Friday 8 March 2019 8:23 am

Women-led startups receive less than 10 per cent of venture capital funding

Fewer than one in ten pounds invested in British startups go to women-run businesses, while one per cent of venture capital funding goes to companies run by only women, a new report has shown.

Read more: International Women’s Day is a reminder to keep breaking down barriers

A study from the Enterprise Investment Scheme Association and IW Capital showed that two-thirds of women felt they had not been taken seriously by potential investors when raising funds.

Meanwhile, men are three times more likely to have over £250,000 of investable assets.

“Optimum productivity across our private sector can only be secured by utilising the full capacity of this nation’s diverse talent pool. Failing to do so will of course impede the growth and success of our economy,” said IW Capital chief executive Luke Davis.

Entrepreneur Georgia Fendley said she faced strange questions and scrutiny when she started handbag designer Hill and Friends with a colleague in 2015.

“We felt given our track record and the amount of money we'd invested, investing in us should have been a no-brainer. I think it is probably harder for women that don't have experience of that culture,” she told City A.M.

“Women are judged far more on track record rather than the product they’re offering.”

Read more: Cannabis firm Jacana blazes a trail to possible IPO

Fendley said the investment community is imbalanced as most investors are men.