Clearbanc and Silicon Valley Bank Partner to Power New Capital Program for Pre-Venture Funded Startups

Rhea-AI Summary

Clearbanc and Silicon Valley Bank (SIVB) have announced a strategic partnership aimed at fostering the growth of US-based early-stage tech companies. Clearbanc plans to deploy over $50 million in non-dilutive capital for eligible SaaS and e-commerce clients, enhancing their access to growth financing, advertising, and inventory solutions. This collaboration will also offer discounted fees and valuation consultations, alongside SVB's comprehensive banking products. Clearbanc has already invested $1 billion in over 3,300 companies, focusing on innovative growth financing.

Positive

• Partnership enables access to $50 million in non-dilutive capital for tech companies.
• Clearbanc's funding model allows for faster financing with personalized offers in 20 minutes.
• Combined expertise of Clearbanc and SVB promotes growth for early-stage companies.

Negative

• None.

SANTA CLARA, Calif., Dec. 8, 2020 /PRNewswire/ -- Clearbanc, the world's largest e-commerce investor and funding platform, and Silicon Valley Bank (SVB), the bank of the world's most innovative companies and their investors, today announced a new partnership to accelerate the growth of US-based early-stage technology companies.  

Clearbanc expects to deploy more than $50 Million in non-dilutive capital to SVB's US-based Startup Banking software and e-commerce clients to help advance their businesses. The partnership's joint offering provides eligible SaaS and e-commerce companies with access to Clearbanc's revenue-based advances, which can be used for growth, advertising spend and Clearbanc's recently launched Inventory Financing product. The offer also includes discounted fees and a complementary valuation consultation using Clearbanc Valuation. Companies will have access to SVB Edge, which offers everything a young company needs to jump-start its business from day one, including a checking account, business debit card, online banking, several wires each month, unlimited ACH payments and more. SVB has partnered with thousands of founders for more than 35 years and works with half of all venture-backed tech and life science companies in the US.

"Clearbanc is a market leader in providing growth and marketing financing for early-stage D2C brands," says Ashraf Hebela, Head of Startup Banking at Silicon Valley Bank. "By partnering, our joint US clients can accelerate their growth with financing from Clearbanc and banking products and services from SVB. As companies continue to scale, there is a seamless transition from Clearbanc capital to SVB debt."

Through a combination of AI and complex data science, Clearbanc provides non-dilutive, unsecured growth capital to companies not yet a fit for SVB's lending products. Clearbanc's proprietary algorithm is what allows them to issue personalized funding offers in as little as 20 minutes.

To date, Clearbanc has deployed more than $1 billion to over 3,300 e-commerce and software companies, helping founders across multiple industries scale and grow their business. As a result, Clearbanc has portfolio companies in all 50 US States, including leading D2C brands like Haus, The Sill, Magic Spoon, Public Goods and Farmgirl Flowers, and has invested in 8x more female founders than traditional VC firms to date.

"Silicon Valley Bank has been the bank of choice for some of the world's most iconic founders and investors for decades," says Michele Romanow, Co-Founder and President at Clearbanc. "Clearbanc is the pioneer of a new funding model for a new generation of entrepreneurs, and this partnership allows both Clearbanc and SVB to combine our biggest strengths and provide a suite of financial products to fuel the next wave of entrepreneurship and innovation."

Start your Clearbanc and SVB Startup Banking Application here: www.clearbanc.com/svb

About Silicon Valley Bank
For more than 35 years, Silicon Valley Bank (SVB) has helped innovative companies and their investors move bold ideas forward, fast. SVB provides targeted financial services and expertise through its offices in innovation centers around the world. With commercial, international and private banking services, SVB helps address the unique needs of innovators. Learn more at svb.com.

About Clearbanc
Founded in 2015 by Michele Romanow (Canada's Shark Tank), Andrew D'Souza, Ivan Gritsiniak, Charlie Feng, and Tanay Delima, Clearbanc is changing the way companies raise money by providing fast, affordable capital to online brands and B2B SaaS companies. Clearbanc's data-driven algorithm has invested in 3,300+ companies across 50 states and backed 8x more female-founders than traditional VC. Clearbanc customers span small businesses across the United States, Canada, and the UK to some of the fastest-growing consumer brands today, like Leesa Sleep, Farmgirl Flowers, and Public Goods. For more information visit Clearbanc.com and @clearbanc.

 

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SOURCE Silicon Valley Bank

FAQ

What is the new partnership between Clearbanc and Silicon Valley Bank about?

The partnership aims to accelerate the growth of US-based early-stage technology companies by providing over $50 million in non-dilutive capital.

How much capital is Clearbanc deploying for Silicon Valley Bank clients?

Clearbanc plans to deploy more than $50 million in non-dilutive capital for SVB's US-based startup clients.

What benefits do eligible companies receive through this partnership?

Eligible companies gain access to revenue-based advances, discounted fees, and valuation consultations.

How long has Silicon Valley Bank been supporting innovative companies?

Silicon Valley Bank has partnered with founders for over 35 years, focusing on tech and life science sectors.

What is Clearbanc's funding model for early-stage companies?

Clearbanc offers revenue-based financing through a proprietary algorithm that issues funding offers within 20 minutes.