Successful fundraising attempts are becoming much more common in the cannabis industry these days as investors warm to the idea of the legal marijuana market.
Case in point: Two firms recently announced that they raised a combined $2.5 million to fund their growth.
The most recent, Colorado-based BDS Analytics, successfully capped an initial fundraising round of $1.5 million from both angel and institutional investors to jumpstart the company’s founding.
The business will focus on market research data involving sales and and consumer behavior, to better inform marijuana companies on how to make decisions that range from branding to product development.
The other, California-based Jetty Extracts, raised $1 million between July and August from seven investors. Jetty is planning on using the funds to expand the company’s operations, hire new employees, invest in more research and development, and branch out into new markets such as Colorado.
“This capital raise will allow Jetty to immediately scale up and expand,” a spokesman for Jetty said in an email. “We will continually reevaluate our position in the market. If additional capital will help us achieve our goals, we will certainly pursue that option.”