The CEO of Clearco, which provides capital to e-commerce businesses in exchange for a cut of future revenue, has resigned the post, according to a person with direct knowledge of the situation. The departing leader, Michele Romanow, co-founded Toronto-based Clearco in 2015 and is one of Canada’s most prominent entrepreneurs. She is being replaced by Andrew Curtis, who has been a consultant to the company on raising capital, this person said.
Formerly known as Clearbanc, the startup raised $1 billion in debt and equity from Y Combinator, SoftBank Vision Fund, Silicon Valley Bank and Oak HC/FT, among others, according to PitchBook. Valued on paper at $2 billion in a 2021 funding round, Clearco became a poster child of the 2020-1 fintech boom and subsequent collapse as higher interest rates hurt online commerce firms. It generated close to $100 million in revenue in 2021 but its business growth ground to a halt since then, people with knowledge of the matter have said.