Here's the stat that should make you angry:
Average AI startup deal for men: £5.3M
Average AI startup deal for women: £800K
That's a 6.6x funding gap. And it's getting worse.
But here's the thing: female founders are actually better at building AI products that work. We just can't get the money to scale them.
Let me show you what's changing and how to use it. →
The Numbers
Only 7% of AI founders are female
Women get 6.6x less funding than men in AI
But female founders outperform in AI implementation and customer-focused solutions
The gap isn't about capability. It's about access.
Why This Is Happening
The Women and Equalities Committee found three problems:
1. Sector bias
Investors dismiss femtech, beauty, wellness, and consumer AI as "not scalable." Meanwhile, these sectors generate billions. Fit Collective just raised €3.4M—the UK's largest ever round by a solo female founder.
2. Question bias
Female founders get asked about childcare during funding rounds. Men get asked about growth strategy.
3. Geographic bias
80% of fund managers are in London. If you're not there, you're invisible.
How Women Are Using AI Differently (And Why It Works)
Forbes 2025 report found:
Female founders use AI for operational efficiency, not just "sexy tech"
38% of female founders launched with £10K or less (AI tools made this possible)
Women build community-driven AI products (higher retention, lower customer acquisition costs)
Real examples:
Unfabled (FemTech AI) raised £1.4M for women's health platform
Art Recognition (AI art authentication) secured $1M
Fit Collective raised €3.4M—record-breaking solo female founder round in the UK
The Reframing You Need
If you're building with AI (even if it's just using ChatGPT for content or automating ops), here's how to talk about it:
Don't say: "We're an AI company"
Say: "We're using AI to solve [specific problem] and it's driving [specific result]"
Lead with the outcome, not the tech. Investors care about revenue, retention, and growth—not whether your stack is impressive.
Your AI Funding Action Plan
1. Apply for Aurora Tech Award if you qualify (deadline Nov 12)
2. Document how you're using AI – Even if it feels small, it counts. Automating customer service? Content generation? Data analysis? Write it down.
3. Join female-focused AI communities – Reply to this email if you want intros.
4. Reframe your pitch – Position AI as "efficiency innovation," not "tech innovation." It works better with most investors.
The Bottom Line
The AI funding gap is real. But so are the solutions.
You don't need to wait for the system to fix itself. Apply for the awards. Join the accelerators. Reframe how you talk about AI. And keep building.
If you're building with AI and struggling to articulate it to investors, reply to this email. I'll help you reframe your pitch.
That's it for this week. The gap is real. But you don't have to accept it.
See you next week,
