In the United States, there are almost 13 million businesses that are owned by women, accounting for 42% of all companies in the country‍

— Gitnux 2023

According to the study, what this means is that four out of ten businesses are owned by women, generating around $1.8 trillion annually.

The same study revealed that in 2021, 14% of 595 unicorn startups had female founders or co-founders. And similarly, out of 124 total unicorn startups that went public in 2021, 19 had at least one woman co-founder. Here's what we can commonly make out of this statistic: conquering the entrepreneurial realm, the stories of trailblazing women are painting the business landscape with bold strokes of inspiration and resilience. 

Furthermore, we can say that the business ecosystem, which was once dominated by male founders, is witnessing a seismic shift as visionary women carve their paths to success. Of course, this rise in female entrepreneurship means a positive shift toward greater gender diversity in the startup space. What's even more exciting is the success rate of these female-led startups which is one of the core aims of this piece. 

Are female founders more successful than male founders?

As CAPHIQ rightly said:

Businesses hold no prejudices when it comes to creativity and new innovations

Before answering this question, let's look at what statistics say about the success of female founders and their male counterparts.

Firstly, according to HRWorld, the next wave of unicorn startups is here, and a growing proportion of them are being led or co-led by women. This is to say that women are not only successful in the startup world but, also, carving a niche for themselves in being part of the founders of the highly valuable $1Billion and more worth of a privately held company known as a unicorn company. 

Secondly, a study conducted by the Boston Consulting Group (BCG) and MassChallenge, a global network of startup accelerators, startups founded or co-founded by women tends to generate more revenue per dollar invested. The study found that for every dollar of funding, startups founded by women generated 78 cents in revenue. While male-founded startups generated only 31 cents. This indicates that female-founded startups may have a higher return on investment.

Thirdly, a report by PitchBook, a financial data and software company, revealed that venture-backed startups with at least one female founder are more likely to achieve successful exits. The report stated that in 2020, companies with female founders accounted for 13% of all venture exits, up from 9% in 2019. This indicates an increasing trend of successful outcomes for female-founded startups.

Furthermore, in an attempt to analyze the performance of female founders and their relationship with customers as opposed to their male counterparts, FasterCapital, an online incubator and accelerator that operates on a global level has the following to say:

1. Founders who are women frequently have a better understanding of their customers than founders who are men. As a result, they can create goods and services that more effectively suit the needs of their target market.

2. Additionally, compared to their male counterparts, female entrepreneurs are frequently more collaborative. This implies that they are more likely to develop capable teams that can support their business expansion.

3. Finally, compared to their male counterparts, female founders frequently take fewer risks. This indicates that they are more likely to invest the time necessary to thoroughly investigate their options and ensure that they are selecting the best course of action for their companies.

Another publication by Business Insider revealed that in a survey released by First Round Capital, a venture capital company that offers seed funding to entrepreneurs, female founders are outpacing their male counterparts in the startup world. 

First Round Capital discovered that startup teams with at least one female founder performed 63 percent better than all-male teams after analyzing a decade's worth of data from 300 portfolio businesses. The statistics also revealed that women are represented in the top 10 most valuable corporations' executive positions.

Josh Kopelman, partner at First Round Capital told Forbes:

We're thrilled to see [the data], it could be that women are a net positive on a founding team from a diversity of thought and experience perspective — and the market doesn't recognize that yet.

These statistics go a long way to show that female founders are on the verge of overtaking their male counterparts if they've not already despite having to battle unique challenges like work-life balance and gender bias.

10 female startup founders and their stories

In this section, I'll be analyzing 10 female startup founders across the world. This analysis centers on their startup journey and their startup valuation.

Lina Chan– founder of Parla

Lina Chan, the brilliant mind behind Parla, is a trailblazing entrepreneur with a personal mission to make a positive impact. Inspired by her fertility struggles and pregnancy loss, Lina embarked on a journey to create a business that addresses the unique needs of women. Parla, founded in 2019, connects women with experts in nutrition, fertility, and mental health, providing them with holistic support in an empathetic and empowering way. Lina's personal experience gives her a deep understanding of the challenges women face in their health journeys. She firmly believes in building something you are passionate about, especially as a female entrepreneur navigating the rollercoaster ride of starting a business. 

