AUSTIN, Tx. (KPEL News) - We all know that there is a pay gap between women and men. It dates back to the days when men worked and women were expected to stay home to take care of the house and kids. Times have changed and so have traditional gender roles. Despite that, the gender pay gap has persisted for decades in the U.S, with women currently making 84 cents for every dollar a man makes. But how does this compare for female business owners in Texas?

Based on the U.S. Census, males who own their own businesses in Texas out-earn female business owners by 41%, with an average earnings difference of $35,000.


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 A recent study by Osum, an AI-powered market research tool, has delved deeper into the census data to break down this business earnings gap by industry.
Key Findings
  • Males who own their own business in Texas out-earn female business owners by 41%, or $35,000. This is in line with the national average, where the earnings gap for business owners is also 41%.
  • District of Columbia has the widest gap at $65,000, while New Mexico has the narrowest earnings gap, with female business owners earning just $16,000 less than their male counterparts.
  • Female business owners in Texas are currently out-earning males in seventeen different industries including car repairs, hobby and toy stores, and alcohol stores.
  • Industries where male business owners in Texas earn significantly more than their female counterparts include credit and financial services, doctors offices, and dentist offices.
  • In Texas, the most popular businesses for females are in beauty salons, real estate, and home services (such as cleaning). Less popular areas include taxi services and building supply stores.
Data Tables
The below data table shows the seventeen industries in Texas where female-led businesses out-earn male-led businesses. And the top five industries where male-led businesses out-earn female-led businesses.
IndustryFemale Business Owners Average EarningsMale Business Owners Average EarningsDifference In Earnings
Auto Repair Shops$102,652$39,792$62,860
Sporting Goods and Toy Stores$51,257$21,925$29,332
Alcohol Stores$31,636$12,768$18,868
Religious Organizations$55,618$36,965$18,653
Property Management and Real Estate Services$109,925$93,124$16,801
Security and Investigation Services$75,774$60,815$14,959
Performing Arts Companies$41,628$26,724$14,904
Trucking and Transport Services$93,915$83,511$10,404
Online Retailers$46,122$39,066$7,056
Thrift Stores$33,315$26,784$6,531
Miscellaneous Retail Stores$72,418$66,703$5,715
Florists$28,585$22,988$5,597
Landscaping Services$32,785$28,761$4,024
General Merch Stores$39,025$36,972$2,053
Traveler Accommodation$35,853$34,466$1,387
Travel Agencies$50,819$50,222$597
Business Support Services$66,745$66,709$36
............
General and Specialty Hospitals$42,829$204,123-$161,294
Health Care Services$77,771$240,590-$162,819
Dental Offices$59,082$222,205-$163,123
Doctor's Offices$106,592$289,137-$182,545
Credit Services$59,172$249,585-$190,413
Data was collected using American Community Survey 1-Year Estimates Public Use Microdata Sample, and only industries with at least 1000 businesses run by both males and females were included in the industry-level analysis.
While traditionally female industries like beauty are the most popular businesses for women within Texas, this doesn't stop females earning well in more male-dominated areas.
Automotive businesses, security, and trucking are all considered more masculine industries, but females have the upper hand when it comes to earnings.
Ask the Experts
Osum reached out to several successful female entrepreneurs to get their take on the findings, and what more they thought could be done to boost female entrepreneurship.
“I believe small business loans specifically for women would be an incredible way to encourage new businesses," said Kari Byron, EXPLR co-founder, and co-director of the National STEM Festival.
She continued, "additionally, I feel that any program creating flexibility for women to be multifaceted - to be a mom, a woman, and a boss - will fuel female success and entrepreneurship nationwide. Programs that recognize and support womens versatility are key to promoting female entrepreneurship and success in the workforce."
This data is part of a larger study conducted by Osum on the states with the most successful female entrepreneurs. Texas placed 26th in these rankings.
For more information check out the full study, including an interactive map, here: https://osum.com/resources/female-business-owners-statistics.

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