Time4 is a new fund backed by Daphni dedicated to French entrepreneurs from diverse backgrounds

France’s startup ecosystem has grown significantly over the last decade, thanks to public support and private investment. However, capital is not evenly distributed. Most venture capital-backed startups are based in Paris and their founders come from the same handful of universities and schools.

This is what the VC firm does Daphne hopes to change with Time4, a fund with a target of €100 million and a mandate to invest in French founders from diverse backgrounds and rural areas; Fundraising began in September. It’s not doing it for charity: One motivation is “the certainty that there is economic potential that is underexploited at this stage,” Daphni partner Anita de Voisins told TechCrunch.

According to the Daphni team, reversing this trend requires a different approach. That is why it launched this fund in partnership with the HEC Paris business school and two non-profit organizations, the determined and live forever. (Ironically, many venture capital-backed startup founders graduated from HEC Paris.)

Those partnerships are key to the fund’s investment strategy, as they will help Time4 go beyond the usual Paris-focused, inbound-first venture investing approach, while also providing more hands-on support to founders who lack mentors. It will also write slightly larger checks than other funds might write at that stage, with the understanding that the entrepreneurs they back will have much less “love money” to rely on.

This is one of the reasons Time4 is targeting “a relatively large fund,” but not the only one: it also wants a large portfolio to diversify its risk. “(We will invest) in about a hundred projects, so that in the end we can have several dozen successful business stories,” de Voisins said.

Part of Time4’s effort will be dedicated to inspiring more people to start businesses with ambitious goals in mind, regardless of their background. That is also the vision of the co-promoter. Moussa Camarawhose nonprofit Les Déterminés advocates for an entrepreneurial spirit that thwarts social determinism; The organization’s name is a play on “be determined.”

As for Live for Good, it focuses on impact entrepreneurship, but has experience supporting founders who fit Time4’s criteria, de Voisins said. That was also her case as former director of entrepreneurship and innovation at the CentraleSupélec engineering school, a prestigious institution that selects its students through a highly competitive exam. That’s why not all CentraleSupélec students come from wealthy families.

Backing the next Paul Lê

In addition to potential founders from socio-economic backgrounds, Time4 will also consider supporting entrepreneurs from remote or disadvantaged areas, job seekers, as well as people with disabilities, with few or no diplomas, or with unusual career paths. It should be remembered that affirmative action for ethnic reasons is not allowed in France.

like a Substance of article 9Time4 is also committed to financing projects “whose mission is to improve social ties and facilitate access to products and services (access to employment; increase in purchasing power; mobility and reduction of the isolation of territories; access to housing, education , to health; to financing and digital inclusion),” according to a press release shared with TechCrunch.

According to Time4, its members have already identified almost 800 projects that fit this double investment strategy. However, it will not begin deploying funds until at least the middle of next year, which is the planned date for its first closing, de Voisins said.

While the fundraising may take until 2026 to complete, the tour has already begun and the initiative is presented on stage today at The Bpifrance General Neighborhood event about entrepreneurship in disadvantaged neighborhoods.

Bpifrance, the French public investment bank, is well aware of the disparities in venture capital investment. In 2023, it launched the “Entrepreneuriat Quartiers 2030” program to promote entrepreneurship in priority urban policy neighborhoods. In a similar vein, French coach Tremplin is an initiative that supports entrepreneurs from underrepresented backgrounds in the French technological ecosystem.

The French Tech Tremplin has recently appointed a new ambassador, Paul Lê. Your grocery delivery startup The beautiful life often appears as an example of a success story: De Voisins and her team would like to see more groundbreaking successes like that, and she is confident there will be more to come.

Personal opinion:

“The launch of Time4 to support French entrepreneurs is a positive step towards promoting diversity and inclusion in the entrepreneurial landscape. Initiatives like this offer an opportunity to empower talents that may otherwise face challenges in accessing funding. If implemented effectively, this programme will not only contribute to supporting innovation, but will also boost economic growth by leveraging diverse ideas and expertise.”