New York Cannabis Startup Leaflink Raises $3 Seed Round
There’s something cliche about a marijuana startup announcing a “seed” round. For those new to the whole startup world, the seed round is the first round of funding usually consisting of an angel investor or angel network, friends, and family. On Monday, Alleywatch.com reported that the New York based startup, Leaflink raised a $3 million dollar seed round.
The funding round was led by Lerer Hippeau Ventures. This was their first investment in the cannabis space. Casa Verde Capital, Phyto Partners, Wisdom VC, and Wan Li Zhu and Paul Ciriello of Fairhaven Capital also participated. Thus proving the cannabis industry is a hot space for startups.
Now they have a solid foundation of funds to continue to develop and implement their e-commerce platform. Leaflink provides a market place for over 800 retailers, carrying a variety of cannabis products from Colorado and Washington. Previously, cannabis retailers managed these transactions through phone calls, emails, texts, and paper. Leaflink provides a centralized tech based platform that puts all of the retailers and vendors in a much manageable environment.
Co-Founder and CEO Ryan Smith along with the other founders came from the B2B space. They were able to take knowledge gained from their B2B experience and build a powerful tool for the cannabis industry.
“Cannabis represents a once-in-a-generation opportunity to define, rather than disrupt, an industry. We’ve each founded and exited companies in the b2b space, and so we are hyper-focused on supply chain inefficiencies that slow down business growth. Through LeafLink, the supply chain process will not fall victim to the long-term inefficiencies that have been ingrained in alcohol distribution, for example. The market is proven, growing and gaining general acceptance quickly; now is the time to bring great tools, built from the ground up, to professionals in the space.” Smith told Alleywatch.
Leaflink is targeting legal cannabis brands and retailers across the country. Currently, multiple analysts are predicting that cannabis will be a $20 billion dollar legal industry by 2020. Leaflink’s opportunity continues to grow as more and more states legalize for both medicinal and recreational use. You can check out Leaflink here.