Clearco

{{short description|Canadian venture capital firm}}

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Clearco is a funding company led by Andrew Curtis{{cite web |last1=Soltys |first1=Douglas |title=Clearco CEO Michele Romanow steps down as company cuts almost 30 percent of staff |url=https://betakit.com/michele-romanow-clearco-ceo-layoffs/ |website=Betakit |accessdate=15 January 2023}} that specializes in non-dilutive revenue-share agreements with start-ups. Clearbanc claims to make equity-free investments in businesses within 48 hours based on information provided on the two metrics ad spend and unit economics and calls this ‘The 20-Min Term Sheet’.{{cite web |last=Clark |first=Kate |title=Clearbanc plans to disrupt venture capital with ‘The 20-Min Term Sheet’ |url=https://techcrunch.com/2019/04/03/clearbanc-plans-to-disrupt-venture-capital-with-the-20-min-term-sheet/ |website=Techcrunch |date=3 April 2019|accessdate=1 March 2023}} Unlike venture capital firms that require stock, Clearco takes a fee on investments up to $10 million. Businesses apply online, and its payback fees range from 6–12.5%.{{cite web |last1=Efron |first1=Sarah |title=Does this Dragons’ Den star’s financing startup Clearbanc live up to its lofty promises? |url=https://www.theglobeandmail.com/business/small-business/money/article-does-this-dragons-den-stars-financing-startup-clearbanc-live-up-to/ |accessdate=4 August 2019 |website=The Globe and Mail}}

It is a Canadian business founded by Michele Romanow and Andrew D'Souza in 2015, and headquartered in Toronto. It partly uses Artificial Intelligence to make decisions on potential investments. As of August 2019, it has invested in 791 businesses, has a stated monthly average revenue of $121 million and raised $1 billion.{{cite web |last1=Clark |first1=Kate |title=Investors bet another $50M on Clearbanc's revenue share model |url=https://techcrunch.com/2019/07/31/clearbanc-300m/ |website=Tech Crunch |accessdate=4 August 2019}}{{cite web |last1=Lisovetsky |first1=Michael |title=Can Facebook Advertising Work for Luxury Brand Startups? |url=https://adage.com/article/industry-insights/can-facebook-advertising-work-luxury-brand-startups/2183831 |website=AdAge |accessdate=4 August 2019}}

In 2021, Clearbanc rebranded itself Clearco to reflect the goal of long-term partnerships with clients based not only on financing.{{cite web |last=Mascarenhas |first=Natasha |title=Clearbanc rebrands its way into a unicorn |url=https://techcrunch.com/2021/04/20/clearbanc-unicorn-clearco/ |website=Techcrunch |date=20 April 2021|accessdate=1 March 2023}} Between 2022 and 2023, the company experienced financial difficulties in a changing economic environment. Clearco laid off approximately 72% of their staff and saw the exit of its two co-founders Romanow and D'Souza.{{Cite web |last=Mascarenhas |first=Natasha |date=2023-01-17 |title=Clearco co-founder Michele Romanow steps down, cuts 30% of staff |url=https://techcrunch.com/2023/01/17/clearco-co-founder-michele-romanow-steps-down-cuts-30-of-staff/ |access-date=2025-01-23 |website=TechCrunch |language=en-US}}{{Cite web |last=Soltys |first=Douglas |date=2023-01-16 |title=Clearco CEO Michele Romanow steps down as company cuts almost 30 percent of staff {{!}} BetaKit |url=https://betakit.com/michele-romanow-clearco-ceo-layoffs/ |access-date=2025-01-23 |language=en-CA}}