Female Funders, the newest kid on the tech block is a site dedicated to providing women with the tools they need to begin angel investing.
The site which launched with the hastag #FemaleFunders1000 has brought together a group of successful women entrepreneurs, investors, and corporate executives with the aim of encouraging women to start making angel investments.
What made these like-minded successful women come up with such an idea? You may ask, two reasons. First, is a report from Forbes that only 20% of angel investors are women — and when the list of angel investors is narrowed to only technology angels, that number drops even further. Second, according to AngelList one of the leading communities out there that links Angel Investors with Startups, only 9% of their registered investors are women.
Katherine Hague the initiator of Female Funders sold her first company, ShopLocket, to PCH last year at the age of 23. Now she’s the VP of Community Engagement and Hackathons for PCH.
“Getting women to angel invest is more than just about equality. More women angel investing will mean more funded female-led companies — if for no other reason than because similarity biases tend to attract us to people like us,” says Hague. “Forbes reported that only 5% of venture capital funding goes to women led businesses, which is crazy considering the number of studies that show women-led businesses actually perform better.”
“I started talking to women about the fact that I was angel investing, and oftentimes people would say, ‘oh that’s so cool, I wish I could do that’,” she said. “And you’d dig in a little bit, and you’d realize that really they could angel invest, but they have these misconceptions of it being incredibly hard or huge amounts of money. I really just wanted to help women everywhere understand it enough so at least they could make an educated decision.”
Female Funders has a stated goal of empowering 1000 women to make their first angel investment in the next 12 months, at which time they’ll become part of the #FemaleFunders1000. Hague was clear that she wanted supporters to share their stories and encouragement using the hashtag, which will appeal in a live feed on the Female Funders Wall of Angels.
The Female Funders group says that accredited angels can begin investing on AngelList with as little as $1,000… or investors can join syndicates of investors led by angels like Barbara Cochoran, Tim Ferriss, or AngelList founder Naval Ravikant.
Meanwhile famous names in the investment world like Joanne Wilson, Esther Dyson, and Cyan Banister are giving their time to the project.