There are tens of thousands of regulated cannabis dispensaries across 29 states that have legalized medical and/or recreational marijuana. While the industry is projected to reach $24.5 billion in annual revenue by 2025, these dispensaries have trouble sourcing products and services that they need given the fragmented nature of the business. The good news is that there are several companies that are stepping in to fill the void.
SingleSeed: A One-Stop Shop
SinglePoint recently launched SingleSeed.com as a one-stop shop for cannabis dispensaries to purchase everything needed to run their business. With regulated marijuana dispensaries in 17 states, there is a large potential end market for a nationwide supplier of ancillary products and services, particularly given the fragmented nature of the market. Management plans to market the new website at trade shows and through partnerships.
“The long-term vision is to build SingleSeed.com into a marketplace for dispensaries to buy the products they need to do business,” says SinglePoint CEO Greg Lambrecht in a recent shareholder update. “SingleSeed will also provide consulting services to cannabis businesses who need help gaining traction and success in their strategies.”
Currently, SingleSeed.com is focused on payment solutions and marketing services, but management plans to expand that focus into other areas. The company’s recent investment in Convectium — developer of a unique oil filling machine for cannabis companies — is a prime example of its expansion strategy. Management plans to sell the innovative technology on SingleSeed along with Convectium’s own 710Shark.com website.
Upcoming Plans & Catalysts
SinglePoint recently enhanced its corporate website, www.singlepoint.com, to provide investors with a clear plan of its recent endeavors and market value. The new website is designed to increase shareholder value by driving more engagement for potential acquisitions and sales for acquired companies, while enabling investors to easily sign up for updates and research.
“This is an exciting time for SinglePoint,” said Lambrecht in a shareholder update. “We continue to increase value for our shareholders by focusing on acquisitions while strengthening inside sales and fundraising. We expect 2017 to be a great year for SinglePoint and look forward to providing additional updates on future acquisition targets, joint ventures, and new products.”
In addition to investing in Convectium, the company is currently in negotiations for more acquisitions in the cannabis industry.