Investment funds rarely invest in female entrepreneurs, says M&O researcher Eva de Mol in Het Financieele Dagblad

Investment funds for start-up companies have a strong tendency to invest in start-ups run by men, rather than women, according to an article by M&O researcher Eva de Mol and investor Janneke Niessen that was published in Het Financiele Dagblad on September 27.

09/27/2018 | 7:16 PM

From the data of the forty investment funds that they analyzed, they found that only 1.6% of the start-ups were led by a woman, and just 6.8% of the venture capital funded start-ups were led by a mixed team. In other words, more than nine out of ten investments are intended for start-ups under the exclusive management of men. The researchers also say that women on average receive smaller amounts.

The publication has sparked a debate within the venture capitalist community and beyond. Experts speak of a huge underutilization of very good entrepreneurs, and have commented that in this male dominated sector, men are more likely to give to other men then to women. On the other hand, some venture capitalists commented that they are hardly approached by female entrepreneurs for funding. In any case, Eva de Mol expects the situation to change in the future, as she states that research shows that young companies perform better when they are led by mixed teams.

Read the article (in Dutch).