Key Takeaways
- • Janet Bannister's Staircase Ventures closed its second fund at $50 million CAD, exceeding its original $40 million target by 25%, defying a challenging fundraising environment for Canadian venture capital in 2025.
- • The fund attracted institutional-quality investors including BDC Capital, British Columbia's InBC Investment Corp., University of Alberta's endowment fund, Royal Bank of Canada, Northleaf Capital Partners, and notable angels including PointClickCare co-founder Mike Wessinger and ex-Shopify CPO Craig Miller.
- • Staircase Ventures' first fund ($34 million, launched in 2023) has generated a 50% average annual internal rate of return, placing it in the top 10% of North American funds from that vintage, though gains remain unrealized on paper.
- • The fundraising success occurs against headwinds: Canadian VC experienced one of its worst fundraising years in nearly a decade in 2025, and 10-year VC returns have lagged the S&P 500 Index, while software company valuations continue to face pressure from AI displacement concerns.
- • Bannister's track record—including executive experience with eBay during the Kijiji launch and previous management roles at Real Ventures—positions her as a differentiated operator in an underperforming asset class.
Summary
Janet Bannister has successfully closed the second fund for her Toronto-based seed-stage venture capital firm Staircase Ventures at $50 million CAD, surpassing her original fundraising target of $40 million by $10 million. The achievement is notable given the current headwinds facing Canadian venture capital, which experienced one of its weakest fundraising years in nearly a decade during 2025, according to an RBC survey referenced in the announcement.
The fund's investor syndicate demonstrates institutional confidence in Bannister's strategy and execution. Anchor investors include BDC Capital (the venture arm of the Business Development Bank of Canada), InBC Investment Corp. (British Columbia's government-backed investment vehicle), and the University of Alberta's endowment fund—marking only the third Canadian VC firm the university has backed. The investor base also includes established financial institutions and prominent entrepreneurs: Royal Bank of Canada, Northleaf Capital Partners, PointClickCare co-founder and executive chairman Mike Wessinger, and Craig Miller, former chief product officer of Shopify. University of Alberta portfolio manager Richard Iwuc attributed the backing to "Janet's strong background," specifically citing her experience as an eBay executive overseeing the launch of Kijiji, the classified business platform.
The fundraising success carries particular significance within a sector under stress. Market-research firm Cambridge Associates has documented that 10-year venture capital returns have underperformed the S&P 500 Index, while software companies continue to experience valuation declines amid concerns about displacement by artificial intelligence solutions. Despite these macro conditions, Bannister's first fund—which raised $34 million—has generated an average 50% annual internal rate of return, positioning it in the top 10% of North American venture funds launched in 2023. However, the fund note indicates these remain paper gains that have not yet crystallized into realized cash distributions for investors, a critical distinction for limited partners evaluating track record.
The close of Staircase Ventures Fund II reflects Bannister's differentiated positioning within Canadian venture capital and demonstrates that selective, early-stage managers with proven operational backgrounds and strong networks can access institutional capital even in challenging fundraising cycles. The fund will continue deploying capital in the $500,000 to $2 million investment range focused on early-stage Canadian technology companies.
The fund's investor syndicate demonstrates institutional confidence in Bannister's strategy and execution. Anchor investors include BDC Capital (the venture arm of the Business Development Bank of Canada), InBC Investment Corp. (British Columbia's government-backed investment vehicle), and the University of Alberta's endowment fund—marking only the third Canadian VC firm the university has backed. The investor base also includes established financial institutions and prominent entrepreneurs: Royal Bank of Canada, Northleaf Capital Partners, PointClickCare co-founder and executive chairman Mike Wessinger, and Craig Miller, former chief product officer of Shopify. University of Alberta portfolio manager Richard Iwuc attributed the backing to "Janet's strong background," specifically citing her experience as an eBay executive overseeing the launch of Kijiji, the classified business platform.
The fundraising success carries particular significance within a sector under stress. Market-research firm Cambridge Associates has documented that 10-year venture capital returns have underperformed the S&P 500 Index, while software companies continue to experience valuation declines amid concerns about displacement by artificial intelligence solutions. Despite these macro conditions, Bannister's first fund—which raised $34 million—has generated an average 50% annual internal rate of return, positioning it in the top 10% of North American venture funds launched in 2023. However, the fund note indicates these remain paper gains that have not yet crystallized into realized cash distributions for investors, a critical distinction for limited partners evaluating track record.
The close of Staircase Ventures Fund II reflects Bannister's differentiated positioning within Canadian venture capital and demonstrates that selective, early-stage managers with proven operational backgrounds and strong networks can access institutional capital even in challenging fundraising cycles. The fund will continue deploying capital in the $500,000 to $2 million investment range focused on early-stage Canadian technology companies.
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