At a time when adhering to regulations is key for marijuana businesses, Denver-based compliance software company Simplifya has secured $1 million in the first stage of a Series B funding round.
Simplifya said it has additional investors lined up to close a total funding round of $3 million.
According to a news release, the raise was led by private equity fund Merida Capital Partners, a Maryland-based cannabis infrastructure fund.
Compliance has moved to the forefront for many cannabis entrepreneurs since U.S. Attorney General Jeff Sessions last week revoked key protections for states with recreational marijuana programs.
Here’s what you need to know about Simplifya’s raise:
- The company’s software allows businesses to delegate, review and manage compliance tasks across industrywide facilities and license types, including tools for audit management, scheduling and tracking.
- Simplifya is increasing its offerings based on the Jan. 1 launch of California’s recreational cannabis market.
- The company is backed by cannabis law firm Vicente Sederberg and venture capital firm Hypur Ventures, among others.
- “Now more than ever, businesses are going to want to be in clear compliance with state and local laws, and they are going to need assistance,” said Brian Vicente, a co-founder of Simplifya and founding partner of Vicente Sederberg, a cannabis-focused law firm.