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Finding the Bright
Spots
Shereen Shermak
CEO, Launch Angels

The Easiest Way to a Venture Portfolio
A โ€˜not so brightโ€™ spot.
9

5

6

7

8

4.2 to 7% of VC funding goes to
women-led businesses
2
When Carnegie Mellon decided that 7%
women engineering students was not
enoughโ€ฆ

Their 4 point plan increased women engineering
students from 7% to 42%.
In just 5 years.
3
Another โ€˜not so brightโ€™ spot:
using the same exact pitchโ€ฆ

Men are 40% more likely to
receive funding than women.
4
When leading orchestras started using
blind auditionsโ€ฆ

The percentage of women in orchestras rose from
10% to 35%
5
Bright Spot #1: Crowdfunding sites
remove barriers for undercapitalized
groups
18

๏‚—

Indiegogo successful campaigns: 42% female-led

๏‚—

Indiegogo women raise more than men: higher
19
amounts, more contributions

๏‚—

More women serial backers than men

๏‚—

CircleUp notes 2/3 of their ventures are women-led

20

*UK
6
In our world, men fund men and
women fund women
โ€ข

There are plenty of potential investors
โ€ข

40%+ of Americans with gross investable assets above
$600K are women

โ€ข

Only 22% of angels are women

โ€ข

90% of potential angels have not recently invested in early
stage companies

By increasing the availability of capital
controlled by women, we increase the
chances of women-led ventures being funded
7
Bright Spot #2: Number of women
angels increased 80% YOY in 2012
๏‚—

22% in 2012 vs. 12% in
2011 14

๏‚—

Tipping point for
15
innovations: 15-18%

๏‚—

When over 10% of
investors in angel group
are women, investment
activity increases 16

17

8
Launch Angels Women-Led Fund
โ€ข Planned closing in March!
โ€ข First investment planned for April
โ€ข Fund will include women-led, women-backed and womenfriendly early stage businesses

9
The Easiest Way to a Venture Portfolio

Shereen Shermak
Email: shereens@launch-angels.com

Mandie Holmes
Email: mandieh@launch-angels.com
www.launch-angels.com
Twitter: @Launch_Angels

10
Sources
1.

2.
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22.

