M12 and VC partners commit $4 million to empower women entrepreneurs
Today, I’m proud to announce that Microsoft’s corporate venture fund, M12, is joining forces with EQT Ventures and SVB Financial Group to launch the Female Founders Competition, a global startup contest to identify top female talent and accelerate access to capital for women entrepreneurs.
We’ve all heard the long odds facing women founders in tech. Last year, female founders received just 2.2 percent of total global venture capital funding, and only 17 percent of all startups have at least one female founder, despite the fact that gender diversity on executive teams correlates with greater profitability and value creation.
I’ve experienced this painful data up close. Over the course of my career, I’ve spent thousands of hours in pitch meetings, often as the only woman in the room. I still can’t hold back a smile when a woman founder walks through the door, because I know the obstacles she’s overcome just to get there.
But most importantly, I also know the opportunity she represents. Study after study shows that investing in women founders returns significantly more than the market average.
When we founded M12 two years ago, we knew we had a special opportunity to build our team from the ground up, and we set out to make diversity a competitive advantage. In an industry where only 8 percent of investment partners at the top firms are women, we worked intentionally to build a team that looked and thought differently from the rest – not only with diversity of gender and ethnicity, but of background, education, expertise and network. We believed it would make us stronger, help surface ideas and opportunities that the rest of the industry was missing, and ultimately – we hoped – lead to a more diverse and profitable portfolio.
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