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New Trade Group of Startup Investors Who Don’t Focus on Flipping

  • Venture capital can leave behind groups less able to take risk
  • A “builder” model is seen as a boon to minority founders
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Attracting venture capital has rarely been easier for well-connected tech guys in hoodies, but it’s still a long shot for everyone else.

The kind of investment that has created great fortunes for billionaire founders like Mark Zuckerberg and investors such as Marc Andreesen is far from a perfect system. Only 2.2% of venture capital funding goes to female-founded teams, according to PitchBook. And black and Hispanic entrepreneurs get just 1% of startup financing, according to the Kauffman Foundation.