Angel Resource Institute, Silicon Valley Bank & CB. Oct. 16, 2013. Insights Q2 2013 Halo Report. Retrieved from http://www.cbinsights.com/blog/trends/angel-investmentdata-q2-2013
Koetsier, J. Feb. 19, 2013. Rise of the Angel Investor Infographic. Retrieved from http://venturebeat.com/2013/02/19/the-rise-of-the-angel-investor-infographic/
Sekhon, S. May 1, 2013. Crowdfunding Statistics and Trends Infographic. Retrieved from http://blog.gogetfunding.com/crowdfunding-statistics-and-trends-infographic/
Crowdfunding Intermediary Regulatory Advocates. Apr. 8, 2013. Studies Show 81% Jump in Crowdfunding and a $3.98 Billion Crowdfund Investing Market. Retrieved from
http://www.cfira.org/?p=2184
Sohl, J. Apr. 25, 2013. The Angel Investor Market in 2012: A Moderating Recovery Continues. Retrieved from http://blog.gogetfunding.com/crowdfunding-statistics-andtrends-infographic/
Ibid
Ibid
Kerr, W. Apr. 15, 2010. The Consequences of Entrepreneurial Finance: A Regression Discontinuity Analysis. Retrieved from http://hbswk.hbs.edu/item/6347.html
Farrell, M. Apr. 26, 2013. Women boosting funding of start-ups. Retrieved from http://www.bostonglobe.com/business/2013/04/25/more-women-writing-checks-fundstart-ups/z8pgHQdNiEL0dhdzDPCykM/story.html
Information for Development Program/The World Bank. Oct. 24, 2013. Crowdfundingโ€™s Potential for the Developing World. Retrieved from
http://www.infodev.org/crowdfunding
Casserly, M. Apr. 25, 2013. Tipping the Scales: Women Angel Investing Reaches All-Time High. Retrieved from
http://www.forbes.com/sites/meghancasserly/2013/04/25/tipping-the-scales-women-angel-investing-reaches-all-time-high/
Ewing Marion Kauffman Foundation. Nov. 2009. Where Will the Jobs Come From? Retrieved from
http://www.kauffman.org/~/media/kauffman_org/archive/researchreport/2011/4/where_will_the_jobs_come_from.pdf
Angel Capital Association. July 15, 2013. New SEC Rules Could Kill Angel Investing, Hurt Startups, and Hinder Job Growth. Retrieved from http://online.wsj.com/article/PRCO-20130716-908735.html
Center for Venture Research. Apr. 25, 2013. The Angel Investor Market in 2012. Retrieved from https://paulcollege.unh.edu/research/center-venture-research/cvranalysis-reports
Stengel, G. May 29, 2013. 5 Ways to Get More Entrepreneurs on the Worldโ€™s Most Powerful Womenโ€™s List. Retrieved from
http://www.forbes.com/sites/geristengel/2013/05/29/5-ways-to-get-more-entrepreneurs-on-the-worlds-most-powerful-women-list/
Baum, S. Apr. 25, 2013. Proportion of Women Angel Investors Rose in 2012. Retrieved from http://medcitynews.com/2013/04/report-proportion-of-women-angelinvestors-rose-in-2012/
Casserly, M. Apr. 25, 2013. Tipping the Scales: Women Angel Investing Reaches All-Time High. Retrieved from
http://www.forbes.com/sites/meghancasserly/2013/04/25/tipping-the-scales-women-angel-investing-reaches-all-time-high/
Stengel, G. Jan. 30, 2013. Why Crowdfunding is a Game-Change for Women Entrepreneurs. Retrieved from http://www.forbes.com/sites/geristengel/2013/01/30/whycrowdfunding-is-a-game-change-for-women-entrepreneurs/
Ibid
Alois, J. Mar. 7, 2013. Women Are More Successful at Crowdfunding Startups. Retrieved from http://www.crowdfundinsider.com/2013/03/11376-women-are-moresuccessful-at-crowdfunding-startups/
Information for Development Program/The World Bank. Oct. 24, 2013. Crowdfundingโ€™s Potential for the Developing World. Retrieved from
http://www.infodev.org/crowdfunding
Crowdsourcing.org. (n.d.) Retrieved from http://www.statista.com/statistics/251577/growth-in-the-number-of-crowdfunding-platforms-by-category/

11

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Finding the Bright Spots Women and Capital

