A new initiative to provide 15 female entrepreneurs with the skill set, network and confidence to scale their businesses and secure investment has been unveiled in the UK.
As part of London & Partners’ Silicon Valley comes to the UK (SVC2UK) programme, Beyond HERizons aims to specifically target the funding gap in the UK investment landscape that exists for female founders, in particular at Series A stage and beyond.
Female founders joining the programme have been selected following a competitive application process and are actively looking to secure Series A investment within the next year.
The entrepreneurs taking part in Beyond HERizons span a range of tech sectors from digital health and the circular economy to robotics and edtech. They include Letizia Gionfrida, Co-Founder & CEO of Arthronica, a digital-health diagnostic platform; Rahel Tesfai, Founder & CEO of FroHub, an Afro hair and beauty community; and Mikela Druckman, Co-founder and CEO of Greyparrot, an AI-powered computer vision software increasing transparency and automation in recycling.
Other women joining the programme are Rene Perkins, Founder & CEO of CityMaaS.io which helps organisations to grow their inclusion using its cutting-edge technology; Jill Hodges, Founder & CEO of Fire Tech, the UK’s leading provider of tech education for eight to 17-year-olds; and Kike Oniwinde, Founder & CEO of BYP Network, connecting Black professionals with each other, careers, events, mentors and Black businesses.
There is a stark funding gap between men and women in the investment landscape, with recent data from Dealroom.co and London & Partners revealing all-female founded businesses received just £22m, less than 0.5%, of the total £5.3bn VC invested into London tech firms between January and April this year. Research from Extend Ventures also shows Black and Multi-Ethnic entrepreneurs are at an even greater disadvantage, with 0.02% of total VC invested from 2009-2019 going to Black female founders.
Female founders face particular barriers at the later stage of VC funding, with data showing that in 2020 77% of VC funding rounds into London-based all-female teams were at seed stage or earlier, while 19% were Series A and only two rounds were at Series B or later funding stage.
“There is a huge untapped potential of female founders equating to more than one million missing businesses and £250bn for the UK economy.”
Janet Coyle, Managing Director Business Growth at London & Partners, said:
We are excited to have some of UK’s most inspirational female founders joining the first cohort of our Beyond HERizons programme. London and the UK are home to thousands of innovative female founders, but they so often struggle to scale due to the current funding gap in the investment ecosystem.
“The venture capital industry is historically male dominated and homogenous, with a tendency for investors to invest in entrepreneurs who ‘look like them’. Founders from under-represented backgrounds are less likely to be represented on the majority of investor panels and as a result are often overlooked due to unconscious bias. There are also studies that show female and male entrepreneurs are asked different questions by investors, with men asked about potential gains, focusing on hopes, achievements and ideals, while women are quizzed about potential losses, preventive questions focused on safety, responsibility and security.
“We know that more diverse and inclusive businesses generate greater economic growth and benefit to society, with a recent McKinsey study revealing that diverse companies are more likely to outperform less diverse ones on profitability. Diversity also fosters creativity and better decision making by encouraging new perspectives that more homogenous groups may lack.
“There is a huge untapped potential of female founders equating to more than one million missing businesses and £250bn for the UK economy. Access to funding is an essential ingredient for a company’s success and our female-led businesses are missing out. There has never been a more important time to harness the potential of our female entrepreneurs to build back better from the impacts of
the pandemic.”
As part of the programme, the cohort will be introduced to relevant investors from across the UK and European ecosystems where they will have the opportunity to pitch their ideas and products. The founders will also participate in a trade mission to Silicon Valley in early 2022 where they will meet and spend time with North American investors and build their international networks.
Kike Oniwinde from BYP Network said:
I have been part of the London & Partners and SVC2UK networks for three years now and have benefited hugely from their support through two accelerator programmes, events and female founder trade missions. BYP Network has so much potential to continue to break down barriers, bringing about change for the Black community. I look forward to connecting with a strong global network of investors and founders and gaining support to secure funding to help fulfil our global growth ambitions for BYP Network.”
The Beyond HERizons programme will run annually, providing a selected group of female founders with a balance of education, support and networking opportunities each year. Following excellent feedback from the current cohort it is hoped it can develop into a wider series of groups who will all benefit from the network.
Janet Coyle added:
We need the brightest minds from all backgrounds to contribute to the biggest challenges we are facing today and that is why Beyond HERizons is working with investors and partners to help ensure female entrepreneurs from all backgrounds can access the funding they need consistently.”
Find out more about Beyond HERizons at londonandpartners.com