In this episode of Work in Progress, I'm joined by Mariela Salas, Ph.D., executive director of SomosVC, a nonprofit focused on accelerating and elevating the presence of Latinos and Latinas in the venture capital industry. The organization argues that if more Latinos become VCs, more money will flow to diverse startup founders.

In simple terms, venture capital itself is a type of financing for startups and small businesses with very high, long-term growth potential. Despite making up 19.5% of the U.S. populations, less than 2% of all professionals in the venture capital industry and ecosystem are Latino.

"There are various factors that are leading to us being underrepresented within the ecosystem. There are cultural barriers, socioeconomic barriers, lack of access, and lack of opportunity," says Salas. "And I think there's this big myth, especially for Latinos, that we do not, or have not been creating high-growth companies."

Salas says typically venture capitalists tend to come from Ivy League schools such as Stanford and Harvard. "They go on to do some investment banking for a little while, or consulting, and then after that they decide to make the transition into VC.

"In addition to wanting to change or diversify the folks who are able to break into the industry, we're also thinking about how do we diversify geographically, and how do we diversify in thought? Meaning how do we diversify and bring folks into the industry who didn't necessarily go to one of these Ivy League schools," she adds.

In our conversation, Salas and I discuss how SomosVC is trying to change the venture capital industry through career development, mentorship programs, and fellowships. She describes the nonprofit's eight-week course which includes hands-on practicums and case studies on how to start your own fund.

Salas also explains which cities are ripe for these new VC funds and how adding more Latinos to the venture capital industry will lead to more Latino-owned startups.

You can listen to the entire conversation here, or wherever you get your podcasts.

Episode 334: Dr. Mariela Salas, executive director, SomosVCHost & Executive Producer: Ramona Schindelheim, Editor-in-Chief, WorkingNationProducer: Larry BuhlTheme Music: Composed by Lee Rosevere and licensed under CC by 4Transcript: Download the transcript for this episode hereWork in Progress Podcast: Catch up on previous episodes here