What drives her forward is the magnitude of the challenge in women's health. In an interview with Bluesky Thinking, Lina points out that many women's health services are reactive rather than proactive, leaving women struggling for years before receiving the necessary diagnosis and help.  This is what spurs her vision which is to "mainstream" women's health, breaking down the barriers of taboo and providing women with the knowledge and support they need to take proactive steps toward their health and well-being. Lina's goal is to empower women, helping them lead happier and healthier lives.

The story of Parla demonstrates not only the value of a Wharton education but also the resourcefulness and creativity of today's entrepreneurs. Lina's unwavering determination and dedication to addressing the pressing challenges facing women in 2023 are commendable. Parla raised funds in two waves. On September 27, 2018, they received their most recent funding from a Seed round. The company is funded by three investors. The most recent investors are Seedcamp and London Co-Investment Fund.

Kolawole – founder of PaceUp Invest

In the world of entrepreneurship, Rukayyat Kolawole stands tall as the CEO and founder of PaceUP Invest. Completing the ESSEC & Mannheim Executive MBA, she urges others to embrace their ambitions and fearlessly pursue their dreams. PaceUP Invest is a B2B and B2C  fintech platform that empowers women and underrepresented communities to take control of their finances. It's not just about creating solutions for existing problems, but specifically addressing the needs of women. But why is it important to support female entrepreneurs? Kolawole reminds us that female entrepreneurs often invest in sustainable causes, contributing to the betterment of society as a whole. It's not just about fairness; it's about creating a positive impact that extends beyond individual success.

In her words:

I am Nigerian by birth with a lineage of strong entrepreneurial women who controlled and invested their money. My passion and reason for going into investment banking were a result of learning how my grandmother empowered women in her community. She was a gold trader who traveled to Ghana to buy gold and sold it in Nigeria. She taught me the basics of empowering women via money to build wealth in addition to the power of communities

So similar to Chan's story, Kolawole drew her inspiration from her personal experience. In a world where financial literacy and independence are crucial, Rukayyat Kolawole stands as a beacon of empowerment. Her dedication to helping women and underrepresented communities achieve financial well-being showcases the transformative power of entrepreneurship.

Demi Knight Clark – founder of ‘She Built This City’ and ‘Spark Building Group’

Imagine being inspired by the remarkable stories of women who stepped up during World War II, like Demi Knight Clark's grandmother, who was one of the courageous Rosies. Growing up in a household that believed in gender equality, Demi experienced a shock when she encountered gender disparities in the construction industry. Why would someone who witnessed the strength and capabilities of women in her own family want to address the underrepresentation of women in the trades, building, and contracting industries? Demi's motivation comes from a deep desire to honor the legacy of those who paved the way for women to excel in traditionally male-dominated roles.

Determined to make a difference, Demi founded two unique ventures: She Built This City in 2019 and Spark Building Group in 2022. Both startups are dedicated to increasing female representation in the contracting industry, an area where women are often marginalized. But what drives Demi to take on such a monumental task? Her experience and the knowledge that, without collective action, it would take centuries to achieve gender parity in construction. Inspired by her time at The Yale School of Management, Demi believes in the power of open and meaningful conversations to challenge norms and create safe spaces for marginalized communities.

Business school taught her to expand her horizons, step out of her comfort zone, and understand the perspectives of others. This newfound understanding fuels her storytelling abilities, enabling her to connect with companies and influencers on a deeper level. Demi believes that by sharing impactful stories, she can bring about positive change in larger company venues.

Aagya Mathur – founder of Aaavia

Aagya Mathur, a remarkable MBA graduate from MIT Sloan, recognized a remarkable need for better health information for women. This realization led her to create Aavia, a daily ovarian hormone health guide that empowers women to understand the impact of their hormones on various aspects of their lives. Aavia provides valuable insights to its members, helping them comprehend how ovarian hormones influence their sleep quality, energy levels, mental health, mood, sex drive, skin, and more. According to Mathur, the app has proven to be incredibly effective in enhancing women's well-being. Within just three weeks of using Aavia, members experience a remarkable 52% decrease in stress and a significant 115% increase in confidence regarding their health.

