Our Economy Needs Female-Founded Startups. Here’s How You Can Ensure They Survive COVID-19

How Startups Support the US Economy

Consider the facts on how startups fuel the US economy:

Why Female-led Startups Need Access to Capital Now

Female-Founded Startups Receive Less Funding

  • Startup teams with at least one female founder provide 63% better investment returns than all-male teams.
  • Female-founded startups generate 78 cents for every dollar invested in their companies. Male-founded startups generate 31 cents for every dollar invested.
  • In 2019, male-founded companies received 97.3% of all venture capital funding.
  • In other words, less than 3% ($3.54 billion) of funding went to companies founded by women. That’s less money than one company, WeWork, received in the same year.
  • The average investment for female- or female co-founded companies is $935,000, whereas the average investment for male-founded companies is more than double: $2.1 million.

How You Can Help: Four Easy Steps

  1. Locate your leaders in Washington D.C. You have two Senators and one Representative at the national level.
  2. Call your Senators and Representatives to request a meeting. You want to discuss the urgency of allocating more economic stimulus specifically for female-founded startups through forgivable SBA loans or grants. Use the data on this page as your guide. (Note: At the time of this publishing, a $2 trillion economic stimulus package had already been passed with $350 billion allocated for small business loans. Talks were in place to secure another $250 billion for small-business relief.)
  3. Remind your elected officials how startups benefit the communities they represent by increasing employment opportunities, household income, and local tax income.
  4. Call back weekly until you have resolution on your requests.

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