Chasing Rainbows
ActiveVenture Capital
Updated: ·
Financial History
Total Raised
N/A
Valuation
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Leadership Team
Key people at Chasing Rainbows.
Key people at Chasing Rainbows.
Key people at Chasing Rainbows.
Chasing Rainbows is an early-stage venture capital firm dedicated to investing in LGBTQ+ founders, particularly those who are underrepresented in the startup ecosystem. Their mission is to provide financial capital, mentorship, and network access to empower LGBTQ+ entrepreneurs, who historically receive less than 0.5% of VC funding despite outperforming peers in exits, job creation, and patents. The firm invests primarily in early-stage startups across sectors such as healthcare, education technology, fintech, and sustainability, focusing on companies led by diverse LGBTQ+ teams. Beyond capital, Chasing Rainbows offers educational programs and ecosystem-building events like their annual Impact Summit, aiming to foster a more inclusive and high-performing entrepreneurial landscape[1][2][5].
Founded by Ben Stokes and Patrick Driscoll, both award-winning general partners with deep ties to the LGBTQ+ community, Chasing Rainbows launched its first fund in June 2023 with assets under management around $10 million. The firm has evolved to become a nexus for LGBTQ+ ecosystem leaders, connecting portfolio companies with corporates, government, family offices, and other investors. Their portfolio features startups with validated traction, and they maintain strong partnerships with accelerators and other VC funds to support follow-on funding rounds. The founders’ personal experiences with systemic bias fuel their commitment to leveling the playing field for LGBTQ+ entrepreneurs[1][2][3][6].
Chasing Rainbows rides the growing trend toward diversity, equity, and inclusion in venture capital and entrepreneurship. The timing is critical as awareness of systemic biases in startup funding increases alongside data showing LGBTQ+ founders outperform traditional benchmarks. Market forces favor firms that can tap into overlooked talent pools with unique perspectives and resilience, which often translate into innovative products and strong business outcomes. By championing LGBTQ+ founders, Chasing Rainbows not only fills a capital gap but also influences the broader ecosystem to adopt more inclusive investment practices, thereby expanding the diversity of innovation and leadership in tech[2][5].
Looking ahead, Chasing Rainbows aims to scale its impact by launching subsequent funds, expanding its team, and attracting more LGBTQ+ investors into venture capital. The firm plans to demonstrate that investing in LGBTQ+ founders is not only socially impactful but also financially rewarding, potentially reshaping investor attitudes industry-wide. Trends such as increased social consciousness, demand for diverse leadership, and the rise of tech-enabled solutions in healthcare and fintech will likely shape their portfolio’s growth. As the firm grows, it is poised to become a leading platform for LGBTQ+ innovation, driving both economic returns and systemic change in the startup ecosystem[2][3][5].
| Date | Company | Round | Lead Investor(s) | Co-Investor(s) |
|---|---|---|---|---|
| Jun 1, 2024 | Polari Group | $540K Seed | — | — |
| Jun 1, 2024 | Polari Labs | $540K Seed | — | — |
