Cannabis industry business social network Leafwire has completed an investment round of $1 million, Benzinga has learned.
Using popular crowdfunding platform Seedinvest, Leafwire was able to secure the funds in the form of a convertible note and promote the raise through an aggressive marketing campaign targeting its large member base of close to 40,000 members.
This provided each member the unique opportunity to own a piece of the company.
Sarah Haas, venture growth analyst at SeedInvest, told Benzinga she was impressed with Leafwire’s “multi-channel approach” to promoting their SeedInvest campaign.
“Overall, by using their reach into their own cannabis network in addition to the industry as a whole, they were able to successfully engage a subset of interested prospects who might not have otherwise known about the opportunity,” she said.
According to Leafwire CEO Peter Vogel, the funding will allow the company to dramatically ramp up its growth trajectory in 2021.
“An unprecedented number of states will legalize adult-use and Leafwire is ready to grow alongside that massive expansion,” he told Benzinga. “The funding will allow us to radically increase member acquisition efforts as well as speed up feature development and site enhancement to provide members with the most functionality and value as possible.”
The executive also revealed plans to further develop its “Leafwire Agency” arm, an agency-style provider of media, advertising, and digital marketing services for brands looking to target the cannabis industry.
The company has plans to develop a mobile app to attract new demographics, a dispensary directory, and a premium version of the website too.
“A mobile app will increase overall engagement from all members as they can now log-in from their bed as they wake-up in the morning, while sitting or car or just sitting in a doctor’s office,” Vogel said. “Now Leafwire can be with our members everywhere they go.”
Leafwire will be looking towards a Series A Round in the second half of 2021.
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