Recent data from Crunchbase reveals that there has been a disproportionate decline in venture funding for Black-founded startups in the United States. A Fall Below The $1B Threshold Last year, these startups secured only $705 million in funding, marking the first time since 2016 that the figure fell below the $1 billion threshold. This sharp decline of 71% in funding to Black-founded companies starkly contrasts with the 37% decrease in overall U.S. startup funding, highlighting a widening gap in investment allocation. This drop signifies a declining share of Black-founded startups
Black founders raised only 0.13% of all capital allocated to US startups in Q3 of this year, Crunchbase has reported. A decline in funding Only 0.13% of venture dollars allocated between July and September went to Black founders. This equates to about $39.7 million of the total $29.9 billion allocated, a massive year-over-year drop for Black founders. In Q3 2022, Black founders raised $1 billion out of around $81.7 billion in venture dollars, approximately 1.2%. TechCrunch also reported a massive quarter-over-quarter drop as in Q2 of 2023, Black founders raised
