A major challenge of urbanization in the global South has been the unemployment-led informal economy that has grown beyond the capacity of African governments in general and urban planners in particular. The socio-cultural status of women, and other inequalities in largely patriarchal African societies, have caused them to resort to the most invisible and adaptable sub-sector of the informal economy: Home-based enterprises (HBEs). This study examines the contributions and challenges for women in HBEs using empirical evidence from Enugu, Nigeria. The study employed mixed methods and made use of both primary and secondary data. The study findings confirm that HBEs provide economic succour to women excluded by the formal sector. Among the benefits of HBEs are income provision, supplementary household income, provision of goods and services, skill acquisition, social value and self-esteem, and the ability to look after sick family members. The challenges of HBEs were inconsistency and noise effects as reported by non-operators, while operators complained about multiple levies collected by government agencies, poor infrastructure, and insecurity.