In 2019, entrepreneur Renee King was at a conference for Black entrepreneurs when she heard something that took her aback: “If you can’t raise a friends and family round, what does that say about you?”
An angel investor (someone who invests their own money into a new company) directed this remark at King and about 100 other Black women entrepreneurs. The investor was also a Black woman.
For King, this comment ignores the unique hurdles Black business owners might face. While a friends and family round is one of the most common ways to raise money for a startup, it’s not always the most feasible option for Black founders, she explains.