Interesting read on how even a female funder had to overcome her own unconscious bias. Two things she highlights is the importance of accountability and mentorship for women and under-represented business owners.
By Lydia Dishman:
“Minority businesses could boost the economy by as much as $300 billion, according to the Center for Global Policy Solutions. Yet many of these are sole proprietorships and are often working with limited resources that hamper their ability to expand and create more jobs and revenue.
In the last year, design firm GraphicSprings’ analysis of 5,000 funding announcements and exit reports found that only 4% of female-owned businesses and 13% of minority-owned businesses received venture capital funding. Part of the reason is that less than 3% of VC funds have black and Latinx investment partners, according to Pitchbook. Another reason is that VCs keep going back to the well of alumni from Stanford, Harvard, and the University of California, Berkeley, despite continued empirical evidence that diversity boosts innovation and female leadership increases pay parity, employee satisfaction, and ultimately the bottom line.
It highlights some of the disconnect around pattern matching and the way that Silicon Valley has historically identified and selected the top talent that they want to invest in,” says Nicola Corzine, “All the way through to the access to education or the lack thereof, strength of mentors, strength of coaching.”
…”Growth mind-set is what Corzine suggests any entrepreneur can benefit from. In fact, she says, if there was one word entrepreneurs would do well to permanently eliminate from their vocabulary, it would be “limited.” “So many entrepreneurs fall back on this construct,” she explains. But whether it’s investors, customers, or a potential team, says Corzine, “Everyone wants to be drawn to someone who doesn’t see their limitations, but rather sees the ultimate potential.”
Read full article here: https://www.fastcompany.com/40517991/this-is-how-to-really-help-underrepresented-entrepreneurs.
Connect with GraphicSpring’s research Here: www.graphicsprings.com.