According to the Female Founders Monitor The proportion of women among founders is only 20 percent, and 37 percent of startups have at least one woman in the founding team. This is despite the fact that gender-diverse founding teams are usually more successful. Boston Consulting Group Already in 2018, it was calculated that such startups generate higher revenues than all-male teams.
Less money but more jobs for female founding teams
And when it comes to job creation, mixed teams are more effective, at least in terms of the capital raised. “Munich Startup Employment” report It shows that all-male teams complete larger funding rounds – they receive an average of €38 million, while teams with at least one woman only receive €10 million. The startups examined thus achieved a total of €11 billion in funding for all-male-led startups and €658 million for startups with at least one woman on the founding team.
However, mixed teams use the money more effectively to create jobs. The average team size for all-male startups is 94 employees. In total, the startups examined financed around 27,000 jobs with their €11 billion in funding. Mixed and all-female teams provide jobs to an average of 57 people, providing employment for a total of 3,900 people. In terms of the capital raised, this means that the former create 2.5 jobs per €1 million of funding, while the latter create 5.9 jobs.
The “Munich Startup Employment” report
The "Munich Startup Employment" report examines all companies in Munich's innovation ecosystem that have been launched since 1990 with the goal of rapid growth. The study is thus aligned with the startup definition of Paul Graham, co-founder of Y Combinator. The figures on the impact of gender diversity in founding teams on the number of jobs created are based on a study of 333 startups with complete data on founding teams and funding.
The complete “Munich Startup Employment” report can be here can be downloaded.
