A current report confirmed that the share of fairness funding going to all female-founded companies remained at 2% in 2025, the identical as the common throughout the final decade.
We requested feminine entrepreneurs and enterprise specialists for his or her ideas. Some shared concepts for what must be finished to extend the share of funding going to feminine founders and others argued that we’re specializing in the unsuitable subject.
“We want extra seen position fashions, stronger mentoring and investor networks, and a broader view of what an investable enterprise appears to be like like. There are such a lot of ladies constructing worthwhile, scalable companies, however they typically don’t match the standard sample traders count on. We have to change that, not the ladies.”
Susan Bonnar, The British Craft Home
“The statistics are disappointing, however sadly not stunning.
“As a feminine founder, I’ve realized that entry to funding isn’t nearly having an awesome product or a robust marketing strategy—it’s about entry to the correct networks, visibility, and decision-makers. Girls are nonetheless too typically required to show extra with much less.
“What wants to vary is larger illustration of ladies on funding panels, extra early-stage funding alternatives particularly designed to again female-led companies, and a stronger deal with proof of business potential moderately than pattern-matching founders in opposition to what has traditionally been funded.
“I’ve constructed my enterprise from the bottom up via resilience, buyer belief, and measurable outcomes. There are millions of ladies doing the identical. The funding group isn’t in need of distinctive feminine founders; it’s merely overlooking too a lot of them.
“Backing extra ladies isn’t about decreasing the bar; it’s about widening the lens. After we spend money on feminine entrepreneurs, we create stronger companies, extra innovation, and lasting financial development.”
Samantha Parkash Singh, LUSHKA Cosmetics
“Operating a enterprise is tough no matter gender, however feminine founders typically face extra limitations on the subject of elevating funding. We don’t want particular remedy – we’d like equal entry to funding, networks and alternatives. Till the folks making funding selections higher replicate the variety of entrepreneurs constructing companies at the moment, the statistics are unlikely to vary.”
Kelly Peak, Peak & The Pantry
“A part of the issue is that we’re nonetheless being assessed in opposition to a mannequin that was not constructed with us in thoughts. After I checked out elevating funding, the companies getting funded quickest all had the identical form, quick development, straightforward scale, straightforward exit. Mine didn’t match that form, and I doubt I’m alone in that.
“Reasonably than power it, I constructed a CIC alongside my enterprise, which introduced Sport England and Nationwide Lottery funding and actual recognition. Buyers want to vary their mindset, however so does the definition of what counts as fundable. Two years in, mine is up 200% yr on yr, constructed on a route the fairness world was not providing.”
Julia Hartley, Guided Out of doors Adventures
“Gender parity in enterprise funding is the subsequent huge hurdle in feminine monetary empowerment. The attention campaigns are necessary, as are funded initiatives and grants, however finally it’s extra ladies sitting on the investor aspect of the desk, deciding the place capital really flows, that may convey the change.
“Girls construct companies that remedy issues different ladies stay with daily, and proper now these issues are being evaluated via a mostly-male lens.
“2% for 10 years is outrageous, exasperating and unhappy. However zooming out, the larger image just isn’t so bleak. The variety of feminine angel traders within the UK has grown 60% since 2022. Billions price of fairness offers now contain ladies angel funding in some type, in response to a UK Enterprise Angels Assocation report. Crucially, and down-right apparent, ladies angels put extra money into women-led companies, in contrast with male angels.
“Girls are pure multipliers. Each lady who turns into an investor doesn’t simply add capital to the market, she redirects extra of it towards different ladies. Rising the feminine investor base is the quickest technique to shut the founder funding hole. Let’s not sit round ready for male-dominated funds to get up to the returns they’re lacking out on.”
Amy Knight, SCALE
“As a disabled, feminine, solo founder, I really had a male who helps SMEs get funding advise me to get a male, able-bodied co-founder with a view to have an investable enterprise. I perceive the recommendation, however was additionally appalled.”
