The Diversity Dividend

When we talk about “Diversity Dividend” we are broadly referring to the financial benefits that come from supporting diverse entrepreneurs and bringing diverse perspectives into the investment decision.

HERmesa embraces the diversity dividend

Better returns

Women founded companies return more. But don’t just take it from us, here’s what others have been saying too: see here, here and here

Improved bottom line

Women funded companies have higher returns and gender diversity in teams leads to better team performance, more robust decision making and an improved bottom line

Solving the pipeline problem

A lot of investors say they can’t find businesses founded by women to invest in. As women entrepreneurs ourselves, we know that there are some great women building great companies

Lacking Diversity

The world of start-up investing is still overwhelmingly male

14%
Women make up just 14% of Angel Investors in the UK
13%
Women make up just 13% of Venture Capital decision makers in the UK
48%
48% of UK VC firms have NO women representation at all

The mere act of pitching while female lowers your chances of receiving funding

68%
In an experiment at MIT, male narrated pitches were preferred over female narrated proposals 68% of the time…
even when they gave the exact same pitch!
6x
And in a high profile US pitching event, Tech Crunch, men were repeatedly asked “promotion questions” Entrepreneurs who answered promotion questions raised 6x more money than those asked prevention questions

For every £1 of venture capital (VC) investment in the UK, all-female founder teams get less than 1p, all-male founder teams get 89p, and mixed-gender teams 10p.

Venture capital investment in start-ups with female founders is increasing but progress is very slow. At current rates, for all-female teams to reach even 10% of all deals will take more than 25 years (until 2045).