TLDR:
- Female-led startups have captured a record portion of venture capital funding despite a general slowdown in venture capitalism in 2023.
- Women entrepreneurs snagged 27.8% of the total VC deal value last year, a significant increase from 18.7% in 2022.
Despite a general slowdown in venture capitalism in 2023, female-led startups have defied the odds, managing to capture a record portion of venture capital funding. According to a recent PitchBook report, women entrepreneurs snagged 27.8% of the total VC deal value last year, representing a striking increase from just 18.7% in 2022. However, exits for female-founded companies plummeted to their lowest point since 2016, a decline of more than one-third from the preceding year. Annemarie Donegan, a research analyst for PitchBook, highlighted the wide gap between investment in female-founding teams and male-founding teams, emphasizing the resilience required to break through the male-dominated VC environment.
Similarly, Switzerland has witnessed similar trends in its venture capital landscape, with investments in female-led startups reaching a historic high in 2023. Women at the helm secured funding for 37 businesses, accumulating a total of CHF 175 million, despite representing less than 10% of all recipients. On the VC firm front, the female presence is gradually increasing, accounting for 17.4% of decision-makers at firms with assets of at least $50 million, a modest bump from the year before. Deloitte’s Heather Gates emphasized the need for change in the industry, stating that changing the VC ecosystem will take time.
While investments in female-led startups have yet to reach a level playing field with their male counterparts, the surge in support and record-breaking investment milestones mark a pivotal shift in the landscape, offering a glimmer of hope and opportunity for women at the helm of rising startups.
