The market exit comes less than a year after Clearco began expanding its international operations.
Clearco is scaling back its presence beyond North America and focusing on Canada and the United States (US).
Clearco has confirmed to BetaKit that it is handing off its business in its overseas markets to UK-based revenue-financing firm Outfund in what Clearco described as a “strategic partnership.”
As first reported by The Logic, Clearco is ending its international operations and laying off all of the company’s staff in those countries.
Clearco told BetaKit that its partnership with Outfund does include any of Clearco’s staff, technology, intellectual property, infrastructure, or operations.
These steps come a month after Clearco laid off 125 employees, or a quarter of its staff, citing tough macroeconomic conditions. The Logic has reported that today’s layoffs impact 60 members of Clearco’s team—approximately 16 percent of the company’s workforce.
RELATED: Clearco cuts a quarter of staff amid “significant headwinds”
“As we shift our focus to our Canadian and US business for the time being, finding a partner for our International clients that shares our mission to democratise funding for founders has been our focus,” said Clearco founder and CEO Michele Romanow, who expressed regret regarding the layoffs.
The announcement of these layoffs follows a tumultuous time for Clearco. The company has been quietly downsizing in recent months, as reported by The Logic, with multiple sources indicating to BetaKit that Clearco had made more layoffs than it had initially claimed in June.
Earlier this summer, Clearco laid off members of its Irish team just three months after entering that market and sharing plans to add 125 employees there. Even as it made those Irish cuts, Clearco stated that it was expanding operations into Germany.
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