Why Female Founders Need More Mentors

A few facts.

• 48% of female founders cite a lack of available mentors and advisors as holding them back according to an article by Inc.

• A Senate Small Business Report entitled “Tackling the Gender Gap: What Women Entrepreneurs Need to Thrive” cites a lack of mentors and advisors as one of the three biggest challenges female entrepreneurs face.

• Most recently, a 2019 global study by BCG reported that a lack of a support network is one of the top reasons female founders’ businesses aren’t scaling. (This same report found that if females participated equally as entrepreneurs global GDP would rise 3-6% which translates into $2.5 - $5 trillion – that is a whole other post or 20! Stay tuned.)

From turning an idea into action, to building a business, to scaling that business successfully, female founders need mentors, advisors, and advocates – a network. 

What Gives?

There are just too few females in the startup ecosystem. Particularly, as you scale. Too few female founders (only 18% of startups have at least one female founder). Too few female investment partners at VCs (less than 10%). Too few female founders making over $100k in revenues (12% to be exact). In certain sectors your peer network is even more limited, for example, in technology. 

Even when you can find women allies, research has shown women tend to put less focus on the importance of networks. Maybe because many feel they have to do it all. Maybe because they are not great at asking for what they need or view it as impolite (ladies Gives&Asks work), maybe they are just too damn busy balancing work and family. 

This is not to say men can’t be amazing mentors, advisors and advocates. They can and are. But we know that people respond positively and gravitate towards those that look like them or share a similar background. Therefore, many women find themselves on the outside of established networks which results in them not getting the same knowledge, opportunities, connections, and funding.

Missing Out!

 From the very start! An entrepreneur with a mentor or advisor is more likely to start a business. Often women let limiting beliefs and a fear of failure hold them back from taking the leap. Mentors and advisors provide that needed confidence boost, encouragement, and guidance. 

As women build their business they find themselves without the necessary resources to scale. The answer is having a broad business network that you can call on. Mentors and advisors will help you build out your business network by making introductions – maybe for fundraising, maybe for industry knowledge, maybe to solve a problem, or answer ‘how do I ….’, maybe to find a strategic partner. Often if they don’t know someone directly, they know someone who knows someone. 

Mentors and advisors can fill in skills gaps – you can’t be good at everything. They can be a sounding board and provide advice in the face of big decisions. For example, risk -taking, financial, strategic. 

Mentors and advisors are critical to bridging those gaps in knowledge, opportunity, connections, and funding. 

Building Your Tribe

Yes, you may have to look hard but there is reason to be hopeful.

The number of successful female-founded or female-led companies is growing which, in turn, grows the pool of female mentors, advisors, role models, talent and investors. The ecosystem around female founders continues to develop and there are more experienced mentors, a pool of talent and money to give back. For example, Alli Webb, who killed it with Drybar, or Whitney Wolfe Herd of Bumble, they now mentor female founders and invest in their businesses. 

Look outside the box. For example, women in the corporate world, successful leaders and managers, can provide new perspectives. I come from the corporate world, actually I worked with hedge funds so I have an understanding of a male-dominated work culture, and now I use my experience to help female founders grow their business.

Don’t have any right now. Listen to podcasts there are many that focus on female founder stories. Read publications that tell the stories of being a female entrepreneur. Seek out online communities. Go to meetups. Join organizations or find non-profits whose mission is to support female business owners. 

And, don’t forget all the same holds true for gender neutral opportunities for mentorship and advice. The startup world and venture capital are still very much male-dominated communities and you want to put yourself in the best position to have equal access.