Why Professional Services Firms Need to Rethink Equity for Women

By Fiona Ettles, Director at FinConnect

In professional services—whether financial planning, accounting, or legal—we repeatedly see the same trend: women being overlooked for equity ownership, often based on outdated assumptions rather than genuine discussions. This reluctance to offer equity to part-time or working mothers is a significant missed opportunity, both for the individuals involved and the businesses that fail to recognise their value. 

The Problem: Outdated Assumptions and Missed Conversations

Many business owners assume that women—particularly those with young families—wouldn’t be interested in equity. The reality is that most would at least like to have the conversation. When they are not given that opportunity, we see two common outcomes:

• They leave. Women who feel sidelined in equity discussions often seek opportunities elsewhere, either with firms that will engage in these conversations or by setting up their own businesses.

• They become disengaged. Even if they stay, morale drops when others are promoted over them—whether the decision is fair or not. Perceived unfairness leads to reduced loyalty and productivity.

A recent example: A female professional in a large firm was consistently told, “You’ll be next” for equity. However, during her maternity leave, two others were made partners instead. Upon returning, she left and secured an equity opportunity elsewhere—one that was discussed and agreed upon before she even stepped back into the office.

Another common mistake is treating equity like salary. Many business owners assume that equity ownership should be pro-rated for part-time workers—even when they work full hours over five days. This is flawed thinking. Salary should reflect time worked; equity is about contribution, leadership, and strategic vision, which are not dictated by hours at the desk.

Supporting Data: The Gender Gap in Equity Partnerships

The data from Chartered Accountants Australia and New Zealand underscores the stark gender imbalance in equity partnerships: 

• Equity Partners: 

  • In Australia, 77% of equity partners are men, while only 23% are women. 

  • In New Zealand, 62% of equity partners are men, while 38% are women. 

• Non-Equity (Salaried) Partners: 

  • In Australia, the split is 53% men, 47% women. 

  • In New Zealand, the split is 62% men, 38% women. 

• Overall Partnership Representation: 

  • Only 28% of professionals in Australia and 23% in New Zealand are equity partners, highlighting the limited pathways to ownership. 

  • Non-equity (salaried) partners make up 4% in both countries. 

This data highlights the ongoing disparity and reinforces the importance of actively engaging women in equity discussions rather than assuming disinterest or incapacity.  

Kindred Accounting’s Forward-Thinking Approach

Bradley McPherson, Director at Kindred Accounting, shares a powerful perspective on equity and parental leave: 

"For us, this isn’t even a question. Kindred Accounting was built on the idea of flexibility and family; if we didn’t support parental leave properly, we’d be total hypocrites. Supporting it goes beyond just offering time off; it’s about creating a culture where career-driven parents don’t feel guilty for taking that time. The reality is, if we’re building something great together, a period of leave, whether for a mother or father, shouldn’t be a barrier. 

We also see this as critical for growing our team. The accounting labour market is tough, and having female leaders isn’t just the right thing to do, it makes us a more attractive and competitive workplace. Diverse leadership brings different perspectives, and that directly impacts the quality of advice we give our clients. More than half our clients are female, more than half our team is female—why wouldn’t we want that representation in leadership? 

At the end of the day, we want to build a modern, sustainable firm, and that means focusing on talent, alignment, and long-term thinking—not outdated assumptions. 

We’re not offering Hanna a seat at the table because she’s female… we’re offering it because she is awesome! But if we were writing a list of pros and cons—having a female perspective would be in the pro column in bold and underlined." 

What Businesses Gain from Inclusive Equity Models

Sharon McClafferty, Founder & CEO, Slipstream Group: 

"For over a decade, Slipstream Group has coached 200+ accounting and financial firms, and time and again, I’ve seen business owners overlook an obvious future equity partner—usually a new mum working part-time. The assumption? Equity only makes sense for full-time employees. But in cases where firms did offer 5-20% ownership at a commercial rate, the transformation was remarkable. Not only did the individual contribute more discretionary effort, but the firm also gained long-term stability by having quality talent thinking strategically and commercially. 

This isn’t just about fairness; it’s about smart business. Research already shows that diverse leadership teams drive better performance. When firms rethink outdated assumptions and engage female talent in ownership conversations, they unlock a deeper level of commitment, leadership, and strategic thinking—exactly what’s needed to build a thriving, future-proof firm." 

The Opportunity for Women: Ownership, Reward, and Influence

For women who are passed over for equity in one firm, there are others that are open to it. The key is to find the right cultural fit. Business ownership, when done right, is immensely rewarding—both financially and professionally. Women who care about their work and their clients are already contributing at a high level; why not reward them for it with a seat at the table? 

The reality is that women—especially mothers—are frequently underestimated in the professional space. This isn’t just about discrimination; it’s a missed commercial opportunity. Firms that actively include women in leadership and ownership decisions are better positioned for long-term success. They foster more diverse, resilient cultures and benefit from the unique perspectives and strategic thinking that women bring to the table. 

As Sharon McClafferty, Founder & CEO of Slipstream Group, reflects: 

"When I co-founded Slipstream Group, I had a one-year-old and didn’t yet know I was pregnant with my second. For most of the past decade, I’ve led this business while working 3-4 days a week. Women—especially mums—are underestimated all the time. You could call it discrimination, but more importantly, it’s just bad business. Firms that fail to engage female talent in equity discussions aren’t just being unfair; they’re missing out on an immense commercial opportunity." 

The reluctance to offer equity to part-time women, or working mothers, is outdated and counterproductive. The best firms are the ones that take the time to have these conversations, engage their high-performing female team members, and foster leadership diversity. Equity should be based on strategic contribution—not simply on who is working the longest hours. It’s time to break down these barriers and ensure the future of professional services is more inclusive, innovative, and successful. 

Get in touch if you want to chat.