Racial gaps in access to wealth, education, and social capital limit the opportunities that underrepresented entrepreneurs have to start and fund new tech ventures. Additionally, homogenous peer and social networks and biases in investment decisions reduce the likelihood of investment and amount of funding provided to underrepresented founders.
Entrepreneurs who launch tech startup companies are overwhelmingly White and Asian; only 4% of tech entrepreneurs are Black or Latinx and fewer than 1 in 10 are women.
There is little racial or gender diversity among venture capital investors, where over 90% are White and 82% are male.
Significant disparities by race and gender are demonstrated in the amount of capital that tech founders raise from investors and the amount of equity they receive.
Venture capital as currently constructed is leaving billions of dollars on the table because they’re overlooking underrepresented entrepreneurs who have great ideas and who can serve real communities’ real needs.
- Freada Kapor Klein
Contact Us
2024 © All Rights Reserved.