  • 1. Finding the Bright Spots Shereen Shermak CEO, Launch Angels The Easiest Way to a Venture Portfolio
  • 2. A โ€˜not so brightโ€™ spot. 9 5 6 7 8 4.2 to 7% of VC funding goes to women-led businesses 2
  • 3. When Carnegie Mellon decided that 7% women engineering students was not enoughโ€ฆ Their 4 point plan increased women engineering students from 7% to 42%. In just 5 years. 3
  • 4. Another โ€˜not so brightโ€™ spot: using the same exact pitchโ€ฆ Men are 40% more likely to receive funding than women. 4
  • 5. When leading orchestras started using blind auditionsโ€ฆ The percentage of women in orchestras rose from 10% to 35% 5
  • 6. Bright Spot #1: Crowdfunding sites remove barriers for undercapitalized groups 18 ๏‚— Indiegogo successful campaigns: 42% female-led ๏‚— Indiegogo women raise more than men: higher 19 amounts, more contributions ๏‚— More women serial backers than men ๏‚— CircleUp notes 2/3 of their ventures are women-led 20 *UK 6
  • 7. In our world, men fund men and women fund women โ€ข There are plenty of potential investors โ€ข 40%+ of Americans with gross investable assets above $600K are women โ€ข Only 22% of angels are women โ€ข 90% of potential angels have not recently invested in early stage companies By increasing the availability of capital controlled by women, we increase the chances of women-led ventures being funded 7
  • 8. Bright Spot #2: Number of women angels increased 80% YOY in 2012 ๏‚— 22% in 2012 vs. 12% in 2011 14 ๏‚— Tipping point for 15 innovations: 15-18% ๏‚— When over 10% of investors in angel group are women, investment activity increases 16 17 8
  • 9. Launch Angels Women-Led Fund โ€ข Planned closing in March! โ€ข First investment planned for April โ€ข Fund will include women-led, women-backed and womenfriendly early stage businesses 9
  • 10. The Easiest Way to a Venture Portfolio Shereen Shermak Email: shereens@launch-angels.com Mandie Holmes Email: mandieh@launch-angels.com www.launch-angels.com Twitter: @Launch_Angels 10
  • 11. Sources 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. Angel Resource Institute, Silicon Valley Bank & CB. Oct. 16, 2013. Insights Q2 2013 Halo Report. Retrieved from http://www.cbinsights.com/blog/trends/angel-investmentdata-q2-2013 Koetsier, J. Feb. 19, 2013. Rise of the Angel Investor Infographic. Retrieved from http://venturebeat.com/2013/02/19/the-rise-of-the-angel-investor-infographic/ Sekhon, S. May 1, 2013. Crowdfunding Statistics and Trends Infographic. Retrieved from http://blog.gogetfunding.com/crowdfunding-statistics-and-trends-infographic/ Crowdfunding Intermediary Regulatory Advocates. Apr. 8, 2013. Studies Show 81% Jump in Crowdfunding and a $3.98 Billion Crowdfund Investing Market. Retrieved from http://www.cfira.org/?p=2184 Sohl, J. Apr. 25, 2013. The Angel Investor Market in 2012: A Moderating Recovery Continues. Retrieved from http://blog.gogetfunding.com/crowdfunding-statistics-andtrends-infographic/ Ibid Ibid Kerr, W. Apr. 15, 2010. The Consequences of Entrepreneurial Finance: A Regression Discontinuity Analysis. Retrieved from http://hbswk.hbs.edu/item/6347.html Farrell, M. Apr. 26, 2013. Women boosting funding of start-ups. Retrieved from http://www.bostonglobe.com/business/2013/04/25/more-women-writing-checks-fundstart-ups/z8pgHQdNiEL0dhdzDPCykM/story.html Information for Development Program/The World Bank. Oct. 24, 2013. Crowdfundingโ€™s Potential for the Developing World. Retrieved from http://www.infodev.org/crowdfunding Casserly, M. Apr. 25, 2013. Tipping the Scales: Women Angel Investing Reaches All-Time High. Retrieved from http://www.forbes.com/sites/meghancasserly/2013/04/25/tipping-the-scales-women-angel-investing-reaches-all-time-high/ Ewing Marion Kauffman Foundation. Nov. 2009. Where Will the Jobs Come From? Retrieved from http://www.kauffman.org/~/media/kauffman_org/archive/researchreport/2011/4/where_will_the_jobs_come_from.pdf Angel Capital Association. July 15, 2013. New SEC Rules Could Kill Angel Investing, Hurt Startups, and Hinder Job Growth. Retrieved from http://online.wsj.com/article/PRCO-20130716-908735.html Center for Venture Research. Apr. 25, 2013. The Angel Investor Market in 2012. Retrieved from https://paulcollege.unh.edu/research/center-venture-research/cvranalysis-reports Stengel, G. May 29, 2013. 5 Ways to Get More Entrepreneurs on the Worldโ€™s Most Powerful Womenโ€™s List. Retrieved from http://www.forbes.com/sites/geristengel/2013/05/29/5-ways-to-get-more-entrepreneurs-on-the-worlds-most-powerful-women-list/ Baum, S. Apr. 25, 2013. Proportion of Women Angel Investors Rose in 2012. Retrieved from http://medcitynews.com/2013/04/report-proportion-of-women-angelinvestors-rose-in-2012/ Casserly, M. Apr. 25, 2013. Tipping the Scales: Women Angel Investing Reaches All-Time High. Retrieved from http://www.forbes.com/sites/meghancasserly/2013/04/25/tipping-the-scales-women-angel-investing-reaches-all-time-high/ Stengel, G. Jan. 30, 2013. Why Crowdfunding is a Game-Change for Women Entrepreneurs. Retrieved from http://www.forbes.com/sites/geristengel/2013/01/30/whycrowdfunding-is-a-game-change-for-women-entrepreneurs/ Ibid Alois, J. Mar. 7, 2013. Women Are More Successful at Crowdfunding Startups. Retrieved from http://www.crowdfundinsider.com/2013/03/11376-women-are-moresuccessful-at-crowdfunding-startups/ Information for Development Program/The World Bank. Oct. 24, 2013. Crowdfundingโ€™s Potential for the Developing World. Retrieved from http://www.infodev.org/crowdfunding Crowdsourcing.org. (n.d.) Retrieved from http://www.statista.com/statistics/251577/growth-in-the-number-of-crowdfunding-platforms-by-category/ 11