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Startup World

 
Started by : Veena Gupta, Analyst, Blackstone Group   09 16 2010 07:21:52 +0000
Industry : Hedge Funds/VCs/Private EquityFunctional Area : VC funding(Entrepreneurship)
Activity:  24 views;  last activity : 09 20 2010 09:20:28 +0000

THERE'S A TROUBLING question facing women entrepreneurs, who are starting on their own and want to raise capital through VC funding..but, a lot of VC's are hesitant in investing their money in ventures which are run by women, What's holding them back?


http://www.spellbrand.com/images/women-entrepreneurs-branding-mistakes.jpg

And when it comes to generating revenues for their firms. While female entrepreneurs in general lag behind men when it comes to sales, minority women or different coloured further take a back seat to white women.

So, why VC's are hesitant in investing ventures which are run by women??

 
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1 Some serious stereotypecasting here.....
2 Let the woman enter the race
3 Women are better and result oriented entrepreneur.

Some serious stereotypecasting here.....

idea posted by Veena Gupta Analyst, Blackstone Group

Women entrepreneurs frequently report that access to capital is one of the biggest hurdles to growth. Female entrepreneurs can be dogged by the stereotype that they have little financial know-how, which can make lenders, investors and venture capitalists in particular hesitant to work with them. Also they think Women can't handle their employees where there will be more men who will be working under them and the scenario will not be that great.   Although White women are still having some issues but....women of color have that added issue of race and ethnicity to deal with.

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Accept your views Ms.Veena Gupta.

 

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by Rathin Deb, Freelance Retail Consultant  | 09 16 2010 10:56:18 +0000

I amin agreement with you. There is still some mental block is there in India among all the persons regarding womann enterprenure.

Kiran Majumdar Shaw is an exception.

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Let the woman enter the race

idea posted by SR Sham Sunder CEO/MD/Director Technoaid

I have been a consultant for project finance for the last 18 years.  I have seen many a house wife transform into an entrepreneur.  Whenever I come across a woman  entering business, I take special interest to understand how they start their entrepreneurial career.  

First and foremost, they tend to take control of money.  They manage finances i.e., how money is spent far better than how men manage.  They do not hesitate to question expenditure.  

They identify key contributors to the project and encourage/motivate them.  This is the second step in their transformation.  

At this stage, they will have faced many questions.  The strength of the woman to deal with complex situation is tested here.  Once she is through, she could outsmart her male counterparts very easily.

If we just look at the first two issues, for a VC, taking care of money and retaining key contributors is a very crucial factor.  Ofcourse, unprofessional preferences is quite a likely diversion woman easily get into.  However, the main issue is money care and employee motivation and loyalty.  If these are met, the VC should have no issue and I believe, 75% of woman entrepreneurs excel in this.

I can not ignore the fact that we should keep an eye on the entrepreneur as to how she functions at different circumstances especially crises.

My considered opinion is that a woman entrepreneur is a better bet for the VC.  If VCs prefer men, it is their call....

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by George Varghese, Proprietor, Jecyees  | 09 16 2010 12:28:11 +0000

I support Mr. Sham sunder's idea. We have many success stories of women entrepreneurship. They should enter the race.  

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Women are better and result oriented entrepreneur.

idea posted by Suresh Prasad Gupta Freelancer, Pharmaceuticals
Women are better entrepreneur. If someone are hesitant then that could be their extremely personal opinion.
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by shubhra jain, student, HR  | 09 20 2010 09:20:28 +0000

Of course women make better entrepreneurs because they have highly skilled attitude, futuristic mind, positive attitude towards dealing with risks.thats' why a woman could be better in producing more outputs if she once started!!!

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