How Women Invest
How Women Invest is a venture capital firm founded in 2020, based in San Francisco, CA, that focuses on investing in female-led and female-majority owned companies. The firm aims to disrupt the unequal investment landscape for women entrepreneurs by providing strategic support and access to a vast network of professionals.
Company Overview
How Women Invest is a venture capital and private equity firm founded in 2020, headquartered in San Francisco, California. The company operates with a medium-sized team of 170 professionals. It aims to disrupt the unequal investment landscape for women-owned ventures, focusing on propelling women-led businesses forward. The firm prioritizes investments in sectors such as planet/climate, health, and the future of work, targeting U.S.-based, female-led, and female-majority owned companies across various industries.
Investment Strategy
How Women Invest employs a disciplined investment model that emphasizes measured growth and creative structuring for significant returns. The firm has made 18 investments, achieving 2 exits to date. It focuses on companies that are 100% female-founded, with a preference for women of color. The firm targets an untapped venture capital landscape, where female founders generate 26% greater returns but receive only 2% of venture backing. The investment strategy includes a clear exit plan within 5-7 years for portfolio companies.
Funds and Financials
The company operates three funds: Fund I with $10 million for late seed to Series B investments, Fund II with $10 million for seed stage investments, and Fund III, launching in 2024, with $100 million for Series A and B investments. The firm has a network of over 20,000 women professionals to source deals and has 140+ Limited Partners. It aims to invest in companies with a target market exceeding $500 million, with a preference for B2B commercialization.
Portfolio Performance
How Women Invest has a notable portfolio performance, with 80% of its portfolio companies successfully raising capital post-initial investment. The firm invests significantly in serial entrepreneurs, with 30% of Fund I/II and 60% of Fund III investments directed towards them. The company provides strategic support and advisors from a robust network to help portfolio companies scale and succeed in their respective markets.
Professional Network
How Women Invest is part of a larger professional network known as How Women Lead, which includes over 14,000 women. The firm engages in partnerships with more than 85 VC firms, providing market access, business development support, and fostering collaborations to enhance diversity in the investment landscape. This network aims to create pathways for new women investors, contributing to a more equitable investment environment.