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This is partly because they bring fresh thinking to their new home and can apply what was commonplace in their homeland in a new environment. However, Candace Saffery, an American entrepreneur who founded solar energy company Bia Power in Spain, highlights that this is not possible without also connecting to a great extent to the local ecosystem. “Being an entrepreneur in a foreign country requires a deep dependence on your local team and also on your early adopter customers — and I see this as a profound advantage,” she said. Cashing in on diversity and bridging the funding gap Studies have also proved that a diverse founding team has numerous benefits in terms of the ultimate success of a venture. For instance, research from HEC Paris shows that it can be beneficial to a startup in terms of how it functions. The study discovered that an ethnically diverse founding team was generally more successful in terms of amount of capital raised than teams with only white founders.

Certain sectors that were traditionally homogenous, such as advanced manufacturing. And still, as little as under % of VC funding in Europe goes to female-founded or ethnic minority businesses. Some investors are hoping to change that, with Denmark’s female-led Unconventional Ventures setting up a €mn fund Binance App Users Data to support diverse founders identifying as women, people of colour, immigrants, and/or LGBTQ+. Another example is the UK’s No Label Ventures, an early-stage and “very biassed” VC fund which supports startups with at least one founder that has immigrated from outside of Western Europe. Ramzi Rafih, general partner of the fund, was born in Lebanon during a civil war and later arrived in France with his parents.



Themes of resilience and over performance can be seen in immigrants and diverse teams, hence our bias and commitment to these entrepreneurs who may start their journeys underfunded, but frequently go on to win big,” Rafih told Tech.eu last year. Exit music The value of a diverse founding team was also reflected in recent research from the University of Toronto, which shows that immigrant founders are more likely to achieve successful exits, either via an initial public offering (IPO) or via an acquisition. Not only was an exit more likely, however, but there were also differences in how and when founders decided to cash in.
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