The Rise Report has exposed the funding barriers against female entrepreneurship.
The new nationwide study – commissioned by one of the UK’s biggest communities of female founders, Female Founders Rise, in partnership with Barclays – has found that UK female entrepreneurs identify human connection as the cornerstone of resilience, growth and business success.
The research, launched at the Barclays Eagle Labs’ Innovation Hub in London, is one of largest grassroots studies of its kind.
The findings captured the detailed views, stories and experiences of 2,225 UK-based female founders – who collectively generate £1 billion in annual turnover – and recorded 436,000 words of qualitative data.
The new insights come alongside recent reports that the UK could unlock up to £310 billion in economic growth if women started and scaled businesses at the same rate as men.
The results found that 78% of respondents cited human connection as central to their entrepreneurial journey. Peer networks were identified as the most effective form of support, cited by 39% of respondents.
Mentorship and coaching were stated by 32% as vital forms of support.
However, when connection breaks down, the consequences are significant. One in seven female founders (around 14%) identified loneliness and isolation as their biggest challenge, with over a quarter (27%) reporting mental health pressures, including burnout and self-doubt.
Loneliness levels were notably similar among founders of both small and larger businesses, showing this is a systemic issue, not just for those in the early startup-phase.
Emmie Faust, who commissioned and co-authored the report, is calling for all involved stakeholders – including policy makers, investors, the wider business community and allies – to listen and act.
“Being an entrepreneur is a unique experience and without the right mentors or a peer network it can be deeply isolating,” she said.
“At Female Founders Rise, we witness the power of bringing women together at a similar stage of growth, facing similar challenges and the transformation that follows.
“The support, the opening of doors and the willingness to share critical learnings have potential to make a difference to whether a business survives or not. As an exited founder myself, I could save someone £100,000 by sharing some of the mistakes I made along the way. Just think about the impact this could have at scale.”
Co-author Joanna Jensen, Entrepreneur and Chair of the EIS Association, added: “I often say I can share in six minutes what took me six years to learn and that kind of knowledge-sharing can change the trajectory of a business.
“Shared experience shortens learning curves and unlocks growth. If we want more successful founders, the entire start-up ecosystem has a responsibility to open more doors to expertise much faster.”
Financial insecurity and access to capital were also identified as significant structural barriers facing female entrepreneurs. Nearly half (45%) of respondents said funding challenges were their primary obstacle.
Negative experiences were widespread. Of those expressing sentiment, 78% reported strong frustrations towards public funding such as grants, describing processes as bureaucratic and time-consuming; 73% expressed negative views of private finance including business loans, venture capital and angel investment; while almost a third (30%) said public funding applications were overly complex and one in 10 cited negative investor behaviour, including dismissive attitudes, ghosting and power imbalances.