It’s no secret that many Black-owned startup companies have difficulty raising funds — and it’s even less of a secret that there’s little, if any, diversity in venture capital funding. Now, Motley Fool Ventures wants to change all of that.
Motley Fool Ventures recently announced via its website that it’s investing $5 million into what it’s calling the Motley Fool Ventures Partner Program. This partner program will take $5 million of their $150 million fund and invest it in more than 13 different minority-owned and led venture capital funds.
The goal, said the company, is to bridge the gap in underrepresentation and lack of diversity in venture capital funding.
“We are doing this now because we believe diversity, inclusion, and equity are not things that just happen but are the result of intentional, constructive actions. If we truly want our portfolio to reflect our best vision of our future, we will have to do more than hope it will happen,” Ollen Douglass, Managing Director, said in a statement provided to AfroTech.
What’s more, the company said in the statement provided to Afrotech, the companies were chosen “based on the GPs’ experiences and investing performance prior to their new fund, their commitment to diversity, the underpinnings of their investment thesis, deal sourcing strategy, geographic focus, and key differentiating factors.”
Currently, the funds have 26 partners. Of those partners, more than half of them are women, and over 70 percent of them are from “ethnically underrepresented populations.”
For a full list of the partners that will be receiving part of the $5 million war chest from Motley Fool Ventures, click here.