Small Business Success Among Men‐ and Women‐Owned Firms in Rural Areas1

Abstract

Abstract Rural women have difficulty finding good jobs. Ownership of small businesses offers an alternative but the sales and income of women‐owned firms are significantly lower than those of men‐owned firms. Compared with men, women owners are more likely to operate smaller and newer businesses; however, these differences do not completely account for the gap in gross sales between men‐ and women‐owned businesses. The strongest influences on business success are firm size, corporate status, and industrial sector. Though significant, the owner's gender is less important than these organizational characteristics. The factors influencing success of small businesses generally are the same for men‐ and women‐owned businesses. More research on business networks and the start‐up phase of small businesses is necessary for a better understanding of the sources of gender differences in success.

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