Diversifying Venture Capital: Maximising Returns and Social Impact with Joey Mak

Welcome to another episode of The DNA Of Purpose Podcast. Today, we're delving into the critical need for increased funding for underrepresented startup founders. Despite possessing a wealth of innovative ideas reflective of their diverse experiences, these founders face significant challenges. They not only struggle to access networks and resources but also contend with biases that underestimate their expertise and potential for success. 

This disparity in funding, where Black, Latino, and women entrepreneurs receive only a fraction of venture capital compared to their White male counterparts, not only perpetuates social inequalities but also hampers innovation and economic growth. Urgent action is required to address this pressing issue and unleash the untapped potential of underrepresented founders.

Urgent action is required to unleash the untapped potential of underrepresented founders, which is why I'm thrilled to introduce Joey Mak, the CEO Of Chicago Blend. Chicago:Blend is a nonprofit organisation working to advance diversity, equity and inclusion  in Chicago’s venture capital and startup community. They measure the VC diversity gap, help underrepresented professionals secure VC jobs and are building a growing community of investors who share our commitment to improving the industry.

Before joining Blend in 2021, Joey was the vice president of programs at the Chicagoland Chamber of Commerce, where he created their diversity, equity, and inclusion initiative and oversaw the Chamber’s COVID-19 economic recovery task force. He served as director of innovation & economic development for the University of Illinois System and as a deputy director at the Illinois Department of Commerce & Economic Opportunity. 

Today Joey and I embark on a journey through the critical landscape of diversity, equity, and inclusion in venture capital. We'll explore the personal narratives driving this mission, dissect the challenges hindering inclusive cultures, and highlight the imperative role diversity plays in investment decisions. Along the way, we'll uncover success stories of underrepresented founders, delve into strategies for fostering diverse corporate cultures, and address biases in both hiring practices and technology. 

Takeaways

• Increasing diversity in the venture capital space is crucial for providing more opportunities to underrepresented founders and entrepreneurs.

• Diversity, equity, and inclusion are not just checkboxes but essential business practices that lead to a more resilient and innovative organisation.

• Creating a diverse and inclusive corporate culture requires intentional effort and a focus on business strategy and goals.

• Unconscious bias can perpetuate a lack of diversity and equity in investments, but strategies like expanding networks and setting up inclusive processes can help overcome this challenge.

• Fostering diversity in technology involves ensuring diverse voices are included in the design process to avoid biases and create inclusive products and services.