Boston has all the right ingredients to be a hub for Black tech founders—top universities, a booming innovation sector, and billions in venture capital. Yet, Black entrepreneurs in the city continue to face barriers that keep them from securing the funding they need to scale their businesses.
In 2021, Black-led startups in Massachusetts received just 0.4% of the state’s $34.8 billion in venture capital funding. Compare that to Atlanta, where Black founders captured 8.9% of investments, creating wealth and economic opportunity at a much higher rate.
Breaking the cycle of exclusion
The problem isn’t a lack of talent. It’s a lack of access. The venture capital world operates on familiarity—investors back founders who fit the patterns they recognize. In Boston, where few Black entrepreneurs have broken into the tech elite, the cycle of exclusion continues.
Meanwhile, cities like Atlanta, Los Angeles, and Miami have built funding ecosystems designed to uplift Black founders. Dedicated VC funds, Black-led incubators, and corporate-backed initiatives are driving measurable success.
Boston must decide: Will it let systemic barriers persist, or will it take action to close the racial funding gap? The answer will shape the city’s economic future. Without targeted investments in Black entrepreneurs, Boston risks falling behind in a rapidly evolving innovation economy.
Key takeaways
This disparity is not just about funding—it’s about power, opportunity, and the future of Black wealth. If Boston fails to act, Black entrepreneurs will continue to be locked out of high-growth industries, widening the racial wealth gap.
The solution lies in action. Expanding access to capital, launching targeted accelerator programs, and holding investors accountable for inclusive funding practices will shift the landscape.
Black founders must also build networks, leverage alternative funding sources, and demand their rightful place in the innovation economy. The time to move is now.