Elizabeth Padilla, Hues Clothes
“That 2% determine is jaw-dropping and depressingly constant. At a current discuss I attended by Sam Cooper-Grey, the driving power behind Girls Are Good Enterprise, the identical paradox got here up: her stats say female-led companies noticed 22.1% turnover development in 2025, forward of male-led (18%) and mixed-led (17.8%) – but secured solely 12.1% of exterior capital, versus 18.5% and 17.2% respectively. Higher efficiency, much less capital.
“AI is barely widening that hole – the stat on only one all-female-led workforce touchdown an AI deal above £10m since 2021 says all of it. This isn’t a pipeline drawback when ladies make up 58% of UK graduates and 51% of the inhabitants. It’s a bias drawback in who will get to put in writing the cheques. Extra ladies really sitting on funding committees, not simply pitching to them, feels just like the lever that might actually transfer this.”
Ruth Dietrich, Ruth Dietrich OBM
“As a feminine founder, it’s disheartening to see these numbers stay unchanged after a decade.
“I additionally assume we have to rethink the funding standards. Too typically, funding is tied to companies already assembly minimal income thresholds or using a sure variety of folks. However each profitable enterprise began with zero staff and an thought.
“Early-stage founders want traders who’re keen to again potential, not simply confirmed traction. By the point many companies attain the metrics traders are in search of, they’ve already survived the toughest half. Sadly, many promising start-ups don’t make it via these first two years as a result of they lack entry to early assist.
“Extra ladies writing the cheques, extra various funding committees, and higher belief in daring concepts might assist change that.”
Paulomi Debnath, Handmade by Tinni
“The stats aren’t altering as a result of the business isn’t altering and, unpopular opinion, maybe we’re specializing in the unsuitable factor.
“The two% determine is disgusting however it’s additionally a purple herring. We preserve pointing on the quantity with out asking whether or not fairness funding (particularly in its present type) is even the correct car for many female-led companies within the first place?
“The enterprise capital mannequin was constructed by a really particular sort of particular person, for a really particular sort of enterprise. The 5-8 yr timeline to exit, hyper-growth expectations, strain to scale quick and promote sooner doesn’t replicate the way in which many ladies construct. They’re typically extra worthwhile, sustainable, and impact-driven. Actual worth over time. However we preserve measuring in opposition to a framework by no means designed for girls.
“Good intentions don’t repair structural misalignment (and there are some well-intentioned traders who wish to again ladies). What really wants to vary is the pipeline, training round different funding, peer networks and entry, and a broader definition of what a profitable, fundable enterprise appears to be like like.
“The two% will preserve being 2% till we cease making an attempt to suit ladies right into a mannequin by no means constructed for them… and begin constructing one thing that was.”
Tara Attfield-Tomes, The 51% Membership
“These statistics are deeply irritating however sadly not stunning. I buil my enterprise after leaving educating resulting from critical sick well being and PTSD linked to ladies’s well being trauma. But like so many ladies, I needed to construct my enterprise with out entry to the networks, confidence or funding pathways typically extra available to male founders.
“If solely 2% of fairness funding remains to be going to all-female based companies after a decade, the issue is clearly structural, not a scarcity of expertise or ambition. We want extra ladies making funding selections, broader definitions of what a high-growth enterprise appears to be like like, and way more visibility and backing for female-led manufacturers exterior conventional enterprise capital circles.
“That’s why communities like Purchase Girls Constructed matter a lot. When ladies assist ladies, whether or not via funding, retail partnerships or client spending, it creates actual change.
“Backing feminine founders just isn’t charity. It’s good economics.”
Alicia Drabble-Castellano, Single Swan
“The two% determine is sobering, however I additionally assume we have to ask whether or not we’re measuring success too narrowly. In 10 years of constructing my enterprise, I’ve by no means sought fairness funding, not as a result of I lacked ambition, however as a result of defending our mission, independence and long-term sustainability has mattered greater than pursuing development at any value.
“We must always completely take away limitations for girls who need funding, however we also needs to rejoice the various feminine founders constructing resilient, worthwhile companies via completely different routes.”
