Women Founders Raised Just 2% of U.S. Venture Capital in 2021
A new report from financial data company PitchBook has found that despite a record year for U.S. venture funding, startups founded solely by women brought in the lowest percentage of the total since 2016.
According to PitchBook, of the record nearly $330 billion in venture funding raised in the U.S. last year, just $6.37 billion went to startups led solely by women. While an 83% increase from 2020, it’s just 2% of the total.
Founding teams with men and at least one woman fared better, raising 15.6% of the U.S. total last year, the group’s greatest share since 2017. The remaining 82.4% went to men-only teams.
The report found startups led by women-only teams that provide healthcare services and systems did the best in 2021, bringing in 21.03% of all venture money raised by the group.
San Francisco leading the way:
According to PitchBook, the best city in 2021 for women-only teams was San Francisco, finding such teams headquartered there raised $1.91 billion. New York City was second at $1.53 billion.
Teams with at least one woman founder also fared best having their HQ in San Francisco, raising $16.16 billion there. Teams in New York City were second at $9.63 billion, followed by teams in Boston ($7.19 billion), San Jose ($3.23 billion), and Los Angeles ($2.87 billion) in the top five.