Does It Matter? Experimental Evidence on the (Signaling) Effect of Gender-Specific Accelerator Programs on Access to Angel Capital

Despite the acknowledged importance of capital for start-up success, gender disparities persist when trying to raise funds from external sources, including angel investors, venture capitalists, and financial institutions. Many studies have shown that gender stereotypes are harmful and prevent women from gaining access to resources, e.g., capital, distorting their start-up valuations, and influencing the resulting financing decisions. In recent years, gender-specific support measures have emerged that attempt to overcome gender inequalities in early-stage entrepreneurship, including gender-specific accelerator programs. However, there remains a lack of research on the effects of these gender-specific support programs. This study therefore investigates the influence of participating in gender-specific accelerator programs on access to angel capital, as a highly relevant source for the early financing of (women-founded) start-ups, considering signaling theory and its influence by the role congruity theory in an entrepreneurial context. A laboratory experiment involving 227 participants was conducted to explore these dynamics, reflecting perceptions of signals for angel investors. Overall, the findings suggest that gender-specific accelerator programs may positively influence perceived investment decisions by enhancing perceived team competence. Furthermore, investor gender moderates the perception of team competence. The signaling effect that (gender-specific) accelerators have on angel investors does not appear to be as great for men investors as it is for women investors. The findings contribute to signaling theory by understanding the impact of participation in (gender-specific) accelerator programs on the investment decision of angel investors while advocating for more inclusive approaches to fostering diversity and inclusivity within the start-up ecosystem.