Clearco Business Cash Advance review

What is Clearco?

Clearco is a new-age online lending platform designed to give your web-enabled business easy access to capital growth financing. It is led by Michele Romanow, who is currently one of the Dragons on Dragons’ Den.

How does Clearco work?

Clearco is a new-age online lending platform designed to give your web-enabled business easy access to capital growth financing. It’s run by several successful investors, including Michele Romanow of CBC Dragons’ Den. Its team is well-versed in helping emerging companies harness their untapped potential.

All you need to do to apply for a cash advance is fill out a quick online application and give Clearco access to your revenue and marketing accounts. From there, a team of industry experts will evaluate the performance of your company and assign funding if you qualify. Once you’re approved, your Clearco funding will usually be deposited within 24 hours so you can put it straight to work.

Updates about Clearco

June 23, 2021: Clearco provides $50 million in funding to Caravan, a startup that helps celebrities build companies around their brands. Caravan is a joint venture with the talent agency CAA.

July 8, 2021: Clearco raised US$215 million in funding from global tech investor SoftBank. Clearco is the first Canadian startup to get funding from this giant Japanese investor.

July 8, 2021: Clearco provides $10,000 through the ClearAngel program to Tiannia Barnes, an affordable provider of luxury shoes for women. ClearAngel is a platform for early-stage founders that provides capital, data-driven advice and access to 500+ investors.

Pros and cons

What should I know before I apply?

Eligibility requirements

To apply for a Clearco business cash advance, you’ll need to meet the following criteria:

• Be at least 18 years old (and 19 in some provinces).
• Be a citizen or resident of Canada.
• Own a business that is incorporated and in operation for at least six months.
• Be working in the eCommerce or Consumer SaaS (software as a service) sector.
• Have an average monthly revenue of at least $10,000

Required documents and information

• Government-issued ID. You’ll have to show identification like your driver’s licence or passport to verify your ID.
• Verification numbers. You’ll be required to supply your Social Insurance Number (SIN) and Employer Identification Number (EIN).
• Direct deposit. You’ll need to link your bank account to Clearco‘s platform so it can deposit your funds and directly debit your account for repayment.
• Business bank statements. You’ll have to show six months of your business’s most recent bank statements to give an idea of its current cash flow.
• Proof of incorporation. You’ll need to upload your Articles of Incorporation to prove that your business is incorporated.

Compare other business loans

How to apply

If you check off all the boxes outlined above and you’re ready to apply for an advance with Clearco, you’ll need to do a couple of things to get started.

1. Complete the online application, which includes providing your name, email address, personal details, proof of ID and relevant documents.
2. Review and submit your application.
3. Get verified and approved in less than 24 hours if you’re eligible for an advance.

Bottom line

Clearco Business Cash Advance are designed to give you quick and easy access to the money you need to fund your small business. You’ll repay your cash advance based on a percentage of your monthly revenue and you can even qualify with bad credit as long as your business is performing well.

Frequently asked questions

• How much does an advance cost?

  The cost will depend on factors like your business metrics and overall performance. You’ll typically be required to pay a fee between 6% and 12% on the full amount of your cash advance.

• How long does it take to receive funds?

  As soon as you sign your contract, you should get your money within 24 hours, though large amounts can sometimes take a bit longer. If you have a Clearco Marketing Card, it should be available on your dashboard in the same day.

• How much will I have to repay each month?

  You’ll have to repay your cash advance based on a percentage of each transaction you make (usually between 1% and 20%). Once you decide on this percentage with your Clearco account manager, it will remain in effect until your advance is repaid in full.

• Can I qualify for Clearco funding if I run a startup?

  Unfortunately, no. You can only qualify for Clearco funding if you’ve been operational for six months. You’ll also need at least $10,000 in monthly sales to be approved for a cash advance.

• What if I have bad credit?

  Your credit score won’t factor into whether or not you qualify for an advance as long as your business is performing well. You will have to meet other eligibility criteria such as having a minimum of $10,000 in monthly sales.

• Who can I contact if I have questions about my account?

  You can contact a customer service representative at any time by email or phone. You can also log in to your customer portal for more information about the specifics of your account.

• Is my information safe?

  Yes. Any information you share with Clearco is secured by military grade encryption. This means that end-users can’t see or store your bank login information, or modify your account data.