While acknowledging the value of the wider institution's support, Mathur commends the exceptional resources she had access to as an MBA candidate at MIT Sloan. Grateful for the assistance she received during Aavia's launch, Mathur expresses her desire to pay it forward and encourages aspiring female founders with inspirational words. Mathur firmly believes that the potential of both oneself and one's business is limitless. She encourages female entrepreneurs not to underestimate themselves and their ventures, and to have the resilience to overcome any negative opinions. Mathur highlights the power of storytelling in engaging others on the entrepreneurial journey and rallying them around one's vision and aspirations.

In total, Aavia has raised $6.9M in investment over 5 rounds. On May 25, 2022, they received their most recent funding from a Seed round. Five investors are helping to fund Aavia. The most recent investors are Seven Seven Six and Unshackled Ventures.

Dinah Bennett – founder of International Consultants for Entrepreneurship and Enterprise

Her research brought her to a sobering realization: female entrepreneurship was being stifled not because of women's limitations, but due to the lack of supportive policies and structures. In 2007, Bennett took matters into her own hands and launched her UK-based consultancy. The goal? To provide global insights into enterprise and entrepreneurship, enabling financial, commercial, and government institutions to better connect with the small business community.

Bennett understands that the challenges faced by women are not always intentional. However, she believes these challenges can be just as daunting. From language and imagery to practical life experiences and inaccessible support systems, countless barriers hinder women's success. Drawing inspiration from her grassroots work with women, Bennett strives to bring real-life insights to policymakers, urging them to make deliberate changes and ensure that women are proactively encouraged and supported in ways that suit their unique circumstances.

Deirdre Mc Gettrick – founder of ufurnish.com

Deirdre Mc Gettrick, the founder of ufurnish.com, is making waves in the tech industry because she created a platform that revolutionizes how we search for and discover home furniture and furnishings. What inspired her to take on this challenge? During her studies at Trinity Business School in Dublin, Deirdre realized the need for better representation of female founders and investors in the tech industry. She saw an opportunity to make a difference and set out to create ufurnish.com, a platform that empowers people to find the perfect furniture for their homes.

With the industry predominantly male-dominated, Deirdre made it a priority to attract female investors to support her venture. She sought out experienced businesswomen who could provide valuable advice and guidance. Their support not only helped her secure the necessary funds but also created a network of connections that opened doors to new opportunities.

As a way of advising and encouraging aspiring founders? She stresses the power of networking and reaching out to former colleagues who can vouch for your abilities. These connections, even if they don't provide direct funding, may have valuable contacts in their network who can support your journey. A warm introduction can be the key to unlocking opportunities and success according to Deirdre.

The company raised £3.4M in seed funding.The round's investors, who have contributed more than £5.2 million overall since the company was founded are Pat McCann, Michele Connolly, Darren Ryemill, Camelia Robu, Caroline Worboys, Ciara McElligott, Jenn Engelhardt, Rosaleen Blair, Amanda Burton.

Anna Comas, CEO and Co-Founder at Min Organics

Anna Comas, the CEO, and Co-Founder of Min Organics, is on a mission to revolutionize the intimate hygiene industry and promote sustainable menstrual products. Anna noticed the shortcomings of the current intimate hygiene products available in the market and realized that they were not meeting the challenges we face as a society. This awareness led her to launch Min Organics, an online retailer that offers organic menstrual products in bulk.

However, Anna's vision goes beyond just catering to women. Min Organics aims to provide menstruating individuals with products that are environmentally friendly, biodegradable, and compostable. Unlike traditional tampons and pads made from plastic and synthetic materials, Min Organics' products are made from 100% organic cotton, ensuring they are hypoallergenic and respectful of vaginal pH. Care for both bodies and the environment is at the core of Min Organics' mission.

As the CEO of Min Organics and a graduate of GBSB Global Business School, Anna, now is a great time for women to pursue entrepreneurial opportunities. In her words "Society is becoming increasingly supportive of women in their professional careers, with financing options and women-centric incubators available. It takes courage to embark on such ventures, but society is ready to provide the necessary support".

Whitney Herds – founder of Bumble

If you're into technology or have tried online dating, you've probably heard of Whitney Wolfe Herd, the founder of Bumble. When Bumble launched in 2014, it made a big splash in the online dating world. What sets Bumble apart is its unique approach: only women can initiate conversations with heterosexual matches. Whitney describes Bumble as a feminist dating app, that empowers women to make the first move and take control. By giving women the power to initiate conversations, Bumble boosts their confidence and puts them in the driver's seat.

