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Running a business is a daunting undertaking, especially if you're a female entrepreneur. Despite progress toward gender equality in most sectors of society, women-owned businesses still face unique challenges in the marketplace.
According to a 2023 Bank of America survey, 31% of female entrepreneurs had difficulty accessing capital and 31% felt they did not have the information or qualifications needed to confidently apply for capital.
Another challenge for women-owned businesses is the ability to gain consumer trust. Although about 40% of all small businesses in the U.S. are owned by women, 46% reported experiencing gender discrimination in running their businesses.
One way to overcome these obstacles is through customer-focused business certifications. These independent, third-party evaluations can increase your credibility with potential lenders and customers alike.
Just as an A+ health rating in a restaurant's window can encourage first-time customers to try a new restaurant or help retain repeat customers, obtaining third-party certifications can help women-owned businesses build customer and lender confidence in their offerings.
Today's certifications cover a variety of areas, including environmental impact, ethical business practices, and supplier diversity. These certifications can help define your place, values, and ethics, as well as those of other companies in the marketplace. And while some certifications are harder to obtain than others, the work required can pay off in the long run and provide many benefits that can increase your company's bottom line.
Related: Grow your business and strengthen your entrepreneurial mindset – 3 key strategies for female entrepreneurs
Improve your brand story
Business certifications help convey your company's values in-store. They show customers what you stand for and what is most important to your business. When customers see that your business has a certification badge, they know that it meets certain standards and requirements. This helps enhance your brand story.
Creating trust through transparency
Customers will appreciate transparency and commitment to the required certification standards and your company's efforts to meet them. By going through the certification process, your company is committing to meeting the respective certification requirements and goals. This builds consumer confidence, knowing they are supporting a company that maintains high standards.
Join a community of like-minded people
Business certifications can give business owners access to a network of other businesses that share similar values. Joining a certified network gives you access to events, forums, and partnerships that can help your business grow and thrive with like-minded individuals. This community can be an invaluable resource for support, collaboration, mentorship, new opportunities, and growth.
Promoting business development
Companies with the same certification are more likely to do business with you because they share the same values and mission. This can lead to new partnership and collaboration opportunities and, as a result, increase a company's customer base.
Increase visibility, awareness and connection
Corporate certifications can make your company more attractive to businesses and customers looking for partners or suppliers with similar values. Corporate certifications are a great way to stand out in a market with many consumer options. It also doesn't hurt to have your company associated with other reputable certified companies.
When choosing the best certification for your company, it can be helpful to keep in mind Simon Sinek's Golden Circle model, which consists of three concentric circles: Why, How and What.
He stresses the importance of starting with the “why” when communicating a brand's value proposition. According to Sinek, the “why” represents an organization's core purpose, beliefs, and values. It is the emotional drive behind what they do. The “how” describes the unique approach or process that sets the organization apart. And the “what” refers to the specific products or services the organization offers.
People are inspired by shared goals, causes and beliefs. Customers don't just buy products or services; they also buy the underlying goals and values. By earning certifications that align with your own vision and values, you effectively communicate your “why” to your customers and gain loyal brand ambassadors who believe in your mission.
Related: What if female entrepreneurs actually got what they needed for their businesses?
Top Certifications to Consider
Certification as a women's business
This certification confirms that a business is at least 51% owned, controlled, and operated by one or more women. It helps customers and other companies support women-owned businesses. For women-owned businesses, this network can be a huge empowerment, as it provides an opportunity to connect with other women, share experiences, and support each other in overcoming the challenges they face.
Certified B Corporation
Certified B Corporations meet high standards of verified performance, accountability, and transparency on factors such as employee benefits and donations, supply chain practices, and input materials. This certification is ideal for companies committed to making a positive impact on society and the environment. A certification like B Corporation shows your audience that your company is not just about making a profit, but that it is also about making a positive impact on the world.
Climate neutral certification
Climate Neutral certification shows that sustainability is one of your brand's core values. This certification demonstrates your commitment to reducing or even eliminating greenhouse gas emissions and mitigating climate change. This is a popular and recognized certification that can help you attract environmentally conscious customers to your business.
Fair Trade Certification
This certification is for companies that are committed to ethical sourcing and ensure that their products meet strict social, environmental and economic standards. It is a powerful way to demonstrate your commitment to fair trade practices, especially towards female and minority workers.
Obtaining business certifications isn't just about getting a badge on your business; it's about enhancing your brand story, building consumer trust, joining a supportive community, boosting business development, and increasing visibility. For women-owned businesses, these certifications can help them overcome the unique challenges and obstacles they face on their journey to business.
Create your very own Auto Publish News/Blog Site and Earn Passive Income in Just 4 Easy Steps
