Female Funding is Getting #$%@ed
Activist rich white guys are coming for our <3% (+trending in midlife, food & more)
You may have missed this headline last week:
A man named Edward Blum created a number of “organizations” to take down any race-based affirmative action. With the precedents he’s setting, we can assume gender-based is close behind.
His American Alliance for Equal Rights has prevented the black women-owned Fearless Fund from making their Striver’s Grants specifically to Black female founders while they battle further in court. The fund awarded up to $20K in grants and services.
According to the Fearless Fund, black women business owners received less than 1% of venture capital in 2022.
Repeat: Less than 1% of capital.
Female-only founding teams got 2% overall last year.
(FWIW: in Europe it’s 1.8%)
"These judges bought what a small group of white men were selling." said Arian Simone, Fearless Fund Founder.
This decision was led by two Trump appointees in a three-judge panel in Florida. The third, Robin Rosenbaum, likened the plantiff’s case to "flopping on the field, faking an injury" with claims that were "threadbare and devoid of substance."
But they won anyway.
In March, Blum also sued the Smithsonian’s National Museum of the American Latino to take down their Latino-focused internship program. He’s been filing anti-affirmative action cases since 2012, all race-based.
He’s not alone.
In mid-May, Ohio Judge Patricia Gaughan dismissed a similar case as a “grievance.” It was filed by America First Legal, an anti-DEI group founded by Trump White House senior adviser/evil clown Stephen Miller. That lawsuit target a Black truck driver program by Progressive Insurance and small business fintech company Hello Alice.
Meanwhile in Texas, an anti-DEI law went into effect January 1. It hit gender efforts immediately.
While the media focus has been on transgender orgs on TX college campuses, it also put a halt to women-focused business and female-founder events in Texas.
Thirty states now have anti-DEI legislation in place.
Watch as these suits continue to pop up. It’s starting with black women and businesses but it won’t end there.
These decisions could also hit philanthropic and charitable giving.
"If legal decisions curtail people's ability to give in ways that align with their values or their experience, it's going to hurt not only philanthropy and nonprofits, but our own country as a whole," said Kathleen Enright, president and CEO of the Council on Foundations.
💰 Looking for some funding? Check out CHERUB an angel investing “speed dating” style model. It’s also female founded, and Zoe Levin, Bim Bam Boo founder, just turned me on to it.
Meet Me In the Middle
Per my JLo piece and the brand I founded, midlife is HOT.
Just today:
Well, maybe not that hot:
Ever read these pieces about white-hot groupchats and feel left out?
📚 📞 I’ll host a chat Thursday on Miranda July’s book All Fours which I was not planning on reading but will buy and read this week.
PS - I was writing about the female midlife crisis for Wile two years ago. Reposted for your convenience.
Designer Elisabetta Franchi was fined 5000€ for gender discrimination, after she stated she’d only hire female leaders over 40 because they’ve already married, divorced and had children. But all men are ok, apparently.
Trending: Engineered Chocolate Because Climate
First milk, then meat. Now female co-founded and led Kokomodo is engineering chocolate in a way that means we may still have chocolate in a few years.
Prediction: We’ll soon see non-coffee coffee and banana replacements, as these are some of the most climate-threatened foods.
Related:
Brands that were about to launch in Foxtrot before its sudden closure were “saved” By Misfits and launched in the last couple of weeks. This was achieved via Pod Foods, a distributor shaking up the lockhold UNFI and KeHE have on the biz. See also: Faire’s online platform.
Since many women found CPG businesses, this matters!
Aesthetic Update: Zennial Williams Sonoma
Can’t remember where I saw that phrase 👆, but a more traditional yet decorated aesthetic is making headway. Probably due to (1) boredom (2) chaos, which drives people to the comfort of traditionalism.
One of the hotter hotels in NYC right now is the nearly century-old Carlyle. It got a revamp that’s neither gonzo steampunk nor minimalist nor WeWorkian. I’d say it’s more Nancy Meyers meets Nora Ephron:
Nicotine Glow-Update
If you caught my Nicotine’s Glow Up post, here’s the newest entrant: Jones is a “cheeky cig” and rather tricky Zyn competitor. Another Brooklynish line getting people hooked on their product under a Quit Vaping umbrella.
And while Memorial Weekend had folks declaring “Merch is Dead”:
Merch count: 12
Actual nicotine products: 2
The Jones printed Nalgene is already sold out.
I’m guessing the Miranda July book is a quick read so listen on audible, buy from your local independent bookstore, or just read about it and join our chat on Thursday night. I may be talking to myself.
Thanks to all of you who texted me or grabbed me at an event last week to praise the newsletter! Even better, hit LIKE below or leave a comment! The algorithm is ever-watching 🙏
Fully hate this anti-DEI thing. Come on people. Share.
Holy hell, the part where they're coming after the <3% is scary. As a European female femtech founder this is almost prophetic to see, as we've already noticed a decline in the share of VC money that's going to all-female and mixed founding teams in 2023. 2024 does not look great... Thanks for shedding a light on this!!!