This study examines gender biases in the selection of venture capital investors by startup founders, focusing on the interplay among gender stereotypes, professional credentials, and homophily. Using randomized controlled field experiments targeting US technology startups, we examine their engagement with fictitious investors offering potential financing. We observe a significant bias against women investors, with startups 25% more likely to engage with men investors than with otherwise identical women investors. Professional credentials exacerbate this gender bias, enhancing credibility for men investors while decreasing the engagement likelihood with women investors. These robust patterns align with role incongruity theory, reflecting a perceived mismatch between feminine stereotypes and influential roles in venture financing. We do not find supportive evidence for homophily as the primary explanation for these gender preferences; instead, our results reveal a broader, systemic bias within the entrepreneurial ecosystem. This research contributes to our understanding of gender dynamics in entrepreneurial financing. It highlights prevalent, critical barriers for women financiers in attaining access to sought-after new ventures. These findings highlight gender inequality issues in startup financing and leadership roles in venture capital, and offer important implications for addressing these issues within the evolving landscape of the entrepreneurial sector.
