Female empowerment through entrepreneurial capital

Eleanor Shaw says female leaders can achieve empowerment through cultivating economic, social, human and reputational capital

Eleanor Shaw has spent nearly 30 years immersed in the world of entrepreneurship as a researcher, educator, and advocate. As Associate Principal at the University of Strathclyde and Charles Huang Chair in International Entrepreneurship, Eleanor is especially passionate about supporting underrepresented founders. In a recent conversation, she unpacked the unique challenges women face in accessing the four types of capital every entrepreneur needs: financial, social, human, and reputational.

These sources of capital don’t exist in isolation, each influences and amplifies the others. But for women, systemic barriers often make accessing them more complex. Eleanor’s advice is both eye-opening and practical, rooted in real-world insight and a commitment to equity.

Financial capital: uneven playing field

‘When women entrepreneurs are looking to secure finance for their business, they typically receive one-third of the amount that their male counterparts receive,’ Eleanor explained. ‘Yet the expectation is that both businesses go the same distance. That’s impossible without a full tank.’ Staying with the car analogy, women will have to stop and diverge along the road to refill, so setting up and developing is more difficult and lengthier for female-led businesses ‘despite operating in the same industry and location’ as those founded by men.

This disparity isn’t just unfair, it’s economically short-sighted. The UK is missing out on the immense profit and employment female-led businesses can generate.

‘Very few investors are deliberately biased,’ Eleanor acknowledged. ‘But unconscious bias plays a role, like expecting an entrepreneur to “look a certain way”.’ Other equally important factors are at play: women asking for too little due to being exposed to less financial capital in previous roles or rounds of investment, a lack of female investors, and a lack of awareness among investors of the high ROI and low default rate of female-led businesses.

Advice from Eleanor: ‘Be strategic. Don’t waste time convincing people who can’t see your value. Ask for more. Look for angel investors, grants, and platforms that actively support female founders.’

Social capital: who you know, and who they know

Social capital is about your contacts: who you know, who they know, and what resources they can offer. ‘Women often have different networks from men, and they network differently too.’

While men tend to build larger, more transactional networks (bridging capital), women’s networks are often tighter and more personal (bonding capital). Eleanor noted that this can be a double-edged sword: rich in trust but lacking in the breadth and diversity that unlocks business growth.

‘A lot of the time, women rely heavily on bonding capital, friends and family,’ she explained. ‘But if those people don’t have business expertise, it can limit your access to the right support.’

Also, a lot of networking spaces are not those that women frequent or want to frequent, so it is crucial to make them welcoming and inclusive. You are more likely to enter places where there are people who look like you, this gives underrepresented groups confidence and relieves them of feeling like an imposter.

Advice from Eleanor: ‘Audit your network: identify your goal and direction, map out who you know and who they know to help you achieve this, identify and proactively fill the gaps’

Human capital: experience matters

Human capital refers to an entrepreneur’s education, skills, and life experience. While women often excel academically, they’re still less likely to gain the senior leadership experience that boosts credibility with investors. Broad managerial experience typically provides us with the skills to run a business, yet promotions and career advancements are more common for men.

‘Even from childhood, girls and boys are treated differently,’ notes Eleanor. ‘That continues into the workplace, where men are promoted faster and more often. So, when they pitch for investment, they can say, “I’ve done this before”, and that builds trust.’

This systemic issue is compounded by social expectations around leadership. ‘We’ve historically ascribed traits like decisiveness and authority to men,’ Eleanor noted. ‘But good leadership is empathy, listening, encouragement. And women have those strengths in spades.’

There is a stark difference between male and female performance reviews, where the former requests promotions and pay rises and the latter rarely does.

Advice from Eleanor: ‘Don’t wait to be asked. Put yourself forward. Say you’re ready for the next step in your end-of-year review or when asking for finance. If you’re not quite there yet, make a plan to get there, and ask others to help you on that path.’

Reputational capital: credibility opens doors

Reputational capital, also known as symbolic capital, is about how others perceive your legitimacy. It’s intangible but powerful. ‘You can’t touch it, but you can feel it,’ says Eleanor. ‘It’s how appropriate, trustworthy, and capable people believe you are as an entrepreneur.’

Unfortunately, women often don’t fit the stereotypical image of an entrepreneur, making it harder to earn trust. This can impact everything from funding decisions to customer acquisition. But reputation can be built, formally and informally.

‘Things like awards, accreditations, and respected partnerships help,’ Eleanor explained. ‘And platforms like LinkedIn allow you to take control of your own narrative.’

Advice from Eleanor: ‘Think strategically about your credibility. Who’s in your network? What signals are you sending? Leverage awards, accreditations, your board of directors, mentors, and online presence to build a trustworthy, visible brand.’

Building capital is empowering

The four capitals, financial, social, human, and reputational, are essential for any entrepreneur, but they are not equally accessible. Women must often work harder to secure them, facing barriers their male counterparts rarely encounter. Yet, as Eleanor emphasises, these capitals can be cultivated deliberately.

‘If we start thinking about capital in this broader way, it becomes empowering,’ she said. ‘Entrepreneurs realise they’re not stuck. They can grow these resources, strategically and purposefully.’

The key takeaway? Success doesn’t hinge on having every resource upfront, but on recognising what you need, where the gaps are, and how to close them. It is also worth looking at successful role models, identifying how they had made it, and reaching out for help. 

With insight, support, and intention, women in business can turn barriers into stepping stones and redefine what entrepreneurship looks like for future generations.

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