We are writing today to firmly condemn the discrimination lawsuit initiated against the Fearless Fund, a Black Women owned investment fund, by the American Alliance of Equal Rights, a conservative activist group.  This group and its lawsuit seek to undermine our rights, protections, and the efficacy of our efforts as investors and entrepreneurs to combat systemic racial and gender disparities. We vehemently oppose this lawsuit, which labels the actions of women of color, who support and fund fellow women of color, as discriminatory.  Black Women are grossly underrepresented as investors and underfunded as entrepreneurs. Over $288B of venture capital were deployed in 2022, with an estimated 0.41% share invested in Black Women founders. This approach to twist efforts to counter the impacts of racial and gender discrimination as harmful to women of color is not only transparent, unoriginal, and unconvincing, but it also unjustly targets Black Women while threatening the civil rights of all women. We denounce this effort, not only for its lack of substance but also because it reinforces the historically exploitative practice of leveraging Black Women's contributions for another party’s gain. It is deeply troubling that this group has chosen to build their case for discrimination on the backs of Black Women who are striving to level the playing field to access capital through entrepreneurship and business ownership.

We urge all Black Women to remain vigilant and resilient, avoiding distractions that may divert them from their work. Let the wisdom of Toni Morrison and the exemplary dedication of Arian Simone, Ayana Parsons, and the Fearless Fund team serve as beacons in this regard.

This lawsuit is a deliberate attempt to intimidate, disrupt, and control the ways in which we operate. It seeks to weaken our efforts as fund managers and entrepreneurs, endangering the progress we've made within the venture ecosystem. We will fight and we will persist in doing this important work; anything to the contrary only perpetuates this attack and creates undue influence over our decision-making.

We want to emphasize the opportunities that lie ahead. We, as Black Women, are no strangers to adversity, systemic barriers, and attacks on our growth. This moment should serve as a reminder to stay innovative in our strategies, to fortify ourselves against similar assaults, and to expand our network of support, including legal counsel, limited partners, and allies. Silent support is insufficient; it is crucial that we all boldly stand against blatant attempts to stifle the voices and progress of Black Women.

We write today to create an open dialogue about how we mitigate the very real risks we face while also acknowledging that risk is always required in the face of injustice, bigotry and hate. We will not be deterred from our work, and we will continue to find new pathways to economic freedom for women, women of color, and most notably for Black Women. We have work to do, lives to impact, funds to raise, and firms to build. We unequivocally support the Fearless Fund. We stand with our fellow fund managers in resistance and we intend to face this fight head on and remain dedicated to our missions of furthering women, women of color and most importantly, Black Women in this country.

 

“The function, the very serious function of racism is distraction. It keeps you from doing your work. It keeps you explaining, over and over again, your reason for being … None of this is necessary. There will always be one more thing.”
                                           ― Toni Morrison

 

 

 

 

 

 

 

 

 

 

 

 

Data sources

Pitchbook-NVCA Venture Monitor as of Dec. 31 2022

Fast Company- “The real reason Latina and Black women founders don’t receive VC funding” https://www.fastcompany.com/90870053/why-latina-and-black-women-founders-dont-receive-vc-funding