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Female Founders in UK - Exit Outcomes & Valuation Gap

Female founders receive less than 2% of UK venture capital. The funding gap is well documented. But here's what makes it worse. The founders being turned away are delivering better returns than the ones being backed. Not marginally better. Measurably, consistently, better. For every pound of funding received, female-founded companies generate significantly more revenue than their male-founded counterparts. Female-founded scaleups in the UK invest 38% of their raised capital into R&D -- twice the rate of typical firms. Over a ten-year portfolio analysis, First Round Capital found that companies with at least one female founder performed 63% better than all-male founding teams. The Kauffman Foundation found that female-founded companies generated 35% higher return on investment than all-male teams. This is not a close call. The evidence has been available for years. So let's be direct about what this is. It is not a pipeline problem. It is not a confidence problem. It is not bad luck. It is bias -- operating at scale, with real financial consequences. The question that follows from this data is one that too few people are asking: if female founders are delivering stronger returns on less capital, what happens to them at exit? That's the subject of the next piece. If this resonates - or if you've experienced the other side of this data firsthand - I'd love to hear from you. At Exitologists, we work with founders who deserve better than a system that undervalues them. Including at the point they exit. #FemaleFounders #GenderFundingGap #SMEFinance #ExitPlanning #UKStartups
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