Daring Capital, a UK impact investor network, has invested €1.2 million in purpose-driven startups during its first year.
Launched in August 2023 by Jem Stein, the company has prioritised support for female founders, who received 95% of the capital, and 76% to Black and Racially minoritised founders. The investment aims to back overlooked entrepreneurs building businesses that benefit underserved communities in the UK.
Over 300 founders applied for investment, and only 10 were selected, all focusing on addressing social challenges such as youth unemployment, mental health, and racial injustice. These entrepreneurs pitched their ventures to Daring Capital’s network of over 40 investors during business showcases. The selected companies have collectively raised over €1.2 million from the investor network.
Daring Capital has seen early successes, including Sophie O’Brien’s Pollen, a platform that reduces bias in recruitment by focusing on aptitude over CVs, and Ritu Kiran’s Aubilities, a tech platform enhancing support for neurodiverse employees in large companies.
Jem Stein, Daring Capital’s founder, noted: “Coming from a background in the social sector, I know how hard it is to get these types of projects off the ground. As a white male founder who had a private education, I found it hard enough to raise the capital needed to make a positive impact on society! It’s so much harder for female founders, founders of colour, and disabled founders to raise the cash they need to do brilliant work. I made the switch from social entrepreneur to impact investment because there are so many brilliant founders out there who aren’t getting enough investment. With Daring Capital, I want to fill that gap.”
This month, the company secured an €299k to expand its operations. Investors include Phoenix Court Works, home to LocalGlobe, and figures such as Richard Collier-Keywood, former Senior Partner/CEO of PWC, and Nilan Peiris, CPO at Wise. The funding is expected to bolster Daring Capital’s capacity to support a new wave of purpose-led startups.
Richard Collier-Keywood, former Senior Partner/CEO of PWC, comments: “Daring Capital is providing a new approach to social investment. By supporting purpose-led startups, they’re not only enabling some fantastic social entrepreneurs to reach their potential, they’re offering unique opportunities for investors to back purpose-led start-ups. I’m really excited to be working with them.”
Nilan Peiris, CPO at Wise, comments: “In supporting overlooked purpose-led founders, Daring Capital is doing something different. There are huge, untapped opportunities here to generate financial and social returns from purpose-led businesses. I’m very pleased to be able to invest in Jem and the team as they move into this exciting new phase.”
Read the orginal article: https://www.eu-startups.com/2024/11/daring-capital-invests-e1-2-million-in-purpose-led-founders-in-its-first-year-of-operation/