The concept was a hit, and Bumble continues to thrive today. In January of last year, when Whitney took the company public, she became the youngest woman to do so in the United States. The success of Bumble skyrocketed, and the company is now valued at a staggering $13 billion on the stock market. This achievement also made Whitney Wolfe Herd the world's first self-made woman billionaire—a remarkable feat.

Whitney's success with Bumble doesn't mean she's oblivious to the challenges and risks of digital dating. A Bumble study in 2018 revealed that one in three women received unsolicited explicit photos from strangers online, causing discomfort for 96% of them. In response, Bumble introduced the Private Detector feature, which uses artificial intelligence (AI) to identify and blur explicit images sent through the app. The recipient then has the choice to view or block the image. Additionally, Whitney and the Bumble leadership team actively campaigned for a law in Texas that made the unsolicited sending of lewd images illegal—a law that was successfully passed in September 2019. As of 2021, Bumble was valued at $13B because investors found the dating app captivating.

Angelica Ross – founder ed TransTech Social Enterprises

You might have seen Angelica Ross on your TV screen in shows like Pose and American Horror Story, but today we're shining a spotlight on her entrepreneurial journey and activism in the tech industry. Despite her acting talents, Angelica is also a self-taught coder and a theater graduate from Florida Atlantic University. In 2014, she founded TransTech Social Enterprises—a unique community that empowers LGBTQ individuals and allies by providing them with practical skills and support to succeed in the tech industry.

Angelica's personal journey inspired the creation of TransTech Social. She initially learned to code through online video tutorials and later expanded her skills to include design work. Fun fact: she even designed backstage flyers for renowned artists like Ludacris and Cedric the Entertainer. Today, the TransTech community thrives, offering its members access to training, workshops, professional equipment, office space, mentorship, and job opportunities. These invaluable resources help individuals build a career in the tech field.

In 2017, Angelica took her dedication a step further by launching the annual TransTech Summit. This online event brings together experts in various fields, allowing attendees to learn about specific career tracks, technology, design, and general career development. The summit also covers essential topics like human rights, racial equality, and social justice. The best part? It's completely free for anyone to join! In her own words: "I discovered my path to independence through technology, and now I want to offer the same global lifeline to transgender people all over the world."

Sarah Hawley – founder of Growmotely

In the ever-evolving world of remote work, Sarah Hawley stands out as a visionary. While many of us adjusted to remote work in 2020, Sarah was already leading the way as the CEO of Grow My Team, a groundbreaking recruiting company focused on finding the best remote talent from around the world. But Sarah didn't stop there. She had an even bigger idea in mind—introducing Growmotely.

In August 2020, Sarah launched Growmotely, the world's first all-in-one platform designed to source, grow, and manage remote teams on a global scale. This is a truly exciting venture, considering how much the workplace has transformed in recent years. What makes Sarah so remarkable, apart from the fact that she has founded an impressive eight companies since 2009? It's her unwavering commitment to making a positive impact. Diversity and equality lie at the core of Sarah's work. She believes in conducting business that benefits both people and the planet. 

Furthermore, Sarah is driven by a desire to provide opportunities and empower others. She overcame significant challenges in her own life, coming from a broken home, barely graduating high school, and facing rejection from university and college programs due to poor grades. However, Sarah didn't let that stop her. Along her journey to success, she founded the League of Extraordinary Women—a community dedicated to connecting and inspiring women through meet-ups, events, and conferences.

For 4 rounds, Growmotely secured funding of $1.3M. On January 15, 2022, they received their most recent funding from a Seed round. The company has a valuation cap of $20,000,000.

Summing it up

The stories of these ten remarkable female startup founders have demonstrated the power of passion, perseverance, and innovation. From tackling food waste and promoting sustainable menstruation to empowering marginalized communities and revolutionizing online dating, these women have left an indelible mark on their respective industries.

Their journeys remind us that success knows no boundaries and that anyone, regardless of their background or circumstances, can create meaningful change. These founders have defied expectations, shattered glass ceilings, and paved the way for a more inclusive and equitable future.

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