It is hard to believe on International Women's Day 2023, that despite research suggesting that businesses founded by women ultimately deliver higher revenue, the percentage of venture capital funding that went to female-led start-ups in the US last year was less than 2%. That figure rose to 17.2% where the management team included a man. Equally concerning is the article's reference to a report from Harvard Business Review which allegedly warns against fundraising exclusively from female VCs on the basis that this may make it harder to raise additional rounds of capital later.
One of the reasons posited for the low rate of investment in women-led business is that "early bets are taken [by predominantly male investors] on showmanship and confidence". It is implicit in this that women are thought to fall short on these characteristics compared with men.
Setting aside what is potentially an enormous generalisation here, one of the ways in which women can tackle a lack of confidence, perceived or otherwise, is of course to ensure that they are as well-prepared as possible before that all important fundraising round.
This includes getting the right intellectual property protection in place from an early stage. As an IP lawyer experienced in assessing the value of a business' IP, I can say with confidence that getting solid advice as to what registered and unregistered IP protection might be available can add demonstrable value to a business, particularly as investors look towards the future and how the business might grow and cope with competition going forwards. Focussing investors' minds on the assets of the business, including intangible IP assets, which can offer a real competitive advantage and yet be easily overlooked, has to be one of the best ways to counter bias and make sure that any pitch for investment gets off to the best possible start.
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