PurposeThe present study investigates the role of social capital in promoting sustainable livelihood amongst indigenous women in India. The study further analyses the mediation effect of women entrepreneurship between social capital and livelihood promotion.Design/methodology/approachStructure equation modeling has been used to empirically examine the effect of social capital in promoting sustainable livelihood. The study has collected 612 samples from indigenous women entrepreneurs across Sundargarh and Koraput districts in Odisha.FindingsThe result highlighted the extensiveness of indigenous women entrepreneurs, who utilized their social capital to improve enterprise performance and livelihood conditions. It is witnessed that social capital has a direct and positive effect on uplifting the living standards of indigenous women. Furthermore, women entrepreneurship mediates the relationship between social capital and livelihood promotion of indigenous women.Practical implicationsThe decision-makers, policy practitioners and government agencies must encourage more women's self-help groups to participate in entrepreneurial activities by utilizing social capital through government welfare programs.Originality/valueThe present study adds value to the existing literature on social capital, women entrepreneurship and sustainable livelihood by measuring the importance of social capital in achieving sustainable livelihood. This study will add knowledge to the existing theories and literature of social capital on its use and importance towards the benefit of society.