Clasp, a healthcare workforce infrastructure company, announced a $20 million Series B funding round to expand its clinician retention platform and scale its ROTC-style hiring model across the U.S. healthcare system. The round was led by Crosslink Capital and Digitalis Ventures, with participation from Juvo, Strada Education, prior investors, and several operators.
The company is focused on addressing a persistent workforce challenge in healthcare, where nearly half of clinicians leave their first job within two years, creating costly turnover and ongoing hiring cycles for health systems. Clasp’s model is designed to shift incentives away from short-term recruitment tactics toward long-term retention strategies.
At the core of Clasp’s approach is its Loan-Linked Hiring model, which enables healthcare employers to engage clinicians before graduation and tie student loan repayment to employment tenure. Instead of offering large upfront sign-on bonuses, employers commit to repaying student debt over time, aligning financial incentives with retention and workforce stability.
The model comes at a time when financial pressures on clinicians are expected to intensify, particularly with new federal loan caps taking effect in July 2026. These changes are likely to increase the burden on early-career healthcare professionals, many of whom already face more than $100,000 in student debt, further influencing employment decisions and competition for talent.
Clasp reports that its approach delivers retention rates approximately 2.5 times higher than traditional hiring models, with more than $130 million in employer commitments across thousands of programs nationwide. The company works with a growing network of healthcare organizations, including Boston Children’s Hospital, Memorial Sloan Kettering, Northwestern Medicine, Novant Health, OhioHealth, and VCA Animal Hospitals, along with newer customers such as BAYADA, Bergen New Bridge, Confluent Health, Therapy Partners Group, UMass Memorial Health, and UNC Health Appalachian.
The newly raised capital will be used to accelerate Clasp’s expansion across health systems, deepen partnerships with universities, and scale its infrastructure connecting employers, students, academic institutions, and financial partners. The company aims to build a more predictable and sustainable talent pipeline by aligning financial support with long-term employment commitments.
Founded in 2018 by Tess Michaels, Clasp is positioning student loan repayment as a core component of workforce infrastructure rather than a supplemental benefit, seeking to help healthcare organizations reduce turnover, stabilize teams, and improve long-term clinician retention.
KEY QUOTES:
“Healthcare pays people to join and then is surprised when they leave. If we want clinicians to stay, incentives must reward staying. When financial support grows over time instead of expiring after a short clawback window, behavior changes. Teams stabilize. Vacancy cycles decline.”
Tess Michaels, Founder And CEO Of Clasp
“This is about more than solving a staffing challenge – it’s about reimagining how we support the next generation of healthcare heroes. We’re proud to lead the way in Ohio with a model that supports students financially, professionally, and emotionally – long before they ever walk across the graduation stage. With retention-driven loan repayment, we’re investing in meaningful workforce stability. Many of the students eligible for the program have already completed their clinical rotations at OhioHealth facilities, which helps ensure the organization retains and grows the local talent it helps train. When students feel supported, they’re more likely to stay, to lead and to give back. This program strengthens the bond between OhioHealth and the communities we serve – starting from day one.”
Tristan Hall, Senior Vice President And Chief Human Resources Officer At OhioHealth
“At Novant Health, we’re focused on building a healthier future for everyone – from the communities we serve to the team members who deliver care every day. Supporting students now is key to developing the workforce of tomorrow. Through our partnership with Clasp, we’re helping new nurse anesthetists repay a portion of their student loans, with the goal of expanding this benefit to other roles in the future. By easing financial burdens early, we’re fostering loyalty, engagement, and a strong foundation for long-term success.”
Lauren King, VP Talent Strategy And Workforce Management At Novant Health
“Healthcare has been stuck in a cycle of hiring and rehiring. Clasp addresses the economic drivers behind that cycle, which represents tens of billions of dollars in wasted spend. By aligning financial support with tenure, the company is building infrastructure for a more stable clinical workforce.”
Gabby Contro, Partner At Crosslink Capital
