At the most recent annual conference for the Women Presidents’ Organization, WPO unveiled the 50 fastest-growing women-owned/led companies in North America sponsored by American Express OPEN. All eligible companies were ranked according to a sales growth formula that combined percentage and absolute growth. From this list, the 50 fastest-growing were selected. To be qualified for the ranking, businesses were required to be privately held, women-owned/led companies in the U.S. or Canada and to have revenue of at least $500,000 by the first week of 2005 and $2 million by 2009. The top 50 generated a combined $2.3 billion in gross revenue and averaged 128 employees.
Through extended research with this group of 50 fast-growing businesses, it is evidenced that these business owners have come out of this economic gloom with new ideas, strategies and renewed potential. The research, conducted by Juanita Weaver, formerly at the Center for Women’s Business Research, found the following: “These women are tough and resilient. They are focused on reaching their goal of building a large and fast-growing business and are not deterred by things not going as planned. They really do believe that hard work and focus can overcome all obstacles. They have learned how to give up some control by delegating in order to keep their focus on the bigger vision of growing a business.”
Here are a few of the key findings from these 50 fast-growth companies:
Reasons for success
A commitment to high growth — 71 percent agreed or strongly agreed that their goal from the very beginning of their leadership of the company was to build a large company.
Inspiring leaders — 64 percent believe their “ability to motivate employees” is the most important characteristic for being a successful woman entrepreneur.
Surrounding yourself with a skilled team — 78 percent say “hiring the right people” was the most important action that contributed to their company’s growth.
Adapting to a changing environment — The strategy most frequently chosen (64 percent) to meet the challenge of the current economy is to “enter new markets.” Sixty-one percent said current economic conditions caused them to change their business strategies.
Toughest challenges
Lower sales — 56 percent say their biggest challenge in our current economy is “existing customers reducing purchases.”
Positive outlook
Doubling their work force — Nearly all (96 percent) plan on adding employees this year.
Boosting the economy and their communities — Their ability to create much-needed jobs is the greatest benefit of being a successful woman entrepreneur.
It is encouraging that these small businesses will be generating many new jobs. As Weaver concludes, their success “demonstrates that a well-run company can not only survive but grow in tough economic times.” It is also heartening that in a time when access to capital is limited, management skills and the ability to lead in a changing environment can override that difficulty and small businesses can continue to grow and thrive in spite of it. The conclusions from the research conducted with the 50 fastest-growing organizations are positive and should be considered by all business owners as we navigate a new and ever-changing economy.
The Women Presidents’ Organization has recognized the 50 fastest-growing women-owned/led companies in North America for the past three years and will continue to support women entrepreneurs in attaining the recognition they deserve for their business accomplishments. One of the most satisfying benefits of this listing is learning from these successful companies and sharing their strategies with others — which is, after all, one of the primary pillars of the Women Presidents’ Organization.
You can see the answers that these dynamic entrepreneurs and business leaders provided by going to www.sbnonline.com.
Marsha Firestone, Ph.D., is founder and CEO of the Women Presidents’ Organization, the premier global peer advisory organization connecting top women entrepreneurs who own multimillion-dollar companies. Reach Firestone at www.womenpresidentsorg.com“>www.womenpresidentsorg.com.
