When a resource such as the TechCrunch-operated database Crunchbase passes comment on the state of the startup ecosystem, it’s worth paying full attention.
In an article last week, Crunchbase declared that based on its studies of 43,008 global companies only 17% of startups have a female founder, and furthermore, there has been nearly no percentage growth in women-founded venture-backed startups over the past five years.
With Law Society statistics suggesting that more than 60% of all law graduates in the UK are women and only 25% of partners are female.
Crunchbase’s findings – which it’s important to remember to accommodate a global perspective – paint a picture of an underachieving entrepreneurial scene for female law professionals.
So what of female-founded, venture-backed startups once they are up and running – how are they fairing?
Crunchbase’s findings seem conclusive. Their article states:
at each progressive funding stage, female-founded companies are raising lower percents of overall funding.
Whilst Susan Lyne, a co-founder of BBG Ventures, confirms that:
the biggest issue is not the number of women starting companies, but the access to capital as you move up the food chain.
Legal Geek Founder Jimmy Vestbirk added:
There is definitely an imbalance between men and women in the startup space of the legal sector. As Crunchbase’s statistics show, this seems to be the case in other industries too.
But big steps forward are being taken by the legal industry and at Legal Geek we’re desperate to help accelerate that process. Our Women in LawTech meet-ups were introduced with that specific goal in mind.