We recently commissioned a survey to understand what is driving the gender gap in business finance ahead of International Women's Day. Nearly sixty percent of female respondents said they do feel confident or comfortable accessing finance. That sounds positive until you realise it means 40% don't. And that's just the starting point of a much larger problem.
Almost half of women believe their gender affects their confidence when it comes to borrowing (compared to just 13 per cent of men), just over half of business owners haven't applied for finance because they didn't understand what was available to them, and when asked whether lenders treat male and female founders equally, respondents were consistent: only 44 per cent said it happens 'always' or 'often.' The most common answer? 'Sometimes' which means that unequal treatment is the norm, not the exception.
According to the Australian Small Business and Family Enterprise Ombudsman, about 35 per cent of small businesses are owned or led by women. This is double the rate in the 1970s.
Women have shown up, built businesses, and created jobs. When women can't access or afford finance confidently, the entire economy loses. Closing the gender gap represents a massive opportunity, and it starts with uncovering why it exists.
Where confidence breaks down
What stood out to me was this striking polarisation: respondents rated their confidence in securing finance at either 10/10 or 0/10, with almost equal numbers at each extreme. Yet when asked how well they understood available products, the answer was consistent across the board: 6/10.
It appears that comprehension isn't the problem. Confidence is. Women and men have similar knowledge gaps. But women are far more likely to let that gap erode their confidence entirely. That's not an access issue. It's a perception issue shaped by how they're treated in the process.
Lack of understanding of finance products
Across all survey respondents, understanding of available finance products averaged just 5.96 out of 10, which is below 60 per cent comprehension. And this gap between access and understanding wasn't unique to women; it reflects a broader industry communication problem.
For women who haven't applied for finance before, the process can feel overwhelming and at times frustrating. Lending policies shift frequently, credit appetites vary across lenders and loan sizes, and product structures can be confusing without guidance.
While the majority of respondents sought their information from brokers, a significant proportion of the respondents were using websites and blogs, social media, and AI tools to understand the products on offer. And with anecdotal answers like "I don't understand applications well", it's clear there's work to do.
Gender-specific barriers
Women are often perceived as more risk‑averse and may rely heavily on personal savings when starting or growing a business. In many cases, key assets such as property are co‑owned with a spouse. This means women must discuss and obtain joint approval to use these assets as security, often limiting their ability to access lower‑interest, secured business loans.
Additionally, women told us:
- "I have to prove myself twice over for the same level of trust"
- "The process can feel like seeking approval rather than structuring opportunity"
- "Shift the finance process from judging the founder to understanding the business"
Lender bedside manner
Another key finding was a gap in empathy and communication in the lending experience, with some respondents saying they have felt patronised or not taken seriously during the application process.
This response was very telling: "More compassionate advice from brokers/finance professionals. Bedside manner needs considerable work! If you want the commission you're going to make off me, don't get uncomfortable when I show emotion during the decision-making process."
What needs to change this IWD
This International Women's Day let's be honest: confident, established, innovative and aspiring female entrepreneurs exist. Let's improve our finance system to match that energy and ambition with respect, clarity, and genuine partnership.
Our survey shows that women want simpler applications, better expert support and more loan options. But beyond simplification, the finance ecosystem must actively bring in women and ensure they feel confident seeking funding for growth.
This insight is grounded in our findings: a significant proportion of women believe gender affects their confidence in borrowing, and equal treatment is not consistently perceived. When the experience feels unpredictable or unequal, reluctance to apply becomes understandable.