MONEY

Report: Iowa last for women-owned businesses

Matthew Patane
mpatane@dmreg.com

Iowa has made some progress in its number of women-owned businesses, but it still falls at the bottom of the pack, a new report shows.

The state saw some of the lowest growth in those businesses from 1997 to 2015, according to the report from American Express. Iowa only saw 27 percent growth among women-owned businesses during that time frame, ranking it 49th.

Nationally, the U.S. saw a 74 percent jump in women-owned firms from 1997 to 2015, according to the report.

Women-owned companies also have the least "economic clout" in Iowa compared to all other states and the District of Columbia. The report defines economic clout by combining the growth in those businesses with the growth in their revenues and employment levels.

Iowa ranked 51st — dead last — in that regard.

While Iowa saw the number of women-owned firms grow in the past 18 years, both revenues and employment levels at those companies are down, according to the report.

Iowa has consistently ranked last or at the bottom in the American Express report, which the company has released annually since 2011.

Officials and business professionals have cited a lack of business mentorship for women as one pain point.

There was some good news from the report for the Hawkeye State, however.

During and since the recession — between 2007 and 2015 — Iowa saw more than twice the growth in the number of women-owned companies compared to the five-year stretch leading up to the economic downturn.

Some more details from the report:

  • Iowa has about 73,300 women-owned firms.
  • That is up 27.4 percent since 1997.
  • Those companies employ about 52,800 people, down 26.4 percent from 1997.
  • Iowa's women-owned businesses had more than $7.7 million in sales in 2015, down 4.6 percent since 1997.
  • Revenues and employment levels are also down since 2007.