J.P. Morgan Private Bank’s Maya Prabhu on the importance of the UK’s women-powered businesses

Private investment into UK businesses founded, led or managed by women has tripled in the last decade to reach £4.01bn, according to a report by JP Morgan Private Bank. The report – which is in its fourth year – outlines the Top 200 Women-Powered Businesses and explores the role women play in Britain’s high-growth business ecosystem. 

Since JP Morgan’s initial report in 2021, the number of high growth businesses in the UK has increased by an impressive 47.1% – from 33.3k to 40k. Of these, female-led businesses are among the fastest growing segment, growing from 18.3% in 2021 to 29.7% in 2024, and responsible for £116bn turnover. 

Among the Top 10 female-led businesses are household names including Starling Bank, Beauty Pie and Oxford International Education Group, with top sectors including internet platforms, software-as-a-service, and analytics, insights and tools. Artificial intelligence is also seeing a growing presence.

“JP Morgan Private Bank’s Top 200 Women-Powered Businesses Report analyses the 14,555 high-growth companies in the United Kingdom founded, led, managed or owned by women, ranking the top 200 companies based on growth in sales and headcount,” says Maya Prabhu, market head – UK domestic at JP Morgan Private Bank. “The report spotlights women-powered businesses in the UK, encompassing not only women-founded enterprises but also those that are led by women, have management teams consisting of at least 50% women or are majority owned by women. Additionally, the report identifies a combination of emerging and traditional sectors where women-powered businesses lead, including internet platform companies, food and drink processors, software as-a-service (SaaS) companies, and nursing and care services, among several others. This further emphasises the remarkable success of women and their diverse, influential roles in shaping the UK’s businesses and economy.

“The research is significant as it seeks to measure the impact these businesses have on the economy and helps us identify the common barriers to growth, in turn helping us to understand how we can better support women entrepreneurs in the UK. It is also an opportunity to recognise and profile accomplished founders and investors whose stories can in turn inspire a younger generation of women to actively consider a career as a business owner or an investor.”

Here, Maya tells us more about the significance of the report – and how J.P. Morgan is working to support the UK’s thriving network of women entrepreneurs. Maya, J.P. Morgan has a reputation for supporting women-powered businesses and female entrepreneurs. Why is this so important to you and the company?
J.P. Morgan has a longstanding commitment to supporting women in multiple ways. Our commitment to gender equity has long focused on connecting women with opportunities to succeed in both their professional and personal lives. Through our firm’s Women on the Move (WOTM) initiative, we are committed to providing resources and support to help women realise their ambitions and reach their full economic potential. Our efforts centre on expanding women-owned businesses, enhancing women’s financial health, promoting career growth, and empowering women in our communities worldwide.

Women entrepreneurs can face unique challenges. These include limited access to networks, which can alleviate isolation and provide valuable advice, and gender imbalance among key decision-makers in the funding community. The report also highlights a concerning 98.3% decline in exit values for women-led businesses in 2023, raising concerns for women founders, particularly in early stages. In an increasingly complex world, we are dedicated to fostering the growth of women-led businesses by creating fair access to funding and enhancing opportunities for entrepreneurship. Our mission is to equip women with the necessary tools, support, and education to achieve business success and secure their financial futures.

UK investment into women-powered businesses has tripled in the last decade. What does this tell us about women in business and female-led companies?
Underscoring a sense of positivity, the last decade has seen an increase in the proportion of equity investment received by women-powered businesses, rising from 14.9% (£781m) of total private investment in 2014 to £4.01bn by 2023. Further participation in capital markets exemplifies an increased focus in the investment community, amplifying both the visibility and growth of women-powered businesses over the last 10 years.

This data shows that women are increasingly playing a role in the marketplace and making their presence felt. It is incredibly positive to see that amid a period of significant transformation, women-powered businesses are continuing to be a driving force, fostering growth and innovation across various sectors of the British economy. The level of investment also shows us women-powered businesses are continuing on an upward trajectory. Despite a decrease in overall investment from 2022 to 2023, women-powered businesses in the UK secured 23.2% of the total funds raised, up from 23.0% in 2022. Although slight, this continued trend underscores increasing investment in women-led businesses, marking a promising path toward achieving gender equity.How does this figure sit within the wider context of high-growth businesses in the UK? Are there other fast-rising segments to celebrate?
The report reveals that, despite the odds often being stacked against them, women-powered businesses now account for £116bn of the annual turnover generated by high-growth companies in the UK, and almost a third (30.2%) of investment share. Women-powered businesses have seen also an increase in equity investment, securing £33.3bn over the last decade. In 2023, these businesses accounted for 23.2% of the total equity investment in high-growth companies, up from 15% in 2014. This suggests growing investor confidence and interest in women-led enterprises.

