Starting up without stalling out
There comes a point in the life of most startups when, even if the founders eschewed investors at the outset, they need some kind of cash infusion from the outside. If our day jobs were capable of funding a company, let’s face it, we probably wouldn’t have thought to start a company. We’re not complete masochists.
There are some startup incubator-type businesses around that are specific to the cannabis industry. They typically offer $20,000-$30,000, they offer some kind of multi-week training course, and they want a 9-10% share of the company. Of course, they’re in Colorado or California.
There’s no part of that that was appealing to us, so we came up with an alternative funding model. We plan to do a crowdsource funding campaign, which will raise the money necessary for a large event. The financial risk of doing the event is offset because we can be reasonably confident that our costs will be covered and we will not lose money. Meanwhile, the event will effectively be both an advertisement and a fundraiser for our company. If it is at all successful, we can expect to raise more money than the incubators would have offered us without compromising our ownership of the business. All while bringing people together in an educational event that will help to raise the profile of the cannabis industry in our city. Stay tuned for more details!