Canadian Startup News of the Week (6/12/22)

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Plus: The results are in for Tobi Lütke at Shopify.

Welcome to the BetaKit Startup Stories of the Week! Here you’ll find the week’s top news, features and editorials published on BetaKit. If you’d rather have this update delivered to your inbox every week, be sure to subscribe to the BetaKit newsletter using the form at the bottom of this page.

Top stories of the week


Legaltech unicorn Clio is now also a centaur after reaching $100 million USD in ARR stage

After becoming a unicorn last year, Clio has now surpassed $100 million in annual recurring revenue (ARR), achieving centaur status — a title used to describe privately held software-as-a-service companies with more than $100 million in ARR. According to San Francisco-based VC firm Bessemer’s State of the Cloud 2022 report, “being a centaur is the new milestone to celebrate.”


Shopify shareholders approve increased voting power for CEO Toby Lüttke, 10-for-1 stock split

The 40 percent voting stake gives Lütke, his family and his affiliates 40 percent of the total voting power as long as he remains with the company in an official capacity. If Lütke retires from the company, the founder’s share will have a sunset clause; the founding share cannot be transferred. However, even if the CEO’s equity stake is reduced to 1.1 percent, he will not be required to give up his voting rights as long as he remains with Shopify.


Clearco expands in Germany while cutting staff in Ireland

Irish media outlet Independent.ie first reported last week that Clearco had cut around 10 percent of its staff in Dublin. A Clearco spokesman confirmed that layoffs had been made at BetaKit but claimed they were less than 10 per cent of the total staff in Dublin. The spokesman did not confirm the exact number of layoffs; at the time of the expansion announcement, Clearco hired a team of 75 people in Dublin.


1Password adds Shopify alum Erin Zipes as chief legal officer, doubling C-suite in past year

1Password CEO Jeff Shiner said Zipes’ experience in guiding Shopify through its IPO and her commitment to diversity “will be essential” to the company’s growth trajectory. With the addition of Zipes, 1Password has doubled the size of its C-suite in the past year.


Thin Air Labs Secures $20M in Initial Close for Prairie-Focused Venture Capital Fund

Thin Air Labs launched around 2019; around the time Lochrie and Wave co-founder Kirk Simpson sold the company to H&R Block in 2019 for C$537 million. Simpson remained at Wave while Lochrie moved to Calgary, where he has roots, in pursuit of Prairie’s evolving technology. He co-founded Thin Air with Jim Gibson and Greg Hart (Gibson has since left Thin Air for the School of Advanced Digital Technologies at the Southern Alberta Institute of Technology).


Hopper launches new FinTech products as it aims to build a ‘super travel app’

The new products are part of Hopper’s ongoing push into new verticals and build on some of FinTech’s previous products, such as the price freeze or flight interruption guarantee. While the new products are aimed at consumers with a downloadable app, they are also available through Hopper’s B2B initiative, Hopper Cloud. The latter allows travel providers to integrate and distribute Hopper FinTech and travel agency content and has provided a large portion of the company’s revenue in recent years.


Recent funding, acquisitions and layoffs

  • BUR – Vybe Network – $13.1 million (read more)

  • CAL – Government of Alberta to invest $23 million in Calgary Quantum Center (read more)

  • CAL – PayShepherd – $3.1 million (read more)

  • WAT – Accelerator Center Secures $10M from FedDev Ontario (read more)

  • TOR – Delphia – $60 million (read more)

  • TOR – Virgo Group – $10 million (read more)

  • TOR – Mash – $7.5 million (read more)

  • TOR – Orna – $1 million (read more)

  • MTL – Flare Systems – $9.5 million (read more)

  • MTL – IntelliSports – $2.5M (read more)


    WHAT’S BEHIND THE EXPLOSION IN ACQUISITION ENTREPRENEURSHIP?

    “It’s like getting married and writing your prenuptial agreement and your divorce agreement the day you get married.”

    Elizabeth McRae (Village Wealth) explains how YouTubers, Boomers and soft banks are fueling an explosion in acquisition entrepreneurship.


    WHY CANADIAN TECH FOUNDERS NEED BETTER MENTORS

    “We don’t really have programming to train mentors, it’s all tribal.”

    Brice Sheschuk (Wind Mobile, Globalive) discusses the CDL session that gave him imposter syndrome, prompting the launch of MindFrame Connect to improve the craft of mentoring and create more resilient entrepreneurs.


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