Why Investors Should Be Backing Women-Led Businesses in Kenya
If you have been following Kenya’s startup scene, you have likely noticed the remarkable strides women-led businesses are making. From innovative tech solutions to social enterprises driving change in underserved communities, women entrepreneurs are proving their value. Yet, they receive less than 3% of venture capital funding in Africa. The African Development Bank (AfDB) estimates that the financing gap for women entrepreneurs on the continent stands at $42 billion. So, what is holding investors back? The issue runs deeper than just lack of capital. Structural and systemic barriers continue to limit access to funding and resources for women entrepreneurs. Homophily bias in venture capital circles: Investors often fund individuals who mirror their own backgrounds, experiences, or networks. Since the majority of venture capitalists are male, this bias leads to an…
