Women are investing in startups at higher rates but are less likely to lead them, according to a new report by Tampa-based Embarc Collective.
The innovation hub published its second annual Glaring Gap report, with funding from JPMorgan Chase (NYSE: JPM). The report looked at data of Florida startups funded from 2011 through 2020, totaling 2,675 startups.
This is in conjunction with the Tampa Bay Wave/Embarc Collective TechWomen Rising Accelerator program, which is mentoring 12 local, women-led startups.
Women’s representation in investing
- There was a 36% increase in the number of women at Florida-based investment firms in 2021
- But Florida is still behind when it comes to the percentage of women at venture funds, with 21% versus the 36% national average
- Women-founded companies get 8% of venture capital funding, up 1% from 2019
- The 8% that received backing was across 92 funding rounds and represented 15% of the state’s overall funding rounds
Women’s representation in startups
- Only 18% of new startups in Florida have a female founder, down from 23% in 2019.
- Like last year’s report, 42% of women said access to capital was the main challenge, but 2020 also brought an issue in finding talent, with 21% of respondents agreeing. In comparison, male-founded companies state their most significant issue is building a business in a smaller market.
“As we approach two years into the Covid-19 pandemic, we now have data available showing how the pandemic may have impacted women-led Florida startups,” Lakshmi Shenoy, CEO of Embarc Collective, said in a statement. “Despite many wins, it’s clear there is still a need for support and services that address the glaring gap of women in entrepreneurship in our state.”
To hear more from executives weigh in on the state of female investors in Florida, read the Tampa Bay Business Journal’s Women Who Lead panel here.
You can view the full report here.
