The annual report examines funding trends that shaped the previous year, and highlights both challenges and opportunities for the sector. The team gathered input from over 100 industry experts, and analysed almost 1,000 survey responses as part of the report.
While the report found that all-women and mixed-gender founding teams participated in an increased number of early-stage deals, it also found that “this progress did not extend to larger follow-on rounds, as the share of total capital allocated to women-led startups remained low.”
The report acknowledges that while more VCs are increasingly looking for opportunities with female or mixed gender teams, the lack of major deals above $50 million “underscores a barrier to meaningful scale.”
So, what were the key findings? Here are the top-line findings in the report:
There was an increase in early stage wins for female founders, but funding still fell short
“In 2024, female and mix-gender founding teams reached an unprecedented 27% share of total deals, driven by robust participation at Pre-Seed and Seed stages. Despite this progress, their overall share of capital declined to 15%, indicating a persistent gap between early activity and larger funding allocations. While investors show growing interest at the earliest stages, later and typically far larger rounds remain elusive for most women-led startups, stifling their scale-up potential and momentum.”
High-value deals are critical for future growth
“Since 2019, all-women teams have secured only three deals above $50 million, representing just 2.2% of such transactions in Australia. For many startups, the scarcity of large cheques hinders their ability to achieve meaningful scale, highlighting a persistent obstacle beyond the early rounds. Greater access to later-stage funds could help women-led ventures expand market reach, attract specialised talent, and drive broader innovation. Strengthened follow-on investment remains vital for progress.”
Investors signal interest but impact lags
“Most Australian investors who completed at least two deals in 2024 backed a female or mixed-gender team, reflecting a generally positive step. Only 13% of the 50 most active VCs made more than half of their investments in women-led startups. While this signals incremental change, capital allocations continue to favour male-only teams, underscoring the need for consistent, robust follow- through and objective evaluation criteria.”
Confidence wavers amid competitive global environment
“In contrast to the United States, where women’s share of funding held steady, Australia’s women founders reported slowing progress in later stages in 2024. Our Founder Survey found that 83% of local women entrepreneurs plan to raise capital this year, but whether investor interest will lead to larger cheques remains uncertain. Sustained industry commitment is key to strengthening founder confidence, to position Australia alongside top global ecosystems, and unlocking greater potential from all entrepreneurs.”
Practical measures key to long-term equity
“Venture firms are increasingly examining internal processes to reduce bias, such as diversifying investment
committees and standardising due diligence frameworks. More sustained initiatives are needed to help women
founders access resources, expand networks, and compete for later-stage capital. Incremental changes
at the Seed stage alone will not suffice; women-led ventures must navigate every growth phase to achieve stronger economic returns and foster a more dynamicAustralian startup ecosystem.”
So, where to from here? The report clearly flags that a new playbook is needed for VC when it comes to diversifying investments and backing more female founders, particularly in the later stages. “To ignite generational change, we must reimagine funding with flexible, women-focused solutions that meet the diverse needs of female entrepreneurs,” suggests Bree Kirkham, COO of the F5 Collective.
“It’s time to shift capital flows, break down systemic barriers, and create an ecosystem where women can thrive, lead, and build the future on their terms.”