In regard to fast rising sectors, internet platforms and SaaS sectors have the highest number of active women-powered businesses. However, women-powered businesses still represent a minority in these sectors, indicating room for growth and increased representation. The report highlights significant activity in healthcare products and biotechnology, with companies like Speechmatics and Artios Pharma making notable contributions. These sectors are crucial for innovation and have seen increased investment and growth. The presence of companies like Beauty Pie and Vivobarefoot in the top rankings underscores the growth in e-commerce and retail, particularly in beauty and fashion sectors.

What are investors looking for? What advice could you give to entrepreneurs and companies seeking investment?
The UK is a diverse and thriving place for entrepreneurs and investors are looking for companies that address large and growing markets. Emerging businesses need to be positioned with a capable and experienced team to deliver strong growth, which has the ability to scale rapidly. Evidence of traction, such as revenue growth, user adoption, or strategic partnerships, can be a strong indicator of future success. Investors look for founders who are deeply passionate about their business and committed to its success. This passion often translates into resilience and perseverance, which are crucial for overcoming challenges. Founders should have a clear and compelling vision for the company. They need to articulate where they see the company going and how they plan to get there.You noted an interesting trend in that 13.5% of women-powered businesses gained investment from Venture Capital. Why is this significant?
Increased venture capital investment in women-powered businesses has created an environment where ‘big ideas’ are encouraged and celebrated. This enthusiasm has ultimately served as a catalyst for expansion.  Among the top 200 businesses mentioned in the report, 13.5% have received investment from venture capital firms, which is a higher proportion than the overall women-powered business cohort. We need to ensure the support and investment from the Venture Capital community continues to grow and fuel women-powered businesses in the years ahead, as Venture capital and angel support will be vital as women-powered businesses look to gain more resources and incentives to grow.

There has been some correction in levels of investment since a surge during the Covid-19 pandemic. Is this something to worry about or is this a natural ebb and flow?
Between 2020 and 2021, fuelled by pandemic stimulus measures which channelled capital into UK scale-ups., equity investment value in women-powered businesses almost doubled, reaching £6.90bn. However, between 2022 and 2023, investment subsequently declined by a third (33.9%), marking a correction following the significant deployment of capital we saw in the preceding years. However, this is not a major cause for concern as this decline mirrors a broader trend in the high-growth ecosystem, with a 31.6% reduction in overall equity investment value over the same period. 

The report mentions challenges and risks associated with downturns in the UK exit market, which seems to have disproportionately impacted women-powered businesses. Could you tell us more about this and what you predict going forward?
Exit activity by high-growth companies in the UK declined significantly in recent years as businesses have experienced a more challenging environment.  Exit values of women powered businesses saw a staggering 98.3% downturn, compared with 45.3% for male powered businesses. Whilst this imbalance is concerning in and of itself, it raises further concerns for women founders given that many women entrepreneurs go on to become angel investors and play an instrumental role in backing new women founders. Given the already challenging funding environment women face, the possible consequences of this shift are worth keeping an eye on, particularly for women founders at the early stage of their business.Is there a corresponding increase in female investors? Are there any trends in what sectors women are interested in investing in?
While the representation of women as investors in the UK is still not at parity with men, the industry is moving in a positive direction. Continued focus on diversity, equity, and inclusion, along with targeted initiatives and support, will be key to accelerating this change and ensuring that women have an equal role in shaping the future of venture capital. The venture capital investor landscape for women-powered businesses in the UK has become more inclusive and supportive, with increased investment, a higher proportion of deals, and greater participation from prominent investors. This positive trend reflects a growing recognition of the potential and value of women-led enterprises in the high-growth ecosystem Internet platforms, software-as-a-service (SaaS), and mobile apps were among the top sectors for equity investment in women-powered businesses, indicating a strong presence in the tech industry.

How can we encourage more steps towards gender parity in business, in your opinion?
Supporting women entrepreneurs is key to levelling the playing field when it comes to gender parity. It’s important we keep backing women-led businesses and helping future CEOs and founders. Our mission is to ensure we accompany them as their trusted financial partners as they harness their business success in order to secure their financial futures going forward. A key part of this is improving networks for women founders in the UK. Many women founders feel isolated on their business journeys, and creating networks would allow them to build connections with women who’ve been in a similar situation. It would also offer women a safe space to gather advice and tips which would no doubt help them on their journey. In addition, these networks could help tackle the broader challenges women entrepreneurs face, as by unifying as one voice women could do more to draw attention to the barriers they face to policy makers, and those with the ability to drive change.

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