ARE YOUNG, INNOVATIVE STARTUPS AUTOMATICALLY MORE DIVERSE? by David Braue
Not necessarily – because culture must be deliberate no matter how small you are
I
nnovation is the lifeblood of startup businesses,
“It’s very hard for females to get into,” she told the
whose ambitious and often young founders grew
recent VFF FinTech Forum. “One of the important
up in a climate that prioritises diversity much more
things is to give [opportunities to] new VCs or young
than in the past. But does that mean startups’
VCs with less of a track record. Waiting for the VCs
progressive culture of innovation automatically
themselves to embrace diversity is going to take a
translates into diverse, innovative workplaces?
long time.”
Not necessarily. People are people, after all, and
Statistics confirm that the startup community,
cultural issues can be as difficult to overcome
for all its potential to rebalance gender diversity,
for growth-focused startup founders – who must
still has a ways to go on diversity measures: two-
navigate a range of corporate cultures as they try to
thirds of startups have fewer than 20 per cent
win over early-stage investors – as they are in more
women in leadership roles, according to InnoVen
established organisations.
Capital’s recent Startup Outlook Report 2023, which found the remainder have fewer than 10 per cent
“The system is basically stacked against you,”
women leadership.
says Inez Murray, New York City-based CEO of the
82
Financial Alliance for Women, a fierce advocate for
Whether they’re operating in finance, cybersecurity, IT
diversity who has watched women fight to establish
or other domains, the culture established during those
themselves in the early-stage investor “boys’ club”.
early days will set the tone for startups in the long
W O M E N I N S E C U R I T Y M A G A Z I N E
M AY • J U N E 2023