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Beauhurst: Funding statistics for UK female entrepreneurs

Over the course of the past eight years female entrepreneurs have made significant inroads into raising equity finance, a world that has traditionally been – and remains to be – dominated by men. The overall trajectory of funding into businesses with at least one female founder since 2011 remains positive, but progress is slow and inconsistent. 2018 has been a mixed bag, with a decrease in the percentage of deals going in to these companies, but a record high for the average deal size secured by women entrepreneurs.

In total, £570m was invested across 254 deals into female-founded companies in 2018, down from £650m across 304 deals in 2017. As we’ve seen in previous stories inThe Deal, there was a slump in both size and number of equity investments across the market in 2018, but male-founded companies only saw a 6% decrease in deal numbers, compared to 15% for female entrepreneurs. Only 16% of 2018’s equity deals went into female-founded companies, compared to 18% in 2016.

But women saw less of a decline in investment amounts, with a 12% decrease, compared to the 17% decrease experienced by men. Female entrepreneurs secured an 8% share of the amount of equity invested, down from 13% in 2015 and 2016, but on par with 2017. Most encouragingly, average deal size hit a new record, increasing from £2.22m to £2.33m in 2018. Of course, this still far below that for male-founded companies, who achieved an average deal size of £5.43m.

Head over to Beauhurst’s UKBAA Blog to read the full article!

UKBAA

By UKBAA08 Mar 2019