Small Business Strategies: Women get into the startup game

— -- I don't normally go gaga over motorcycles, but even I couldn't resist the shiny new scooter from Current Motor.

First, it is electric. Next, it's equipped with a state-of-the-art digital dashboard that charges your battery remotely and plots routes for the least battery consumption. It's made in America. And you can personalize the bike with all kinds of features.

Perhaps one of the most surprising aspects of this cutting-edge product is that this company has a woman president, is financed by women investors, and is made in a manufacturing plant owned by a woman.

Why surprising? Here's a sad truth in 2012: Women entrepreneurs still have a harder time raising money for high-growth ventures than men.

That situation is changing, thanks to women like Lauren Flanagan of Belle Capital of Grosse Pointe Farms, Mich. Flanagan represents a relatively new breed of angel investors, experienced businesswomen investing in startups founded by women.

"Women have over 51% of the wealth in the U.S., but we do less than 10% of early stage investing," Flanagan said. "We have women with talent and money sitting on the sideline.

"If we could get some of that money invested, we'd change the game," she said. "We could break the cycle of lack of access to capital for women entrepreneurs."

To understand financing for high-growth companies, it helps to understand the two types of professional investors and lack of women in these ranks:

•Venture capitalists raise money from others, typically investing very large sums of money — $2 million to $5 million and more in early rounds. About 11% of venture capitalists are women, according to the National Venture Capital Association, and estimates are that only 4 percent to 9% of companies receiving venture-capital financing have even one woman on the founding team.

•Angel investors put their own money into promising startups. About 13% of angels are women, and about 13 percent of angel-backed companies have women founders.

Keep in mind that nearly half of all businesses in the United States have a female owner: 29% owned by women alone, 17% equally owned with a man. So you see what a small percentage have access to high-growth capital.

Increasingly, women are starting their own angel-investor groups to make it easier for women entrepreneurs with great ideas to succeed.

"We want to solve big problems and, of course, we want to make money," Flanagan said. "But we're doing this to pay back, too. In the past, wealthy women were philanthropists, they gave money away. We're trying to teach women to be more comfortable with investing."

Flanagan herself has invested in about 30 companies. In 2005, she launched her first group, Phenomenelle Angels Fund in Madison, Wis.

That group invested about $10 million and raised another $30 million for nine companies, all of which have a women founder or significant C-level partner, a term used to denote high-ranking executives such as chief executive officers, chief operating officers and chief investment officers.

All the investors are women, and they project hitting their target on financial gains.

Last year, she started Belle Capital with 44 women investors. One of its first investments is Current Motor Co. of Ann Arbor, Mich., makers of that shiny, new electric scooter.