In 2009, the Kauffman Foundation revealed the typical startup founder was about 40 years old, with 60% juggling the responsibilities of parenthood. Far from the stereotype of young, single entrepreneurs, most founders were driven by goals like building wealth (75%), creating their own businesses (64%) and seizing unique business opportunities (68%). These findings highlighted that founders often aim to develop stable companies supporting family life and fulfilling personal passions.
Yet, the myth of the young startup founder endures. One female-led venture capital firm is working to change this narrative, emphasizing that parent entrepreneurs are not only founders but also highly successful.
Maxine Kozler is the Co-Managing Director of LDR Ventures, a firm that consults with and invests in early-stage investments in various food and beverage categories. LDR Ventures was among the first institutional investors in sweetgreen and was the first check investor in Thrive Market, which has become the industry leader in healthy food delivery. According to Kozler, the resilience and adaptability of parent founders often translate into valuable strengths to investors. “They are problem solvers with a maturity that we value,” she notes.
LDR Ventures actively seeks out diverse founders, particularly women and people of color, and invests at the pre-seed and seed stages, typically when companies raise their first $1-2 million at a $5-8 million valuation. LDR targets 20-25% ownership as lead investors in a round. A notable success story includes husband-and-wife founders Harrison Rice and Bella Hughes of Shaka Tea, who managed to build and sell their business to King’s Hawaiian. Their strong partnership and ability to balance family and business helped drive their brand’s success.
Kozler emphasizes that LDR’s team, many of whom are mothers and primary caregivers, understands parent founders' unique motivations and constraints. She reinforces: “Most founders and funders are parents. This is not an industry of only early 20-somethings with no families. If a founder happens to be a parent, we know they may view the world differently. We discuss how being a parent relates to their company goals, vision, and motivation.”
The firm’s assistance goes beyond financial support, consulting, introductions to other investors, spotlights at industry events, and referrals to resources like co-packers and marketing firms. It takes a hands-on approach, particularly with parent entrepreneurs, offering flexibility that aligns with the realities of family life. “We are walking the walk. We give others like us all of the time and respect they deserve. Talking on a Zoom call with kids walking into the frame is commonplace. Having founders take calls from home and their car while they wait to pick up kids is standard practice.”
Kozler is optimistic about the potential for innovation among parent entrepreneurs, particularly in sectors like functional foods and health-focused consumer products. However, she still believes that the investment community needs to address biases against parent entrepreneurs, especially mothers. “We work to let female and diverse founders know we’re interested in their stories,” she says. Even if LDR Ventures doesn’t ultimately invest, the firm aims to be a resource for these founders, offering guidance and mentorship.
LDR Ventures seeks to redefine success in venture capital by investing in founders who bring passion and a unique, personal perspective. The firm believes parents are particularly well-suited to drive impactful change in industries that shape the future, including the challenging U.S. childcare sector. “The nonprofits we work with are focused on the childcare crisis, exploring ways to expand options for families.” Kozler continues, “Many of these parent founders are committed to improving the world for future generations, aligning perfectly with our investment philosophy.”
As LDR Ventures champions parent startup founders, it’s fostering an inclusive environment where balancing family responsibilities with business ambitions is valued, not overlooked. LDR Ventures is reshaping the startup landscape by investing in founders who prioritize personal passions and family stability. The firm reinforces that parent entrepreneurs often defy stereotypes—they are capable and highly successful. In doing so, they’re supporting the creation of sustainable businesses that drive meaningful change and proving that parents are uniquely suited to lead in industries that shape the future.