areas like exporting. In 2023, nearly 14.5% of women-owned businesses exported, nearly matching the 15.3% of businesses owned by men. However, many face challenges from tariffs, especially in industries like textiles and food production. A recent survey revealed that 64% of women entrepreneurs believe tariffs could harm their businesses. However, many are proactively searching for solutions, such as diversifying supply chains. Panelists at the report launch emphasized the importance of supporting women-owned businesses in order to strengthen Canada's economic resilience. Experts stress that women's entrepreneurship should be a priority as Canada navigates global challenges. Engaging women and diverse communities in economic strategies is essential to leverage Canada's competitive advantage and ensure sustainable growth.