Entry hurdles for women exist in fields that are traditionally thought of as being dominated by men.
“In industries where men predominate, male-led businesses raise, on average, ten times as much money as female-led businesses,” said Dr Somdutta Singh, Founder & CEO, Assiduus Global Inc., a Bengaluru-based e-commerce accelerator.
“Women are still seen as ‘different’ and historically, they have not been welcomed into the ‘club’ where these vital connections between entrepreneurs, investors, and mentors are made and fostered. When gender information is broken down along racial and socioeconomic lines, a deeper issue is revealed,” said Singh in an interview for DealStreetAsia’s upcoming report on female founders in India and Southeast Asia.
According to Singh, although some of the largest and most profitable businesses in the world are being led and run by women, entrepreneurship remains largely male-dominated.
“Historically, women have not been welcomed into the ‘club’ where vital connections between entrepreneurs, investors, and mentors are made and fostered.”
“Male business owners are questioned about their goals, successes, aspirations, and ambitions, while female business owners are questioned about their safety, responsibility, security, and vigilance, which puts them on the defensive,” Singh said.
Assiduus Global raised $15 million in a funding round led by Pulsar Capital with participation from 9Unicorn, Venture Catalyst, StrongHer VC, Carlos Cashman (founder of Thrasio), Rajan Navani (JetLine Group of Companies) and others in October last year.
Edited Excerpts:
What led you to become an entrepreneur? How would you describe your entrepreneurship journey?
I am born to well-to-do doctor parents from Kolkata, but all of my father’s friends were marketing executives and businessmen. When my parents took me to Calcutta Club and his friends spoke about their work, I could understand the freedom, agility, the work-life balance their jobs offered while my parents would work for 36-48 hours at a time.
I was expected to follow in my doctor parents’ footsteps when it came to choosing a career path, but I chose otherwise. At a very early age, I decided that this was not the life and future I would want for myself. I wanted freedom of choice, I wanted to travel the world and have a better work-life balance. I thus became a first-generation entrepreneur in my family.
“I realised that cross-border was a huge challenge that brands and business owners had to overcome and selling online was an uphill task.”
In college, I did tonnes of odd jobs to earn some extra money and try to be as independent as I could and not rely on my parents for cash. I sold chocolates, I helped make and distribute marketing flyers, and I learned sewing. Once I completed my education in India, I went to the US for higher studies and the exposure there enabled me to translate my interests and expertise into my first venture, an ad-tech firm.
It was in 2018 when in the US, I was scaling several D2C private label brands that I had created to sell on digital-first platforms like Amazon. These brands helped me understand the key challenges of growing a brand beyond a certain geography.
I realised that cross-border was a huge challenge that brands and business owners needed to overcome and selling online was an uphill task. These multiple facets led me to establish Assiduus Global.
What are some of the biggest challenges you’ve faced as a female founder?
This one is more of an enabler than a challenge and it goes for all women-led organisations. Although some of the largest and most profitable businesses in the world are being led and run by women, entrepreneurship still remains largely male-dominated, at least that is what it is seen as. Women entrepreneurship is an untamed bastion, and investors need to look at women in the same light as men. Entrepreneurship is not about gender equality and leadership skills alone. It’s about the passion and the attitude with which a person pursues their dreams.
“Women entrepreneurship is an untamed bastion, and investors need to look at women in the same light as men.”
My family has been very supportive in everything I have witnessed, the highs, the lows, the success, and the failures. They have given me confidence and encouraged me to not be afraid of speaking up and be part of important conversations no matter where I have been. It’s time to raise your hand and speak up. Take calculated risks. You may not always hit the bullseye; job opportunities or promotions may not work out, but your voice can fuel others, and motivate them to work harder to achieve goals.
I don’t see how being a woman is a barrier. I rather take it as a compliment. Usually, when we talk about success in terms of how it’s defined and experienced by men versus how it is by women, we call out the differences, which tend to fall along stereotypical gender lines. I think the best way to taste success is to surround yourself with them, people who are amazing at life and who will encourage you to be amazing at it, too! I have had such people around me all my life.
Did you face any implicit or explicit gender bias while raising capital?
