Breaking Barriers: Promoting Diversity in Tech and Entrepreneurship

Posted on January 29th, 2024

Diversity is not just a buzzword; it's a driving force behind innovation, creativity, and the growth of industries like technology and entrepreneurship. 

Yet, in these sectors, the path to diversity and inclusion has been anything but smooth. As we delve into the topic of promoting diversity in tech and entrepreneurship, we'll explore the challenges faced by underrepresented individuals and the declining state of support for black entrepreneurs.

Imagine a world where every idea, every perspective, and every voice is heard and valued. That's the world we envision when we talk about diversity in tech and entrepreneurship. 

Diversity isn't just about filling quotas or adhering to societal norms; it's about recognizing the unique strengths and talents that people from different backgrounds bring to the table.

In the tech industry, where innovation is the lifeblood, diversity of thought, experience, and culture is essential. It's what fuels groundbreaking discoveries, disruptive technologies, and solutions to some of the world's most pressing problems. But despite the undeniable benefits of diversity, these sectors have been slow to embrace it fully.

The Declining State of Support for Black Entrepreneurs

To understand the challenges of promoting diversity, let's zoom in on a specific group that has faced significant hurdles: black entrepreneurs. In 2022, black-founded startups in the United States experienced a notable decline in venture capital funding, a stark contrast to the previous year's record-breaking investments.

In 2021, these startups received a remarkable $5.1 billion in venture capital, demonstrating the potential for innovation and success within the black entrepreneurial community. However, fast forward to 2022, and the landscape had dramatically shifted. The total funding for black entrepreneurs plummeted to just 1.1% of the venture capital market, down from 1.5% in the previous year.

This substantial drop in funding for black founders is a concerning trend, especially when viewed alongside the broader decline in overall venture funding in the U.S. The question arises: why are black entrepreneurs facing such challenges in securing the necessary capital to turn their innovative ideas into reality?

Unpacking the Disproportionate Impact

Market downturns are notorious for amplifying biases and preferences among investors. During these times, there's often a subconscious bias that drives investors to gravitate toward what's familiar, known, and comfortable. Unfortunately, this bias frequently excludes minority founders, including black entrepreneurs.

The venture capital ecosystem is a complex one, and the declining state of support for black entrepreneurs cannot be attributed solely to market conditions. The enthusiasm that emerged in 2020 for backing black and minority founders, in the wake of the Black Lives Matter movement, seemed promising. However, as the dust settled, the fervor waned, leaving a gap in the investment landscape for diverse founders.

The venture industry had made commitments to fund minority-founded startups, but it appears that many have not fully delivered on these promises. While some progress has been made in increasing the representation of black entrepreneurs in meetings with venture capitalists, securing funding remains a formidable challenge. In this environment, moments where bias can influence decisions become potential roadblocks on the path to success.

5 Ways To Promote Diversity in Tech and Entrepreneurship

The challenges faced by underrepresented individuals in the tech and entrepreneurship sectors are undeniable, but they are not insurmountable. To foster diversity and inclusion, it's crucial to take proactive steps that empower individuals and create a more equitable environment.

1. Join External Communities

Participating in external communities, networks, and organizations that support diversity in tech and entrepreneurship is a powerful way to drive change from the ground up. 

These communities serve as hubs of support, providing opportunities to connect with like-minded allies, mentors, and potential employers. When you become part of these networks, you not only gain valuable insights and resources but also contribute to a collective effort to break down barriers and promote diversity. These connections can be instrumental in advancing your career and amplifying your impact.

2. Research Potential Employers

Before applying for a job in the tech or entrepreneurship sectors, it's essential to research potential employers thoroughly. Understanding a company's commitment to diversity and inclusion can guide your decision-making process. Start by examining the company's website and mission statements. 

Many forward-thinking organizations proudly publish their values and commitments to fostering diversity. Look for indicators that align with your principles and goals. These may include diversity-focused initiatives, employee resource groups (ERGs), or public statements supporting underrepresented communities. A simple online search can reveal valuable information about a company's track record in promoting diversity. Investigate whether the company has faced any diversity-related controversies or issues in the past. 

