Against The Odds: Underrepresented Founders Report Positive Outlook on Business Despite Extra COVID-19 Pressures

All Raise surveyed over 300 early-stage founders about their fundraising plans, overall budgets, and additional caregiving responsibilities

The headlines keep coming.

“The Coronavirus Is A Disaster For Feminism.”

“Coronavirus pandemic creates America’s first female recession amid child care, unemployment woes.”

“Black, Latino People Twice As Likely To Die From Coronavirus.”

“Black-Owned Businesses Hit Especially Hard by Coronavirus Pandemic, Study Finds.”

Study after study has shown that women and people of color are disproportionately affected by COVID-19 across all aspects of life, from health and housing to family and work.

At All Raise, we wanted to investigate how entrepreneurs are navigating the pandemic and identify ways that the tech industry can avoid exacerbating existing inequities (of which we know there are far too many) and continue dismantling those structural obstacles. This is the first in a series of reports we’ll be publishing as the pandemic and associated recession continue to unfold in the months ahead. As COVID-19 creates dramatic shifts in all aspects of our lives, the ways companies are founded and funded are also due for a “new normal.”

We surveyed over 300 early-stage startup founders based in the U.S. between June 16 — July 6, 2020 to understand their experiences during COVID-19 and asked questions about their business operations, financial position, and changing caregiving responsibilities. Their input shed light on plenty of opportunities to address systemic problems and level the playing field for underrepresented founders. As importantly, it showed us that despite the extra burdens underrepresented entrepreneurs are facing in this moment, they have risen to the challenge with trademark entrepreneurial resiliency and their companies are ripe for investment.

As COVID-19 creates dramatic shifts in all aspects of our lives, the ways companies are founded and funded are also due for a “new normal.”

We know that the onus isn’t on founders to change what they’re doing — the industry needs to enable these businesses not only to survive but thrive. There is $4.4 trillion untapped opportunity to invest in women and other underrepresented entrepreneurs. We hope investors seize this chance to make the hires and send the wires.

Check out our infographic below to learn more: