Ladies Lending allocates funding for small, female-led businesses » SMEInsider

Ladies Lending allocates funding for small, female-led businesses

Women looking to start a business can now access small amounts of funding from MicroFemture, a socially responsible non-profit lending fund for microbusinesses.

Ladies Lending offers venture capital and private equity to female entrepreneurs, focusing on small and medium sized businesses that are led or established by women. Its new offshoot, Microfemture, will offer support to even the smallest venture, with an affordable interest rate for those women who have been unable to find funding for their microbusiness.

Women entrepreneurs can receive between €500 and €5,000 to help set up a small business. Many women find it difficult and expensive to borrow money for a small business venture, having to pay interest of 8-10%.

“When it comes to raising money from venture capitalists or banks, the gender of an entrepreneur still matters,” says Edith Jansen, the founder of LadiesLending. “There is more confidence in a man with a business background, leading an innovative company, than in a woman with a comparable or even better profile.”

“It is a loan with a very low interest rate and not a gift. This is a very conscious choice, as it will lead to a certain responsibility, and also covers any dropping out,” adds Jansen.

MicroFemture has started a crowdfunding campaign with Indiegogo, working on a ‘return to funder’ clause.

“In the end – once all loans have been paid back to the Fund – all contributions over €50 will be returned to our contributors,” added Jansen. “So in fact we just borrow it.”