Investing in teams with diverse leadership represents enormous untapped potential.
An
opportunity
90.2% of startups are founded exclusively by white men.
2.25% investment directed
to founding teams made up
of at least one woman.
0.04% investment directed
to founding teams made up
only of women.
Teams made up solely of women represent 4.7% of this ecosystem.
Ten years ago, this rate was 4.4%.
The increase in the number of
women investing has a measurable
impact on female founders.
According to a 2019 PitchBook report, female investors are:
2x
more likely to invest in startups founded by another woman
3x
more likely to invest in a company led by a female CEO
Startups founded by teams that have at least one woman outperform companies with teams founded only by men
A recent study by the Boston Consulting Group evaluated 350 companies that were part of the MassChallenge program. The study revealed that for every dollar of investment, female-managed startups generated US$0.78 in revenue per $1 invested, while male-managed startups generated US$0.31 - despite raising less money ($935,000 vs. $2.12 million).
Research by the Ewing Marion Kauffman Foundation revealed that the return on investment obtained in companies led only by women is 35% faster compared to those led mostly by men.
A McKinsey study of 1,000 large companies found that gender equality has a strong link to company financial performance: companies with more women in executive roles are 25% more likely to be profitable.