What are the changes I’ve seen, for better or worse, in the entrepreneurial space since launching Mums & Co? asks Carrie Kwan.
More women becoming entrepreneurs
Female founders are on the rise. While men still outnumber women in business ownership overall, two-thirds of new businesses created in Australia in the past decade were founded by women, according to the Xero Boss Insights 2020 report. The pipeline for scaleable businesses has grown larger and we see more women entering at the inception stage.
Role models paving the way
A lack of role models could be cited as a reason for a slower uptake of female founders when I first forayed into startups in 2007, but that has certainly changed with inspiring women like Melanie Perkins, Co-Founder of Canva, Kate Morris, Founder of Adore Beauty and Dr Catriona Wallace, Founder & CEO of Flamingo AI, carrying the mantle. Having raised a massive A$25 million in just four years, Flamingo is one of only two companies on the ASX with a female chief executive and chair, and proudly boasts a 40 per cent female workforce.
Wallace cites how in the beginning she had to work 150 times harder than her male counterparts, just to get a foot in the door. And that this only motivated her further to become a role model for girls and women in tech, and to inspire and mentor female entrepreneurs worldwide.
I strongly believe in the importance of role models. Seeing people succeed who look and sound like you helps you to raise your sights and believe that you can achieve what they’ve achieved. Having the right mentor and support network can build confidence, get rid of imposter syndrome and give people the courage to turn that idea into a business. Women also tend to value external networks more than men, yet in the entrepreneurial ecosystem, women are far less likely to have an entrepreneur in their network.
The rise of Incubators and Accelerators
Startups that complete accelerator programs typically receive investment faster than those that don’t, but female founders have not always been well represented in these accelerators. Over the past five years, we’ve seen female-centric programs emerge such as SheStarts, SheEO, SBE Australia, and StartMate recently taking it’s first all-female cohort.
Strengthening the pipeline (seeing more investment of girls in STEM)
Sarah Moran’s push for more young girls to take up coding through business Girl Geek Academy.
Support Networks
In recent years we’ve seen the establishment of support networks to encourage, support and promote female entrepreneurship. Helping more women become founders means putting more of the right support networks in place, too. As the co-founder of Mums & Co, I am lucky to spend time every day with a variety of inspiring women (and men) who start and scale successful businesses. More often than not, these impressive people cite role models, mentors and a wide support network as reasons for their success.
Equity crowd-funding gained momentum
In January 2018 the first licenses to host crowdfunding offers were granted to seven platforms including Equitise, Birchal and OnMarket. In March 2018, digital bank Xinja kicked things off with Australia’s first equity crowdfunding campaign, raising more than $2m from around 1,000 investors.
In March 2019 Women-only ridesharing startup Shebah passed the $1 million mark in its equity crowdfunding campaign, making it the biggest raise on the Birchal platform ever, and the first successful campaign to have more women investors than men.
A Healthy Start-up Conference Scene
Attending the first StartCon in 2015 (previously known as SydStart) was a defining and proud moment. I recall how amazing it was to have access to the international speakers, industry leaders and knowledge. It felt like Australia’s startup scene had really ‘grown up’. It has now evolved to become Australia’s largest startup and growth conference. Global startup community Startup Grind brought its conference to the Asia Pacific region for the first time, with a two-day conference held in Melbourne in 2018. Also in 2018
Be MPowered Conference and Pitch Comp hosted by Mums & Co, kicked off as a supportive and inclusive event to champion more women leaders in business, close the gap in pitching knowledge as well as reduce the challenges with funding a business.
Startup Community and Culture
We now have a generous thriving scene. Although we still have a way to go.
Collaborations now occur across industries, with public sector and universities working together. A consensus is forming around the importance of tackling the startup pipeline, with an increased focus on diversity. Education systems are adjusting to produce more skilled entrepreneurs. Look at Macquarie Global MBA, UTS Ventures, Sydney School of Entrepreneurship.
Corporate-backing
Australian CVCs include NAB Ventures, Telstra Ventures and Reinventure, IAG Firemark Ventures and EY Foundry.
There is now an opportunity to create an environment where women start and scale businesses at the same rate as men by doing so we could add millions to the Australian economy. Supporting female-led startups offers opportunities to develop the startup ecosystem in Australia and become a global leader for a diverse startup culture. Connecting Australia’s most inspirational, successful female entrepreneurs with aspiring entrepreneurs, champions and advisors through informal and formal networks, events and conferences continues to be vital.
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