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A lower fail rate and a fountain of catchy business ideals are helping Black women start-ups gain funding.

A growing number of firms have opened their treasure chests to Black woman entrepreneurs. They, in turn, are often using the financing to help other Black women start or expand a business.

Companies started by Black or Latina women in 2018 had a fail rate of 27% versus the national 40% average, according to the 2018 ProjectDiane report, authored by digitalundivided. Simultaneously, the median seed funding raised by a Black woman founder is $125,000, nowhere near the national median of $2.5 million in 2020, according to ProjectDiane. In the first half of 2021, Crunchbase data revealed that only 0.34% of capital went to businesses run by Black women.

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