Last week, I attended an event sponsored by the New York Times here in San Francisco at the Yerba Buena Center. Kim Severson, who recently won a Pultizer for her reporting on sexual harassment and the restaurant industry along with a team of writers, interviewed a panel of Bay Area based women chefs about the state of the restaurant industry in California. Reem Assil, Dominique Crenn and Tanya Holland are three well respected restaurateurs/chefs who currently own and operate businesses here in the Bay Area.
Several themes emerged from the conversation. Of course, sexual harassment was central to the conversation. But something else came up which made a light bulb go off for me. Tanya mentioned how difficult it is for her to find investors. Even with all her experience and visibility, her commitment to her community, she has struggled with this.
What is this about? Prior to this moment, why is that men have managed to attract investment despite their track records with settling out of court for sexual harassment claims, while women have so much struggle with this? And does being a woman of color play into this? Or the community that she serves?
Two things come to mind here for me.
One, the investors who bankroll the Mario Batalis of the world are not interested in the kind of business that Tanya is committed to. They want a ROI and they need to understand the attraction of the business. Dominique had had less trouble raising capital because she has a fine dining establishment. Rich folks get that. They want the kind of visibility that being an investor in her restaurants bring. Tanya’s food is for all of us, not just a group of people who can afford $400/person dinner. So it takes a certain kind of investor to see it’s value for themselves.
Two, I believe to raise capital for her businesses, and businesses like hers, it may require restaurant owners like Tanya to think of different ponds to fish in. Just like Dominique Crenn can go to investors who can afford to eat at her restaurants, maybe we can create a pond of people who invest in restaurants like Tanya’s. Not for the profit they are looking to make, but the communities they are trying to build. Like a capital fund for community based businesses. Like a BIG capital fund.
Real estate developers, are you listening? Let’s dig a pond…