Women & Minority Entrepreneurs

When it comes to venture capital, women and minorities face some special hurdles. "Venture capital firms are [made up of] very clubby, 55-year-old white males with [Ivy League] MBAs," says Mary Bechmann at Baccharis Capital. Another hurdle: "To be worthy of venture capital, you're pretty much expected to have $50 million in revenues within five years."

But some venture capital firms are actively seeking women and minority-owned companies, asserts Thomas Sweeny, chairman of the Connecticut Venture Group, a private organization dedicated to networking among venture capitalists. "Lots of women- and minority-owned businesses have been supported by venture capital," says Sweeny.

That doesn't mean it's easy. "Since venture capital firms have the money, they can afford to sit back and wait for people to find them," says Sweeny. "The burden is on business owners to take the initiative."

This article was originally published in the January 1996 print edition of Entrepreneur with the headline: Women & Minority Entrepreneurs.