Fund for Female Founders Closes $21 Million Round
Halogen Ventures, the Los Angeles venture firm focused on increasing the woefully underrepresented number of female founders who lead consumer tech startups, has closed a second $21 million fund.
"With this fund, we will continue to prove out that investing in women and diversity are the best bet for allocation of startup capital and make for more economically efficient, profitable, stronger businesses and better returns," Halogen Ventures Founding Partner Jesse Draper said in a statement.
Female founders received fewer than 10% of venture capital deals in Los Angeles in 2019, according to an analysis by dot.LA using data provided by PitchBook. Only 2% of the $8 billion in venture capital that poured into Los Angeles companies that year went funded female-founded companies.
Despite all the attention paid to diversity in the last year, the problem actually got worse as investors poured money into big, established funds that are overwhelmingly led by white males. Established firms secured nearly 75% of total capital raised in 2020, the highest share since 2012.
Funding of female-founded startups fell 27% last year, according to Crunchbase data, and Los Angeles saw the biggest drop in funding in a decade for female-led startups in 2020.
Halogen was founded by Draper in 2015 and has invested in over 60 female-founded companies, ten of which have exited. Those include Squad App, which was acquired by Twitter and ThisisL, which was bought by P&G.
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Culver City-based Maestro, a platform used by pop star Billie Eilish and other entertainers to stream their performances, has landed $15 million in a Series B round.
It was backed by industry heavyweights from Sony Music Entertainment to Twitch's co-founder Kevin Lin, who are eying digital concerts and live streamed shopping as future revenue hot spots.
SoundCloud is upending how musicians get paid on its platform, and some think it could lead to a new paradigm that provides better streaming deals for most artists.
The German company behind the platform that millions of musicians use to find their audience announced plans Tuesday for a new revenue model it's dubbing "fan-powered royalties."
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There's finally a media company that will make women's sports a top priority.
Olympic medalists Alex Morgan, Chloe Kim, Simone Manuel and Sue Bird are launching TOGETHXR, created specifically for Gen Z and millennial women. The four hope to elevate the stories and voices of women in sports, as well as intersecting areas like activism, culture, wellness and beauty.