The statistics on business ownership by women of color is staggering. On the positive side, pre-Covid-19, women of color are starting new businesses faster than anyone else, while generating $422.5 billion in revenue for the economy. But when it comes to getting funding and media exposure, the statistics are bleak. According to the ProjectDiane report from Digital Undivided, a research center and incubator, businesses with women of color CEOs get less than 1% of all venture capital funding each year.
In a 2018 Morgan Stanley-funded survey of 101 investors, it was found that nearly 60% venture capitalists believe women and minority-owned businesses receive “about the right amount of capital” while 20% believe they receive “more capital than they deserve.” The study attributes this false perception to white and male investors not having many people of color or women in their professional networks.
In addition, new stats reveal that 50% of small businesses with employees ($4M+) face closure due to the pandemic, the impact on businesses run by women of color is undoubtedly going to be devastating post pandemic.
With such eye-opening statistics, it’s time to have courageous conversation and actionable results to grow awareness and devise solutions to this disparity. The State of Women of Color Businesses Symposium will address these issues and propose a call to action. The inaugural symposium will be virtual and featuring speakers, break-out activities, giveaways and more! More details coming soon.