Latino entrepreneurs are one of the fastest-growing groups of business owners in the United States, yet they remain severely underfunded. Despite representing a large share of new business formation, Latino founders receive less than 2% of venture capital funding. Latina women are even more underrepresented, receiving less than 0.1%.
At the same time, Latino-owned businesses are growing faster than the national average. From 2019 to 2022, Latino businesses expanded at a median annual growth rate of 25%, compared to 9% for white-owned businesses. Studies estimate that equitable access to capital for Latino founders could unlock over $2 trillion in additional economic output.
Venture Capital Funds Dedicated to Latino Entrepreneurs
While the VC industry has historically overlooked Latino founders, several funds and organizations are actively working to change the dynamic:
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L’ATTITUDE Ventures focuses exclusively on U.S.-based, Latino-led startups, backing early-stage companies across sectors.
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VamosVentures invests in diverse entrepreneurs, particularly Latinx founders in areas like health tech, fintech, and SaaS.
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Epakon Capital, Ganas Ventures, Supply Change Capital, and SV Latam Capital are among a new generation of Latino-led funds targeting seed and growth-stage companies.
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Ulu Ventures, led by Miriam Rivera, closed a $208 million fund in 2024—one of the largest ever raised by a Latina-led VC firm. About 80% of their investments back immigrant, female, or underrepresented founders.
Beyond funding, organizations like LatinxVC and SomosVC focus on building representation within the venture ecosystem. Today, only 1.6% of investment professionals at major VC firms are Latino, and nearly 80% of those firms have no Latino investors at all. These groups provide mentorship, fellowships, and networks to strengthen pathways for future Latino fund managers.
Institutional and Corporate Support
Corporate and ecosystem initiatives are also contributing to momentum:
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Google for Startups Latino Founders Fund has awarded millions in non-equity grants—up to $150,000 per founder—along with technical support and mentorship.
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Funds like Visible Hands and MEI Capital are broadening opportunities for underrepresented founders, with significant commitments to Latino entrepreneurs.
Why It Matters
The growth of Hispanic-owned startups represents both an economic opportunity and an equity imperative. Latino entrepreneurs are fueling job creation, innovation, and regional development, yet they remain locked out of mainstream venture capital channels. Dedicated funds, ecosystem support organizations, and institutional initiatives are beginning to change this trajectory, but the gap remains wide.
The next decade will be pivotal: as Latino-led funds scale and more institutional investors engage, the U.S. has the chance to tap into one of its most dynamic entrepreneurial communities.
Sources
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Stanford & McKinsey data on Latino founder funding rates and business growth – ssti.org
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List of Latinx-focused VC funds – betaboom.com
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Latino VC firms supporting founders – poderosomedia.com
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LatinxVC and SomosVC representation statistics – somos.vc, onlinemba.com
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Ulu Ventures Fund IV raise – wsj.com
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Job creation via Latino-led VC – axios.com
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Google Latino Founders Fund details – startup.google.com
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