The Evolution of Women in Angel Investing: Insights and Opportunities for the Venture Ecosystem

Golden Seeds, a national angel network that invests exclusively in early-stage companies led by women, has been at the forefront of the movement to increase female representation in angel investing. Co-CEOs and managing partners Jo Ann Corkran and Loretta McCarthy have been instrumental in driving this change, with women now accounting for 40% of angel investors and 31% of angel-funded companies.

Despite the progress made, there is still a significant gap in venture capital funding for women-led startups. In 2023, over 80% of VC-funded deals went to all-male teams, highlighting the need for more support for women entrepreneurs.

Research consistently shows that gender-diverse teams and companies led by women outperform their peers financially. Companies with gender-diverse executive teams are 39% more likely to achieve financial outperformance, and businesses founded by women deliver 2.5x higher revenue per dollar invested than those founded by all men.

To address these disparities, the venture capital community must embrace diversity and inclusivity. This includes moving away from traditional pattern recognition methods, expanding investment beyond the coasts, and increasing the representation of women in decision-making roles within VC firms.

As pioneers in investing in women-led startups, Corkran and McCarthy emphasize the need for a continued commitment to supporting diverse entrepreneurs. By opening new pathways for funding and support, the venture capital industry can drive unparalleled economic growth and innovation for all.

The future of venture capital, infused with the insights and leadership of women, holds the promise of a more inclusive and successful ecosystem for entrepreneurs of all backgrounds.