Additionally, explore the backgrounds of the company's founders and senior employees. Diversity at the leadership level often reflects a commitment to inclusion throughout the organization. When engaging with potential employers, don't hesitate to ask probing questions about their diversity and inclusion efforts. Inquire about the existence of mentoring programs, ERGs, or other initiatives aimed at fostering a diverse workforce. By seeking transparency on these matters, you demonstrate your commitment to joining an organization that aligns with your values.

3. Join Internal Groups

After accepting a job offer, consider joining or creating employee resource groups (ERGs) within the company. These groups provide support, networking opportunities, and a sense of belonging. 

Making your own group may feel overwhelming as the "new person," but you can start small. Reach out to others in your same situation. Your first few weeks in a role are a great time to invite your new team members to a quick virtual (or in-person) coffee. 

Use these opportunities to learn more about them and their experiences at work. You may discover that others have been thinking about creating a group themselves or find allies and confidants with whom you can share your stories and experiences with down the line.

4. Find a Mentor

Seek out mentors, both internally and externally, to help you navigate corporate culture and offer unbiased advice. Building a strong mentorship relationship can be valuable for personal and professional growth. If you feel like the "only" you on your team and are struggling to find peers who you can relate to, look for a senior colleague who you feel connected with in some way, and reach out to them to initiate a conversation. 

In my experience, this works best if that person isn't your manager, but rather, is a member of another team or works in a different department. 

This distance is valuable because it will allow your mentor to view your situation from an outsider perspective, making it easier for them to offer unbiased advice — which is more difficult for someone in your direct reporting line — and, in turn, build a strong foundation of trust. In your initial message, try to relate to your potential mentor in some way. Maybe you share a hobby, are alumni of the same university, or have similar cultural backgrounds.

5. Be the Driver of Change

Advocate for diversity and inclusion within your organization. Serve as a mentor to others and actively include those who may feel excluded from conversations or opportunities. Inclusion is critical for diversity. When there is inclusion in an organization, then diversity and equity can thrive. As an underrepresented person, remember it is never your job to make this happen — it is the job of the business itself. 

That said, you should never feel powerless. If and when you have the energy, there are steps you can take to help drive the change you want to see. One of the most valuable things you can do is be a mentor. When I started in tech, I thought that I needed to be very experienced to hand out guidance. But I was wrong. 

Much of the practical advice I found most valuable was given to me by people who were just a year my senior and who could relate to me in the moment. Why couldn't I do the same for others? Why can't you? 

Each step forward you take, you learn something. Share that with the person behind you. Just like you need allies and confidants, so do other underrepresented people in your organization. Support them in the same ways you wish to be supported. And if you are at a party, and you see that somebody, but not included in the conversation, approach them. It'll make a huge difference, I promise.

Connect With Maci Peterson Philitas

We believe that fostering diversity in the tech and entrepreneurship sectors is not just an individual endeavor; it's a collective mission. As you embark on your journey to promote diversity and inclusion, we invite you to reach out to us. Share your thoughts, experiences, and ideas for driving positive change in these industries. We value your input and would love to hear from you.

If you have any questions, suggestions, or stories to share, please don't hesitate to connect with us via the contact form on our home page. Your insights and feedback can help us better understand the challenges and opportunities faced by individuals working to break down barriers and promote diversity in tech and entrepreneurship. Together, we can make a more inclusive and equitable future for all.

In Conclusion

As we conclude this journey toward promoting diversity in tech and entrepreneurship, we want to emphasize that change begins with individuals like you. The path to a more inclusive and equitable future relies on the collective efforts of passionate individuals who believe in the power of diversity.

By joining external networks, researching potential employers, participating in internal groups, finding mentors, and advocating for change, you become a driving force in shaping the tech and entrepreneurship landscape. Your unique perspective and experiences are assets that contribute to a richer industry.

We invite you to connect with us and share your insights, experiences, and ideas for fostering diversity in these sectors. Let's work together to bridge gaps, break down barriers, and create a future where everyone has the opportunity to thrive in tech and entrepreneurship.

Contact us to continue the conversation and explore how we can support your journey toward a more inclusive tech and entrepreneurship world.