Jun 30, 2020 - Economy

Precursor Ventures founder: VC firms should be introspective on diversity

Charles Hudson, Managing Partner and Founder, Precursor Ventures

Axios' Ina Fried (L) and Precursor Ventures Managing Partner and Founder Charles Hudson. Photo: Axios Screenshot

The venture capital firms that have best responded to widespread conversations about systemic racism have focused on their own hiring and funding standards and not public praise, Precursor Ventures Managing Partner Charles Hudson said at an Axios event virtual Tuesday.

The big picture: Hudson said some firms have reached out to him for advice on how to provide funding to a more diverse set of recipients. Progress will only come once those firms conduct rigid re-examinations of processes for hiring, retention and how they determine who gets funding, Hudson said.

Venture capital firms with more diverse staff will attract diverse founders to fund, Hudson said.

  • "It's a strong signal to black and brown founders when you look at a webpage, or you look in an industry, and they see there's almost no one who looks like me. I think it sends a pretty strong signal to founders that perhaps I'm not welcome here."
  • Hudson also said Black venture capitalists can influence founders and help them connect to untapped talent.

Watch the event.

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