Indian Women Owned Small and Nano Enterprises: Prospects and Obstacles

Over the last few decades, India has achieved enormous strides in the area of women’s empowerment. In India’s economic growth narrative, women entrepreneurs have become a powerful force, boosting the GDP and generating job possibilities. However, despite the government’s programmes and regulations, women-owned small and nano Enterprises still encounter difficulties that limit their capacity for expansion and sustainability.

We will talk about the potential and limitations that WSNEs in India must deal with in this blog post, as well as Arth’s role in resolving these issues.

Opportunities in India for Women-Owned Small and Nano Businesses

Governmental Programmes: The Stand-Up India programme, the MUDRA programme, and the Mahila Udyam Nidhi programme are just a few of the several efforts the Indian government has put in place to encourage female entrepreneurs. These programmes provide female entrepreneurs financial support, mentoring, and training. The Public Procurement Policy, for example, stipulates that 3% of purchases from micro small and medium enterprises (MSMEs) must come from women-owned businesses.

Adapting Behaviors: The Indian culture is changing and becoming more welcoming to women’s employment. This shift in perspective is fostering an atmosphere where women entrepreneurs may start and operate their firms.

Technology: Women entrepreneurs may now launch and manage enterprises from any location in the nation because of technology. Women entrepreneurs are now able to offer their goods and services online and access a larger client base thanks to e-commerce platforms, social media, and digital marketing tools.

Increasing interest in niche goods: The demand for specialized goods and services is rising as a result of shifting customer tastes. WSNEs can take advantage of this chance by providing distinctive goods and services that target particular market niches.

India’s Constraints on Women-Owned Small and Nano Businesses

Lack of Access to Finance: Women business owners frequently struggle to obtain financing owing to a lack of collateral, a poor credit history, and a lack of financial understanding. Because banks and other financial institutions are reluctant to lend to women business owners, there is a funding gap that restricts their ability to develop.

Social and Cultural Barriers: Social and cultural challenges that women business owners in India must overcome include patriarchal attitudes, gender prejudices, and stereotypes. Because of these obstacles, people’s movement is frequently restricted, they have fewer networking chances, and they have less access to knowledge and resources.

Infrastructure Deficit:  Access to essential infrastructure like energy, water, and transportation is difficult for women business owners. Their capacity to expand their operations and access new markets is constrained by a lack of infrastructure.

Managing Family and Work Commitments: Women company owners sometimes have to balance several duties, such as running their companies and taking care of their families. This juggling act can be difficult, particularly when there is little support from society or family.

Regulatory and Legal Obstacles: Legal and regulatory barriers that women company owners must overcome make it difficult for them to run their companies efficiently. Complex laws, expensive compliance expenses, and a lack of knowledge of legal and regulatory standards are some of these obstacles.

The Role of Arth in Resolving These Issues

Arth is a social enterprise that works towards empowering WSNEs in India. Through its various initiatives, Arth has helped thousands of women entrepreneurs overcome the challenges and constraints they face. Some of the ways in which Arth has contributed are:

Financial Support: Through its msme financing programme, Arth offers WSNEs financial support. This programme provides loans to female company owners at reasonable interest rates, allowing them to grow their enterprises and enhance their standard of living.

Capacity Development: To assist WSNEs in acquiring the skills and knowledge necessary to operate prosperous enterprises, Arth runs training and capacity development programmes. These courses address subjects including marketing, technology adoption, and financial management.

Market Linkages: Arth helps WSNEs access new markets and customers by providing them with market linkages and networking opportunities. This enables WSNEs to scale their businesses and increase their revenue.


In India, women entrepreneurs are becoming a more significant force in the nation’s economic growth. They yet continue to experience obstacles that restrict their potential. It is crucial to establish a helpful environment that gives female entrepreneurs access to resources like funding, infrastructure, knowledge, and mentoring in order to overcome these obstacles. A healthy ecosystem for women-owned small and nano Enterprises in India would also be greatly aided by removing societal and cultural hurdles and providing equal opportunity for women entrepreneurs. Women entrepreneurs may make a big contribution to India’s economic success narrative and build a more inclusive and equitable society with the correct resources and chances. Arth’s contribution in addressing these challenges is commendable, and it is essential for other stakeholders to follow suit and support the growth and development of WSNEs in India.