HSBC has launched a Female Entrepreneur Fund which will provide $1bn in lending to female-owned business over the next 12 months.
HBSC research has shown that female entrepreneurs receive 5% less funding that male entrepreneurs globally.
The bank cited some of the biggest barriers to accessing capital. Among them was an access to networks such as peers and mentors, a lack of role models, bias of investment panels, and a lack of investment knowledge.
HSBC said it want to help female entrepreneurs overcome these barriers, by not only providing capital, but also building partnerships.
For example, some key benefits of the fund are an access to HSBC’s global experts and practical guidance from established female business owners.
There has been a growing awareness of the gender discrepancies in the venture capital world, and as such there is a growing appetite to invest in female-founded companies.
A study by Findexable found that only 1.5% of over 1,00 FinTech companies are founded solely by women, and those companies receive just 1% of total venture funding. In Europe, a mere 2% of companies were reported to have been founded solely by women.
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