Empowering Women in Business Through Strategic Legal Choices

Women entrepreneurs and business owners are trekking down new paths in the modern economy, setting trends and shattering ceilings across every industry. However, for many women, the entrepreneurial journey often brings distinct legal and practical challenges that may not be encountered by their male peers.

Below, we explore our top five legal essentials every woman entrepreneur should prioritize, and how each step can contribute to a more resilient, thriving business.

1. Leverage Business Certifications to Unlock Opportunities. Securing a certification or multiple certifications as a diverse-owned, minority-owned, and/or woman-owned business is not simply a formality. This can often be a strategic move that can set up a business for long-term success. These credentials, available at local, state, and federal levels, open doors to government contracts, private sector supplier diversity programs, and grant opportunities. Depending on the industry of a particular business, gaining certification can provide a competitive edge, increase visibility, and demonstrate the owners’ commitment to diversity and inclusion in the marketplace.

Before applying for a particular certification, take time to research which certifications align most closely with your business and its goals. Many law firms and professional organizations provide valuable assistance throughout the business certification process, which can often be unexpectedly intricate and subject to close examination by credentialing agencies. Working with a legal team to secure the right certification can open doors to opportunities that may otherwise have seemed out of reach, as many government agencies and private organizations are committed to partnering with diverse-owned, minority-owned, and/or woman-owned businesses. These partnerships are built on a shared mission to empower and support women entrepreneurs, helping you access valuable networks, contracts, and resources.

2. Locate Capital from Women-Focused Funding Sources. Securing capital is often cited by our clients as one of the greatest challenges for new, growing businesses. However, depending on the industry, a business is categorized in, an increasing number of funding sources at the local, state, and federal levels that are specifically dedicated to supporting women-owned enterprises. Harnessing mission-driven capital funds allocated to businesses and related ventures that amplify women’s voices, ideas, and initiatives in the marketplace can be a critical step toward building a resilient organization.

From grants and low-interest loans to angel investors and venture capital funds that prioritize gender equity, these opportunities can provide the financial lift your business needs. After researching and connecting with particular funding sources that align with your business model and entrepreneurial goals, working with a legal team to prepare investment, governance, and other related documentation can turn a start-up venture into a well-structured, capital-ready enterprise ready to seize opportunities and foster sustainable growth for years to come.

3. Build a Network of Supportive Professionals. No entrepreneur is an island, and for women in business, intentional networking and building a team of supporting professionals can be transformative. Many folks find that working with financial advisers, CPAs, attorneys, consultants, coaches, and/or mentors who share similar lived experiences adds a layer of empathy, as well as unique strategic insight.

From both our personal experiences individually, as well as from the feedback we have received from our clients, it is a common experience that women prefer to connect with like-minded professionals as they continue to grow their business and pursue their entrepreneurial goals. This does not mean your network needs to be comprised of only women professionals; however, your business team should include individuals who are committed to empowering your vision and your organization’s greater goals. Find your network of supportive professionals as you continue to build your business and navigate the unique challenges of woman entrepreneurship. If you don’t know where to start, asking a person already in your network who they may recommend can go a long way.

4. Safeguard Your Assets and Intellectual Property. Protecting what you and your business have created and built is essential, as is safeguarding the assets and intellectual property associated with both. Women entrepreneurs should start this process by executing comprehensive estate planning documents to ensure their personal interests, and those of their loved ones, are safeguarded.

Less often do women businessowners realize that the assets of their business are likely just as important as their personal belongings. It is crucial to prioritize defending your organization’s intellectual property, such as its trademarks, patents, copyrights, trade secrets, and other critical assets. Work with a legal professional to create the proper documentation and submit the necessary applications to protect your intellectual property. By doing so, you are preventing the unauthorized use of these priceless assets and simultaneously increasing your business’ value when seeking investors or planning for the future of your business.

5. Establish a Thoughtful Succession Plan. In the early stages of launching a women-owned business, succession planning might not be at the top of your mind. There is also a common misconception that succession planning is best suited for large corporations, as opposed to small businesses. Every business owner, regardless of the organization’s size, should contemplate what happens next, even at the start of building your business.

A well-crafted succession plan ensures your business is passed on to someone who is committed to your mission. Consider not only who will take the reins if you were to pass away or retire, but also how you can prepare them – whether it is through gradual leadership transitions, mentorship, or more particularized legal directives. This foresight not only preserves your legacy and the well-being of your employees and clients, but also ensures that your woman-owned business transitions into the hands of someone who shares your vision and values.

Women entrepreneurs frequently juggle a distinct set of responsibilities, balancing business demands with family, community, and personal commitments. These realities may introduce complexities that male counterparts might not experience to the same extent. Still, by prioritizing these five legal essentials, you can transform potential vulnerabilities of your business enterprise into strategic advantages. By leveraging certifications, mission-driven funding, supportive networks, asset protection measures, and succession planning, women in business can not only survive but thrive, creating lasting impacts for themselves, their families, and communities for generations to come.