Beyond fairness: Women-led businesses outperform male-led firms by 15%, says ACV

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As the world celebrates International Women's Day, AC Ventures (ACV) uses the occasion to reflect on the persistent funding gap for female founders in Southeast Asia. Despite growing investment in the region, women-led businesses still receive only a fraction of venture capital funding.

For the Indonesia-based VC firm, investing in women-led businesses is a strategic decision backed by data. Studies indicate that closing the gender gap in business leadership could increase global GDP by up to 26%, while women-led companies are 15% more likely to outperform their male-led counterparts, ACV said in a release.

"Investing in women-led businesses isn't just about fairness; it's a proven strategy for driving innovation, economic growth, and long-term success. The economic case for gender-inclusive investment is clear - women entrepreneurs drive innovation, job creation, and financial performance," ACV managing partner Helen Wong stated.

Don't miss: AC Ventures' Pandu Sjahrir to lead investments at Danantara, Indonesia's new wealth fund

ACV's 2024 Impact Report, developed in collaboration with Deloitte Indonesia, highlights that 40% of the 30,000 jobs sustained by its portfolio are led by women. In 2024 alone, ACV-supported businesses have generated 2,000 new jobs and empowered 4 million lower- to middle-income individuals and businesses through digitalisation and financial inclusion.

Despite the proven benefits, female founders remain underfunded. A report by Boston Consulting Group (BCG), Stellar Women, and ACV - "Closing the Funding Gap for Women Entrepreneurs in Indonesia" - highlights a US$1.7 trillion global funding shortfall.

Women entrepreneurs often encounter barriers such as limited access to investor networks, unconscious bias in funding decisions, and a lack of tailored financial support. Many struggle to align their pitches with investor expectations, which are frequently shaped by a male-dominated landscape.

"To close this gap, investors should proactively support female entrepreneurs, while ecosystems must offer stronger mentorship, networking, and financial literacy programs. At AC Ventures, we integrate gender-lens investing to ensure women-led businesses receive the resources they need to thrive," Wong added.

ACV has backed several women-led startups reshaping their industries. This includes Accacia - founded by Annu Talreja - which leverages AI to decarbonise real estate, expanding across multiple regions. Moreover, Jap - founded by Marcella Moniaga, Sherlyn Gautama, and Jessica Stephanie - has become Indonesia's top on-demand grocery platform.

Meanwhile, Cindy Nyoto Gunawan and Tiffany Danielle's Rose All Day is redefining beauty with a focus on sustainability and inclusivity. In fintech, Tessa Wijaya's Xendit is transforming digital payments, and Joan Ong, Lynn Yeoh, and Rebecca Koh's Supermom uses AI to connect brands with millions of parents across Southeast Asia.

"Half of our senior leadership team are women, ensuring diverse perspectives in decision-making," Wong emphasised.

Beyond capital, ACV supports female entrepreneurs through mentorship, ecosystem-building, and strategic partnerships. Its engagements with industry forums such as the Global Private Capital Association and She Loves Tech Global Summit highlight ACV's advocacy for inclusivity in private capital.

Currently, ACV is participating in IFC's We Fund Climate peer learning platform, part of the She Wins Climate initiative launched at COP28. This programme connects climate-focused venture capital funds to implement gender-lens investing strategies and supports women-led climate startups through acceleration, investor networking, and business development, the VC firm said.

"Our vision is to create an environment where women entrepreneurs have equal access to funding, mentorship, and opportunities, empowering them to scale their businesses and drive long-term impact," Wong added.

"Having built my career in venture capital across Asia, I've seen firsthand how gender diversity - or the lack of it - impacts decision-making, deal flow, and economic growth. When I started, there were very few women in VC or leadership roles. Over time, I've realised that diversity isn't just about representation - it drives better business outcomes," she emphasised.

Since 2012, ACV has invested in more than 120 regional tech companies, managing over US$550 million in assets. Led by Adrian Li, Michael Soerijadji, Helen Wong, and Pandu Sjahrir, ACV operates offices in Jakarta, Malaysia, and Singapore.

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