TLDR:
- Women-led venture capital funds have seen an increase in fundraising, reaching about 3% of the total $107 billion raised last year.
- Venture capital funding in the U.S. for companies founded by women is on the rise, thanks to initiatives supporting female founders and underrepresented founders.
Women-led venture capital funds are proving to be beneficial for woman-owned startups in the current entrepreneurial landscape. Despite facing challenges in fundraising, these funds have made significant gains over the past year. Research by Venture Capital Journal indicates that the share of total fundraising by women-led venture capital funds increased to about 3% of the $107 billion raised in the previous year, up from less than 2% in 2022.
While this percentage may seem small in comparison to the total pool, it reflects a positive trend in venture capital funding for companies founded by women. The rise in funding can be attributed to the presence of incubators specifically tailored for female founders, which have contributed to the increasing number of companies founded by women. Additionally, the emergence of more venture capital funds focusing on underrepresented founders has also played a role in supporting woman-owned startups.
