“It is Europe’s most extensive annual research on the activity of business angels and business angel networks (BANs). It provides information on the overall early-stage market and on how business angel networks operate, as well as insight into their investment attitudes.” (page 3)
In general, 2018 was a year of growth for the angel market around Europe. The UK leads with an investment of 109.4 million Euros. Central and Eastern Europe showed very strong growth, for example, Turkey, Belarus, and Russia. But other mature markets experience zero growth even decrease compared to previous years, like in the case of France.
The sectors where the start-ups receive most of the investment were Fintech and Software Enterprise, with 16% and 15% respectively of all financing made last year. Also, a small increase in the investment of Agritech at the cost of the decline of the health sector.
The graphic above shows the gender ratio. Even though that has been an increase of women investing as business angels, especially in Central and Eastern Europe with a growth of about 30%, women in Western Europe still represent a small fraction of the angel community around 11% of the population. When in the United States in 2018, for comparison, women represented almost 30% of the angel market.
Another point that it’s worth highlighting is the gender gap, which is that Europe has also fallen behind in comparison with the US on women registered on BANs. It has increased since 2013 from 4% to 10%, and in some BANs can reach 30%. But the problem comes from the uneven distribution of female business angels across European BANs because they are still some reporting zero female members.
There is data that is not available in this report and questions can be asked from the one that is presented like:
- How many BANs are still reporting zero female members?
- In how many countries around Europe?
- If there has been an increase in women business angels why hasn’t been a correlative increase in their registration on BANs?
The EBAN is a solid report towards general statistics about business angels and how the market behaves during the year, but an important sector of that market has been overlooked the participation of women in the angels market and doesn’t offer guidelines of how can we improve it, and most important why is Europe falling behind in comparison with the US on this regard?
EBAN 2018 Statistics Compendium was collected in 2018 – 2019 and reports on activities which took place in 2018