The challenges I faced as a young entrepreneur in a male-dominated and patriarchal industry were further heightened by the fact that I was wearing several hats with my multiple businesses and each pole was apart from the other. My mantra is: team building and tapping resources are definitive keys to running successful businesses rather than being a one-woman show.
“I have asked male investors how many women-run startups they’ve invested in and the answer is most often negligible.”
Also, the truth remains that it is the hardest for women founders to raise money. You are constantly looked at from a different perspective than men. I have encountered several instances where I have asked male investors how many women-run startups they’ve invested in and the answer is most often negligible. This goes to show that entrepreneurship by women is an untamed bastion and investors need to look at women in the same light as men. They need to look at women as gender agnostic and based on their skills and capabilities.
Do you think that investors tend to have different expectations or standards for female founders versus male founders? What are some of the reasons for the gender gap in venture funding?
Yes, they do. Men business owners are questioned about their goals, successes, aspirations, and ambitions, while female business owners were questioned about their safety, responsibility, security, and vigilance, which puts them on the defensive.
Entry hurdles for women exist in fields that are traditionally thought of as being dominated by men. In industries where men predominate, male-led businesses raise, on average, ten times as much money as female-led businesses. Women are still seen as “different” and historically, they have not been welcomed into the “club” where these vital connections between entrepreneurs, investors, and mentors are made and fostered. When gender information is broken down along racial and socioeconomic lines, a deeper issue is shown.
“In industries where men predominate, male-led businesses raise ten times as much as female-led businesses.”
What advice would you give other female entrepreneurs?
A large majority will agree that the first instinct is to consider the entrepreneurship plans of women as frivolous. Clichéd as it may sound; actions speak louder than words — so ensure your work speaks for you and proves your point.
There’s no escaping that India remains largely patriarchal. Women entrepreneurs are constantly battling male egos and mental barriers. The very idea of women going toe to toe with men may not always sit well. My motto here is — don’t get sucked into fighting the bias.
“Set up a support system that works for you, and let your work, rather than gender be the focal point.”
Find your niches, set up a solid support system that works for you, and let your work, rather than gender be the focal point. Tap into your core strengths, patience, and perseverance, and develop a no-nonsense attitude towards biases. One of the key attributes of entrepreneurship is the ability to take risks, and not let the fear of the unknown bother you. Entrepreneurship is not about gender equality and leadership skills alone, it’s about the passion, and the attitude with which a person pursues the dreams to achieve the unthinkable.
How can we work to change the culture and mindset within the venture capital industry to be more inclusive and supportive of female founders?
Women need to support each other by increasing their business competitiveness through capacity-building training in entrepreneurial skills and business management. We also need to collectively ensure women’s representation and inclusion in all planning and decision-making because more diverse teams make better, more sustainable decisions. We should support women across the value chain and in communities where such businesses operate and safety nets ought to be expanded with various insurance products, pension schemes, leasing arrangements, agricultural finance, low-value equity investments, government-to-person e-payment options, and conditional digital cash transfers.
“More diverse teams make better, more sustainable decisions.”
Empowering and investing in women is a prerequisite to fulfilling the world’s vision of the Sustainable Development Goals that aim to end poverty and hunger, protect the environment, improve health parameters, and empower all women. Their voices need to be heard at both policy and implementation levels if we are to realise the dream of a progressive world. Closing gender gaps is essential in order to accelerate the pace of growth across sectors worldwide.
What are the most important factors that investors should consider when evaluating a startup, regardless of the founder’s gender?
- The competitive advantages of the company.
- The potential for the company to grow.
- The financial standing of the business.
- The management group of the business.
The business model of a firm is crucial to take into account when assessing it because it might reveal information about its sustainability and profitability. Is the atmosphere one of cooperation or competition? What is the state of the work/life balance? What are the perks and benefits offered by the business? Look at the business’s website. Companies frequently disclose their compensation policies or procedures on their websites. This can help you get a solid idea of the income and benefits you can anticipate. It’s crucial to assess both the company’s future prospects and current performance when thinking about investing in it.
How has being a female entrepreneur influenced your leadership style and approach to running a business?
One of the key attributes of entrepreneurship is the ability to take risks, and not let the fear of the unknown bother you! Entrepreneurship is not about gender equality and leadership skills alone, it’s about the passion, the attitude with which a person pursues the dreams to achieve the unthinkable.
