Key Takeaways
- • Janet Bannister's Staircase Ventures closed its second fund at $50 million CAD, exceeding the original $40 million target by $10 million, demonstrating strong investor confidence in early-stage venture capital despite sector headwinds.
- • The fund secured backing from BDC Capital (Business Development Bank of Canada), InBC Investment Corp. (B.C. government), and University of Alberta's endowment fund—marking only the third Canadian VC firm the U of A endowment has supported.
- • Staircase's debut fund ($34 million, raised in 2023) has generated a 50% average annual internal rate of return, placing it in the top 10 percent of North American funds from that vintage, though gains remain largely unrealized.
- • The fundraising success contrasts sharply with 2025's "worst year for Canadian VC fundraising in nearly a decade," according to RBC survey data, and reflects Bannister's track record as one of Canada's most established startup financiers, including her prior eBay executive experience.
- • Additional institutional backers include Royal Bank of Canada, Northleaf Capital Partners, PointClickCare co-founder Mike Wessinger, and former Shopify chief product officer Craig Miller, signaling cross-sector confidence in the firm's early-stage investing thesis.
Summary
Janet Bannister has successfully closed Staircase Ventures' second fund at $50 million CAD, surpassing its original $40 million target by $10 million. The achievement stands out against a challenging fundraising environment for Canadian venture-capital firms, which experienced their worst year in nearly a decade during 2025, according to an RBC survey cited in the reporting.
The fund attracted a diversified investor base reflecting both institutional and high-net-worth participation. New anchor investors include BDC Capital (the investment arm of Canada's Business Development Bank), InBC Investment Corp. (a B.C. government-backed fund), and the University of Alberta's endowment fund. According to U of A portfolio manager Richard Iwuc, the endowment backed the firm based on Bannister's "strong background," citing her tenure as an eBay executive overseeing the launch of Kijiji, the classified business platform, in the 2000s. The University of Alberta investment marks only the third Canadian VC firm the endowment has supported, underscoring the selective nature of its venture commitments.
Staircase's first fund, which raised $34 million in 2023, has demonstrated exceptional early performance, generating an average 50% annual internal rate of return—placing it in the top 10 percent of North American funds from the 2023 vintage. However, these returns remain largely unrealized on paper and have not yet converted to distributed cash for investors. The strong track record provides material evidence supporting Bannister's reputation and likely contributed to oversubscription for Fund II.
The fundraising success occurs amid structural headwinds in the Canadian VC sector. Ten-year Canadian VC returns have lagged the S&P 500 Index, according to market-research firm Cambridge Associates. Additionally, software company valuations have continued to decline in recent months as investors weigh the disruptive potential of AI-based offerings, placing additional pressure on venture managers to generate returns and justify capital deployment. Other investors backing Staircase Ventures include Royal Bank of Canada, Northleaf Capital Partners, PointClickCare founder and executive chairman Mike Wessinger, and Craig Miller, former chief product officer at Shopify, reflecting institutional and operator-level validation of the firm's investment approach.
The fund attracted a diversified investor base reflecting both institutional and high-net-worth participation. New anchor investors include BDC Capital (the investment arm of Canada's Business Development Bank), InBC Investment Corp. (a B.C. government-backed fund), and the University of Alberta's endowment fund. According to U of A portfolio manager Richard Iwuc, the endowment backed the firm based on Bannister's "strong background," citing her tenure as an eBay executive overseeing the launch of Kijiji, the classified business platform, in the 2000s. The University of Alberta investment marks only the third Canadian VC firm the endowment has supported, underscoring the selective nature of its venture commitments.
Staircase's first fund, which raised $34 million in 2023, has demonstrated exceptional early performance, generating an average 50% annual internal rate of return—placing it in the top 10 percent of North American funds from the 2023 vintage. However, these returns remain largely unrealized on paper and have not yet converted to distributed cash for investors. The strong track record provides material evidence supporting Bannister's reputation and likely contributed to oversubscription for Fund II.
The fundraising success occurs amid structural headwinds in the Canadian VC sector. Ten-year Canadian VC returns have lagged the S&P 500 Index, according to market-research firm Cambridge Associates. Additionally, software company valuations have continued to decline in recent months as investors weigh the disruptive potential of AI-based offerings, placing additional pressure on venture managers to generate returns and justify capital deployment. Other investors backing Staircase Ventures include Royal Bank of Canada, Northleaf Capital Partners, PointClickCare founder and executive chairman Mike Wessinger, and Craig Miller, former chief product officer at Shopify, reflecting institutional and operator-level validation of the firm's investment approach.
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