New investor report: Women-led startups more likely to get angel support than VC backing
October 30, 2018 | Austin Barnes
Angel investors support 10-times more women-led companies than venture capital-backed investors, revealed a first-of-its-kind report by the Kansas City-based Angel Capital Association.
Marianne Hudson, Angel Capital Association
“It didn’t shock us,” said Marianne Hudson, executive director of the ACA, the world’s largest cohort of angel investors.
Hudson cited previous ACA research that indicated 21 percent of angel investors had been identified as women.
“We could really see some growth there,” she said. “Any events and activities that were giving women momentum had a lot of interest.”
Newly released, the pilot for the ACA’s Angel Funders Report polls 26 angel groups from 17 states and examined factors that impact investor returns and overall entrepreneurial success.
“[Angel Groups] are very excited about this. They can see some real, potential benefits,” Hudson said.
Other highlights of the report include angel investors eager to support first-time entrepreneurs, investment opportunities located in more than twice the number of states as angel investors, and multiple angel investors collaborating to infuse startups with investments in the million-dollar range, Hudson revealed.
Click here to view the full Angel Funders Report.
“I think [collaboration] is a growing trend in that it really shows that angel groups need to work with each other to invest in entrepreneurs so they get the capital that they need,” she said.
Moving forward, the ACA plans to release the report quarterly, Hudson said. Beyond the release of the pilot report, an official launch timeline has not yet been determined.
“An angel investment is only successful if the company is successful,” she added. “I think over time this will give us the kinds of insights that everyone can learn from.”
Routine study of trends in angel investment will further cultivate the entrepreneurial ecosystem, by alerting investors and entrepreneurs to new opportunities in the startup space, Hudson said.
Featured Business
2018 Startups to Watch
stats here
Related Posts on Startland News
Andy Stoll: Entrepreneurial ecosystem answers aren’t inside the Kauffman Foundation
Editor’s note: This content was sponsored by the Ewing Marion Kauffman Foundation but independently produced by Startland News. Acting in a Bollywood film. Pie making on Armenian television. Cooking on a dude ranch in Australia. Sewing in a dress factory in Bangkok. Farming maize in Zambia. Each revealed a lesson and mission for Andy Stoll.…
Rx Savings secures $18.4M funding round, nears 2 million members
An $18.4 million funding round is the prescription Rx Savings Solutions needs to expand its fight against a crippling, yet common ailment, said Michael Rea. “Everyone in the nation has the same problem — high drug costs — and most people don’t know there are options to save money,” said Rea, founder and chief executive…
Before prime time: Did Amazon’s 1999 arrival in Kansas deliver on hype?
In 1999, Amazon — still in its infancy — meant only two things to most consumers: low-priced books and CDs. But for one small town in Kansas, residents believed the online retailer had the potential to be a game-changer for their economically depressed, rural community. “People in Coffeyville were practically doing cartwheels in the streets,” said…
FCC head: Repealing net neutrality will boost innovation, investment; startups disagree
The Federal Communications Commission is preparing to eliminate regulatory rules that prohibit internet service providers from interfering with consumers’ access to web content. FCC chairman Ajit Pai announced in a Wall Street Journal op-ed that the regulatory body will vote Dec. 14 to repeal 2015 Obama-era regulations. That regulatory model, referred to as Title II,…