New Invest Europe and EIF report delivers gender and geographic insights into interconnected European VC ecosystem

• Introduces concept of “clans” of start-up hubs cooperating internally and across Europe

• Women founders have higher education levels than men, yet receive less funding 

Brussels, Belgium, 1100 CET 5 February 2026 - Invest Europe, the association representing Europe’s private equity, venture capital and infrastructure sectors, as well as their investors, today published The VC factor: Skills edition, the latest research collaboration with the European Investment Fund (EIF). The joint report offers a comprehensive analysis of Europe’s venture capital (VC) landscape, with special focuses on cross-border dynamics in start-up funding, as well as the impact of education and gender on funding and start-up development.   

Mapping Europe’s VC landscape

The first chapter explores investment flows across Europe and introduces the concept of “clans” of VC hubs, which function as interconnected yet regionally distinct communities: Benelux, British Isles, CEE (including Greece), DACH, France, Iberian Peninsula, Italy/Malta, and the Nordics/Baltics. The report points to growing cohesiveness in the European VC ecosystem, although notes that the “footprint” of national and regional ecosystems remains clearly visible. Key findings include:

• In 2021, 43% of VC investment flowed across clan borders, nearly doubling since 2007 (23%).

• The British Isles is the most connected region, acting as the preferred partner for five of the eight clans. In contrast, Iberian Peninsula and Italy/Malta clans show the strongest internal investment activity, with 88% and 87% of their VC capital, respectively, staying within the region.

Education and gender: Women founders are highly qualified, but receive less funding

The second chapter applies high-powered skills and gender lenses to the VC ecosystem to identify funding patterns. It finds there is no overarching path to success, although education at an elite university is more important to funding outcomes than post-graduate qualifications or fields of study. In addition, start-ups founded by women face structural challenges, such as smaller team sizes and later access to initial funding, which only partly account for the investment gap. There is at least one factor (or perhaps several) that consistently works in favour of mostly male teams, and together these unseen advantages account for the majority of the gap. Key findings include:

• Alumni from the top 50 elite universities account for 10.7% of founders but 15.7% of total funding.

• Start-up teams with mostly female founders receive, on average, €700,000 less per investment than their mostly male counterparts. However, women entrepreneurs tend to be more highly educated and to have attended more prestigious universities than their male counterparts.

Eric de Montgolfier, CEO of Invest Europe, commented:

“The larger and more developed the European VC ecosystem becomes, the more we learn about how it operates. This joint research with the EIF offers a deeper understanding of the sector’s structure and diversity – and highlights the need to unlock opportunities for talent regardless of gender or geography. A more inclusive and interconnected VC landscape will better serve entrepreneurs, investors, and society.”

The VC factor: Skills edition not only presents analysis of the European ecosystem, but also conclusions that can help shape the VC industry and start-ups. It indicates that hubs fostering local connections are also more likely to grow their appeal with investors outside their community, potentially serving as a strategic roadmap for start-ups and VC hubs alike. And it provides encouragement that female participation continues to increase with a younger generation of founders, pointing to a future where each new wave of entrepreneurs will be more diverse, and where skills, talent, and ambition may the most important considerations in VC funding.

Click to download a copy of the VC factor: Skills edition.

- ENDS -

Invest Europe is the association representing Europe’s private equity, venture capital and infrastructure sectors, as well as their investors. We have over 650 members, split roughly equally between private equity, venture capital and limited partners – with some 110 associate members representing advisers to our ecosystem. Those members are based in 57 countries, including 42 in Europe, and manage 60% of the European private equity and venture capital industry’s €1.25 trillion of assets under management. Businesses with private capital investment employ 11.2 million people across Europe, 5% of the region’s workforce.

__________________________________________________________

Disclaimer: The content is for informational and research purposes only. It does not constitute financial advice, investment guidance, or a solicitation to buy or sell any financial products or services. Invest Europe is a non-profit organisation dedicated to research, policy insights and reputation management. Any references to investment, finance, or related topics are based on specific and verifiable data and presented strictly within a research and educational context.