Gender Gaps in Equity Crowdfunding: Evidence from a Randomized Field Experiment
39 Pages Posted: 1 Nov 2018
Date Written: October 9, 2018
Previous research shows that traditional equity investors are mostly male, and that they prefer male founders. We seek to understand whether such founder gender preferences extend to the equity crowdfunding context, and if they do, whether they vary by investor gender. Through a randomized field experiment, we find that female investors are significantly less interested, as compared to male investors, in ventures with male founders (-46%), and that female investors are more interested in ventures founded by females. Among male investors, we find no significant founder gender preferences. The study suggests that equity crowdfunding may be a promising venue for female entrepreneurs.
Keywords: new ventures; gender gaps; entrepreneurial finance; crowdfunding; randomized field experiment
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