Black Women Founders Drive Change in Canada’s Venture Capital Landscape

The venture capital landscape in Canada is undergoing a notable transformation, driven by Black women founders who are challenging traditional barriers and reshaping the industry. As highlighted by investor and ecosystem catalyst Amoye Henry, the journey of Black women entrepreneurs is not merely an isolated success story but a critical component of the future of Canadian business.

Henry’s work as co-founder of Pitch Better aims to empower entrepreneurs, particularly those from underrepresented backgrounds, to build sustainable businesses. Her 2020 article for BetaKit, titled “The horrifying truth of being a Black woman founder in Canada,” revealed that Black women had raised virtually nothing from thousands of Canadian venture capital deals. This stark reality sparked a much-needed conversation about inclusivity in the venture ecosystem.

Having immersed herself in the venture ecosystems of the UK and West Africa, Henry observed that intentional inclusion can significantly alter the venture capital landscape. Upon returning to Canada five years later, she noted signs of progress, albeit fragile and incomplete.

Significant Shifts in Venture Capital

The global venture capital environment has seen substantial changes. Between 2014 and 2023, the number of deals involving female-founded or co-founded companies increased by nearly 60 percent. Nonetheless, parity remains elusive; startups founded exclusively by women secured only about two percent of global venture dollars as of 2023. In Canada, the trajectory mirrors this global trend. According to a report by the Canadian Venture Capital Association (CVCA), women-led startups accounted for merely 4 percent of total VC investment in 2021, a figure that tripled to 12 percent by the first half of 2024.

Despite this progress, significant gaps persist. Institutions are beginning to respond, with the Business Development Bank of Canada (BDC) launching initiatives to address these disparities. Its Thrive Lab has committed $35 million to co-invest alongside women-led businesses. Additionally, a $50-million Thrive ETA initiative was created to assist women in acquiring or leading established companies.

The BDC’s 2025 analysis highlights that in 2023, only 1.3 percent of Black adults in Canada were entrepreneurs, with Black women representing a mere 0.7 percent. However, projections indicate that Black entrepreneurs could comprise 3.2 percent of Canada’s entrepreneurial base by 2034. This kind of longitudinal tracking signifies progress that was absent from mainstream datasets just five years ago.

Spotlighting the Founders Leading Change

Real change in the venture ecosystem is best illustrated through the stories of Black women founders who have raised over $1 million through various funding avenues. Their ventures not only address inequities but also demonstrate the potential for substantial returns when capital reaches underrepresented groups.

Among these founders is Farnel Fleurant, who launched Workind in Montreal. The all-in-one modern benefits platform aims to enhance employee care while driving community impact. Despite facing challenges in securing funding, Fleurant raised $1.4 million in seed funding and achieved a 30 percent year-over-year growth.

Another notable entrepreneur, Karine Bah Tahe, founded Oasis Learning to facilitate effective communication across multilingual teams. The company has secured over $1.2 million in funding and aims to deliver educational tools that transcend borders.

In the medical field, Nanette Sene and Lynn Doughane co-founded Juno Technologies, which is developing a Class II medical device aimed at alleviating menstrual pain. Their venture has raised over $1.5 million and is preparing for clinical trials, underscoring the commitment to addressing women’s health issues.

Another entrepreneur, Gloria Oppong, established Cleanster in Calgary to modernize the cleaning industry through an AI-powered platform. Having raised $4.1 million, Cleanster aims to provide reliable services while ensuring dignity for workers in the industry.

Additionally, Cynthia Ene is leading Corol Technologies, which focuses on creating renewable, plant-based bio polyols as alternatives to fossil fuels. Her work challenges conventional materials science and is critical for sustainability efforts globally.

Finally, Claudette McGowan, after a long corporate career, founded Protexxa to enhance cybersecurity for small and medium-sized businesses. The company raised its first $10 million in 2023 and is now scaling its AI-driven solutions across several regions.

The myth that there are not enough Black women founders to invest in has been decisively challenged. The real task ahead involves ensuring their success becomes the norm rather than the exception. This requires structural changes, including expanding the number of diverse investors, scaling accelerator programs specifically for Black women founders, and mandating government-backed data collection to enhance transparency.

The implications of supporting Black women founders extend beyond moral imperatives; they represent significant economic opportunities. Their ventures address pressing global challenges such as climate change, healthcare equity, and education. Canada cannot afford to overlook this talent pool if it aims to compete and lead in the future.

As the venture capital landscape continues to evolve, the question remains whether Canada will adequately support these pioneering founders or be left to catch up. For investors and policymakers, the path forward is clear: invest in the founders who are already designing the future.