StartHer

High-Level Overview

StartHER is a microfund and grant initiative focused on supporting women-led startups and entrepreneurs, particularly those from historically excluded or underrepresented groups. There are two distinct but related programs named StartHER:

1. StartHER Microfund by Peanut: Launched by Peanut, a women’s social network, this microfund invests in pre-seed startups led by women and other historically excluded founders across all ages, ethnicities, and sexual orientations. It aims to close the funding gap at the earliest stage, often called the "friends and family round," by providing checks between $25,000 and $50,000 without taking equity. The fund prioritizes impact and diversity over pure financial returns, offering both capital and access to professional networks to help founders succeed[1][2][6].

2. StartHER Grant by Texas Woman’s University (CWE): This grant program provides financial assistance to Texas-based, woman-owned businesses that are five years old or less. It awards $5,000 grants (with a required 10% match) to support early-stage growth and innovative projects. Recipients also complete a virtual business training course covering essential entrepreneurial skills. The grant aims to empower women entrepreneurs in Texas by overcoming financial barriers and fostering economic growth in local communities[3][4][5].

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Origin Story

• StartHER Microfund (Peanut): Founded in 2021 by Michelle Kennedy, CEO of Peanut, the microfund was created to address the difficulty women and historically excluded founders face in securing pre-seed funding. Recognizing that the earliest funding round is often the hardest to obtain, especially for underrepresented groups, Peanut launched StartHER to serve as an entry point to capital and professional networks, aiming to diversify the venture capital funnel[1][2][6].

• StartHER Grant (Texas Woman’s University): The Center for Women Entrepreneurs at Texas Woman’s University established the StartHER Grant to support women-owned startups in Texas. The program evolved to provide not only financial resources but also training and mentorship to help women entrepreneurs launch and grow their businesses, emphasizing local economic impact and innovation[3][4][5].

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Core Differentiators

• StartHER Microfund (Peanut)
• Focuses exclusively on pre-seed investments in women-led and historically excluded founders.
• Provides non-equity funding ($25,000–$50,000) to fill the early funding gap.
• Emphasizes impact and diversity over financial returns.
• Offers access to a professional network and office hours with committee members.
• Rolling application process with biannual committee reviews.

• StartHER Grant (Texas Woman’s University)
• Targets Texas-based, woman-owned businesses less than five years old.
• Provides $5,000 grants with a required 10% owner match.
• Includes mandatory virtual business training covering business planning, marketing, legal, and finance.
• Supports early-stage growth and innovation with a focus on economic development.
• Highly competitive with up to 10 grants awarded annually.

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Role in the Broader Tech Landscape

StartHER programs address a critical market failure: the underfunding of women and historically excluded founders at the earliest stages of startup development. By providing capital and resources at the pre-seed or early growth phase, they help diversify the entrepreneurial ecosystem, which has traditionally been dominated by well-networked, male-led ventures. This timing is crucial as early-stage funding often determines whether startups can survive and scale. Both initiatives leverage growing societal and market trends emphasizing diversity, equity, and inclusion, aligning with broader movements to democratize access to capital and entrepreneurial opportunity[1][2][3].

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Quick Take & Future Outlook

StartHER’s future lies in expanding its impact by increasing funding capacity, broadening eligibility, and deepening support services like mentorship and network access. For Peanut’s microfund, scaling the number of investments and tracking long-term outcomes could enhance its influence on venture capital diversity. For the Texas Woman’s University grant, expanding geographic reach or increasing grant amounts could further empower women entrepreneurs. As diversity and inclusion remain central themes in tech and business, StartHER is well-positioned to be a catalyst for change, helping to create a more equitable startup ecosystem that benefits from a wider range of voices and innovations[1][3][5].