The State of Latinx
Women Founders
ProjectDiane2018
ProjectDiane2018: Latinx is a biennial demographic study authored by
digitalundivided that provides a snapshot of the state of Black
Women Founders, and the startups they lead, in the United
States
The State of Latinx
Women Founders
ProjectDiane2018
ProjectDiane2018: Latinx is a demographic study authored by digitalundivided that provides a snapshot of the state of Latinx Women Founders, and the startups they lead, in the United States
The State of Latinx
Women Founders
ProjectDiane2018
ProjectDiane2018: Latinx is a demographic study authored by digitalundivided that provides a snapshot of the state of Latinx Women Founders, and the startups they lead, in the United States
ProjectDiane2018: Latinx is supported by:
ProjectDiane2018: Latinx is supported by:
Where are the Latinx Women Founders?
Over 60% of all Latinx Women–led startups in ProjectDiane are located in two states: California and New York.
Learn more about where Latinx Women founders are located by making a selection from the dropdown below and interacting with the map.
Help us make sure all Latinx women led startups are counted. Submit a Company for inclusion.
Latinx-owned businesses are growing at a fast pace…
– To the tune of more than 87 percent growth between 2007 and 2012. Yet the percentage of Latinx women-led startups is far less than the percentage of Latinx women in the U.S.
In 2017, there were…
6,791
funded startups led by at least one woman founder.
Of these startups…
Of these startups…
< 2%
were led by Latinx women
although Latinx women make up 17.6% of the U.S. women’s population
But we’ve got a long way to go to ensure these companies are funded
For the past 10 years, Latinx women-led startups have raised $1.36 billion in venture/angel funding, with a significant portion of that raised in 2017. This represents 0.32% of the $424.7 billion in total tech venture funding raised since 2009.
El Club del Millón de Dólares (The Million Dollar Club) is well and thriving…
The $1MM Club is composed of Latinx women who’ve raised over $1MM in outside venture funding. $1MM was chosen as a goal because the median seed round raised by companies is approximately $600,000, so $1MM raised would indicate the startup has been able to raise additional funding after their seed round. Raising additional funding after the initial significant seed investment usually requires the startups to show some progress in business development.
Number Who Raised Over $1MM in Venture Funding
Latinx women
2010: 3
2017: 58
Latinx women
2010: 3
2017: 58
Latinx women
2010: 3
2017: 58
Latinx Women Founders are Well-Educated
Over 88% of the founders in ProjectDiane2018 have a bachelor’s degree and 49.5% have a Master’s or a PhD. Over 80% of founders are non-Ivy League grads at the BA level. Interestingly, no Hispanic Serving Institutions (HSI) were listed as a top producer of Latinx women startup founders.
Universities with the Highest Number of Latinx Women Founders
| Rank | Undergrad | Total # of Startups with a Latinx Woman Founder |
|---|---|---|
| Tied for 1 |
University of California, Los Angeles Massachusetts Institute of Technology |
3 |
| Tied for 3 |
Yale University Wellesley College University of Florida University of California, Berkeley Stanford University New York University DePaul University Cornell University |
2 |
| Rank | Grad | Total # of Startups with a Latinx Woman Founder |
|---|---|---|
| 1 |
Stanford University |
7 |
| 2 |
Massachusetts Institute of Technology |
3 |
| Tied for 3 |
University of California, San Diego University of California, Los Angeles Harvard University |
2 |
Latinx Women Founders with STEM Background Raise More
Latinx women entrepreneurs with STEM-related undergraduate or graduate degrees were able to raise on average nearly three times as much as those with STEM degrees. Furthermore, prior work experience at a major tech company is often a factor used by investors in assessing a startup. Yet, only 41.4% of the Latinx women who’ve raised over $1MM–and less than half (40%) of all the Latinx women founders in ProjectDiane 2018– worked for a tech company.
Average Amount of Funding Raised by STEM vs Non STEM Degree
| BA Degree Type | Avg. Funding Raised | # of Companies |
|---|---|---|
| Did not indicate degree |
$15,071,905 |
21 |
| Non-STEM |
$7,694,667 |
60 |
| STEM |
$22,376,923 |
26 |
How to Use ProjectDiane2018 to Impact Change
Numbers don’t lie. Here are a few suggestions for ways to use ProjectDiane to inspire and impact the future of entrepreneurship for Black and Latinx founders.
1. If you’re not a founder, consider starting your own entrepreneurial journey. Learn more about digitalundivided’s programming, by visiting us at digitalundivided.
2. If you’re a founder, stand up and be counted. ProjectDiane is an ongoing data initiative that helps informs global and national policy for entrepreneurs of color. Make sure you’re counted by adding yourself to our database.
3. Founder or not, support the startup ecosystem. Become an investor. Mentor a founder. Sponsor a founder. Attend startup events in your area. Underwrite programs and research.
There are endless ways to support a startup ecosystem near you and the inclusive entrepreneurship movement in general. For more ideas, connect with digitalundivided on Facebook and/or Twitter and check out digitalundivided.
How to Use ProjectDiane2018 to Impact Change
Numbers don’t lie. Here are a few suggestions for ways to use ProjectDiane to inspire and impact the future of entrepreneurship for Black and Latinx founders.
1. If you’re not a founder, consider starting your own entrepreneurial journey. Learn more about digitalundivided’s programming, by visiting us at digitalundivided.
2. If you’re a founder, stand up and be counted. ProjectDiane is an ongoing data initiative that helps informs global and national policy for entrepreneurs of color. Make sure you’re counted by adding yourself to our database.
3. Founder or not, support the startup ecosystem. Become an investor. Mentor a founder. Sponsor a founder. Attend startup events in your area. Underwrite programs and research.
There are endless ways to support a startup ecosystem near you and the inclusive entrepreneurship movement in general. For more ideas, connect with digitalundivided on Facebook and/or Twitter and check out digitalundivided.
Methodology
ProjectDiane: Latinx is a demographic study that provides a snapshot of the current landscape for Latinx Women in the innovation space. ProjectDiane2018 covers the two year time period of November 2015- November 2017. A team of 10 data collectors reviewed over 8,000 U.S.-based startups and companies located in the Crunchbase, Pitchbook and Mattermark databases as well used updated data from the ProjectDiane2016 database. digitalundivided also reached out to top organizations working with Black and Latinx entrepreneurs and startups via email, social media, and word of mouth and employed an online survey to collect additional data. Once a startup was entered into the database it went through a verification process, and for those indicating raising over $250,000 in outside funding, digitalundivided conducted additional verifications process including written confirmation from investors, clips/links from major press coverage, and letters from legal representation.
About digitalundivided
digitalundivided (DID), a hybrid social enterprise founded in 2013, takes an innovative approach to community-level economic empowerment by encouraging high potential Black and Latinx women (BLWE) to own their economic security through entrepreneurship and technology. digitalundivided has demonstrated core competencies in building and scaling successful data-driven programs that remove barriers and create a pathway for women of color into innovation entrepreneurship and has served as a singular force in moving the needle on inclusion in the innovation economy as a whole.
To learn more about the digitalundivided mission, visit here.