100 Woman-Led Businesses Contribute
$4.8B to the Economy
it comes to starting and managing businesses, a landmark business
study indicates that women are bullish and charging ahead in Massachusetts,
and contributed $4.8 billion to the overall economy in 2000.
newly released research, jointly conceived by The Center for Women's
Leadership at Babson College and The Commonwealth Institute, and
authored by Babson College professor Nan S. Langowitz, identifies
the top 100 woman-led businesses in the state and includes data
on 212 woman-led businesses and their chief executives. The research
release was sponsored by Andersen, Goldman, Sachs & Co., and
Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C. and its publication
was underwritten by Fidelity Investments®.
study found a number of surprising facts and dispelled many of the
commonly held notions. According to survey respondents:
Personal achievement and autonomy, rather than the "glass ceiling,"
were the chief motivating factors for the women entrepreneurs who
started their firms.
chief executives tend to establish, rather than acquire, their businesses
(dispelling the myth that women business owners are "wives
businesses anticipate strong growth, with more than one-third of
the respondents anticipating growth of 25% or more over the next
analysis of "The Babson College and The Commonwealth Institute
Top 100 Woman-Led Businesses in Massachusetts" found that:
average Top 100 businesses reported revenues of $46.1 million
in 2000 and 319 employees. (Even when the top company —
Cumberland Farms — with published income of $1.6 billion,
is excluded, the average reported revenue of the top woman-led
firms is $31.2 million.)
100 companies are predominantly high technology and service
companies such as professional services, construction services,
and travel services.
economy firms high technology and professional services account
for 43 percent of the Top 100 companies.
top woman-led businesses in Massachusetts, based upon annual revenues
for 2000, are:
1. Cumberland Farms
2. Arthur D. Little
3. Bright Horizons Family Solutions
4. Lightbridge, Inc.
5. Fitzpatrick Companies and Navisite (tied for #5)
the 212 women chief executives who participated in the study, 97 percent
led privately-held companies with an average size of $24 million
and employing 172 people, on average. Eighty-two percent of the
women chief executives also had controlling ownership of their businesses.
percent of the companies are well-established, having been in business
for over seven years. Of those companies studied in greater depth,
45 percent reported an average annual growth rate greater than 25 percent during
the past three years, with 34 percent anticipating a similar growth rate
over the next three years.
Babson College and The Commonwealth Institute study paints a very
positive and dramatic picture of women's businesses," said
Aileen Gorman, executive director of The Commonwealth Institute.
women don't need to shatter any 'glass ceiling'," said Professor
Langowitz of Babson. "They are motivated by a sense of autonomy
and a desire for personal achievement. These CEOs are focused on
customer satisfaction as their top priority and building their companies
based upon valued human talent and competitive product and service