Sarah Turner, Little Beau Sheep
“This tracks with what was discovered within the Maple Evaluate too, although our lens was financial hardship moderately than gender particularly.
“One of many core suggestions was to focus on enterprise interventions at these most excluded, and girls got here up time and again as a gaggle the place the limitations stack: monetary exclusion, confidence deficits, lack of position fashions, fragmented assist.
“Practically two thirds of the founders surveyed lacked the financial savings to spend money on their very own enterprise, and half didn’t know methods to entry finance in any respect. That’s earlier than they ever get close to an investor.
“You’ll be able to’t shut a 2% hole by solely wanting on the cheque, it’s a must to repair the visibility and entry that will get somebody to the desk within the first place.
“You received’t shut a 2% hole by solely fixing the funding. You need to repair the visibility and belief and entry that will get somebody thought of in any respect.”
Tara Askham, She Begins Good
“I bought a enterprise in 2000 and used the identical company lawyer once we bought our precision engineering enterprise in 2022. I confidently mentioned that he should cope with so many extra feminine entrepreneurs and exits as of late – and sadly I used to be nonetheless very a lot within the minority.
“But if you have a look at the stats, a extra gender balanced board tends to return higher outcomes – McKinsey’s Range Issues 2024 Report confirmed that corporations with greater than 30% feminine illustration at Board stage are considerably extra more likely to outperform these with 30% or much less.
“A excessive proportion of fairness funding goes to tech corporations as you level out, which once more has much less feminine Board members – feminine illustration in tech is low and that’s led to AI being educated with a male bias as a result of that’s who it was programmed by.
“So we’d like extra ladies in on the grass roots, we’d like ladies to have entry to extra monetary training and to truly have their ambition sights raised and we’d like extra assist alongside the way in which.”
Emma Warren, entrepreneur and enterprise mentor
“This 2% determine is so disappointing particularly because it’s been so constant. I’m wondering what standards they use?
“Why do they not perform some research on feminine led companies and attain out to them to supply assist and steerage on methods to apply and truly move their standards so subsequent yr the determine will increase (by so much). And in the event that they actually wished to be inclusive they may attain out to feminine founders with disabilities who run companies as properly and assist the financial system.
“In the event that they actually wished that quantity to extend then they must be proactive but when they don’t, then there may be positively a flaw someplace.”
Sonal Dave, celebrant, Toastmaster and public talking skilled
“Solely 2%? All of a sudden my fundraising journey makes much more sense. As a feminine founder constructing a geek social app, I do know the wrestle isn’t a scarcity of ambition ardour or innovation it’s getting within the room. Buyers are lacking out on sensible companies!”
Dennie Smith, Geek Meet Membership
“That is precisely why ladies must be a part of the AI dialog now, not later.
“As female-founded AI companies are barely represented, we aren’t simply speaking a couple of funding hole. We’re speaking about who will get to form the longer term.
“Extra visibility, extra confidence, extra entry, and much much less unconscious bias within the rooms the place funding selections are made.”
Julie Begbie, happiness psychologist and small enterprise mentor
“On the optimistic aspect, there are actually round 1.8 million ladies run companies throughout the UK, the best share on file. The funding subject is a big drawback although. Beginning a enterprise is one factor, scaling it’s a lot tougher and entry to capital is a big a part of it.
“There’s one other sample I hear so much from feminine enterprise house owners although. Many are constructing service-based companies equivalent to consultancy, teaching, VA work and bookkeeping, as a result of they provide low overheads, flexibility and management. When a enterprise depends closely on buying and selling time for cash, scaling turns into a lot tougher and until it’s a subscription mannequin, traders are sometimes not .
“I’m additionally a small enterprise proprietor and director of a feminine based CIC and I’m seeing a shift, primarily coming from extra sensible infrastructure that helps ladies scale: entry to networks, assist from the banking sector (primarily training) and digital ability programmes (Enterprise Nation, Google and so on). I’m additionally making an attempt to get extra feminine founders and enterprise house owners to make use of advertising and marketing software program and AI to scale.”
Berit Block, Fixed Contact
