cannabis lender bespoke financial raises $8m from casa verde capital and sweat equity ventures
Bespoke Financial Secures $8 Million in Series A Funding
Bespoke Financial, a company specializing in cannabis industry financing, has announced the successful completion of an $8 million Series A funding round. This investment brings new investors on board as the company continues its mission to provide financial solutions to businesses within the cannabis sector.
Providing Financing Solutions to the Cannabis Industry
Bespoke Financial operates as a direct lender, offering a range of financing options tailored for cannabis companies. These short-term loan products are designed to help businesses establish a credit history with Bespoke.
Subsequent loans and financial products are then offered with increasingly favorable terms. The company reports significant growth in loan origination volume, exceeding projections by 25% over the past year.
Impressive Growth and Performance
To date, Bespoke Financial has deployed $120 million in gross merchandise volume across more than 2,000 cannabis license holders. Notably, the company has maintained a perfect record with zero loan defaults.
Future Expansion Plans
The newly acquired capital will be utilized to introduce innovative financing structures and broaden the scope of financing options available through various distribution channels.
A Pivotal Moment for Bespoke Financial
George Mancheril, CEO and co-founder of Bespoke Financial, views this funding round as a critical milestone for the company. He also considers it a strong validation of Bespoke’s strategic direction and product offerings.
As reported to TechCrunch, this investment introduces several key partners to the rapidly expanding startup.
Key Investors in the Round
The financing round was jointly led by Casa Verde Capital, associated with Snoop Dogg, and Sweat Equity Ventures. Additional investors included Ceres Group Holdings, Greenhouse Capital Partners, Philip Barach (co-founder and former president of DoubleLine Capital), and Robert Stavis, a New York-based investor.
Sweat Equity Ventures’ First Cannabis Investment
This marks Sweat Equity Ventures’ (SEV) inaugural investment in a cannabis-related company. Backed by LinkedIn founder Reid Hoffman, SEV, led by Dan Portillo, employs a unique approach to venture funding.
Instead of solely providing capital, SEV collaborates with founders to supply top-tier engineering and business talent to portfolio companies, receiving equity in return for these services.
SEV’s Vision for the Cannabis Industry
Dan Portillo, managing partner of Sweat Equity Ventures, stated, “This is our firm’s first investment in the cannabis industry, and we are excited to partner with Bespoke as more and more states legalize cannabis use, and the Federal government contemplates nationwide legalization.”
He further explained that the partnership will combine Bespoke’s financial and cannabis expertise with SEV’s experience in scaling innovative tech companies, improving access to financing for cannabis businesses and enhancing transparency and risk management for investors.
Casa Verde Capital’s Continued Support
Karan Wadhera, managing partner at Casa Verde Capital, emphasized that Bespoke Financial effectively addresses critical needs within the evolving cannabis industry. Casa Verde Capital had previously invested in Bespoke Capital, including a $7 million round in 2019.
Bespoke Financial’s Long-Term Goals
George Mancheril shared with TechCrunch that Bespoke Financial aims to be more than just a lender. The company aspires to become a modern financing partner, actively collaborating with the cannabis industry.
Total Funding and Company Overview
With this $8 million investment, Bespoke Financial’s total funding to date reaches $28 million. Founded in 2019, the company currently employs 12 individuals.
Matt Burns
Matt Burns: A Profile of a Leading Technology Journalist
Matt Burns is an experienced journalist specializing in technology. He currently serves as Editorial Director at Insight Media Group, a position he assumed after a distinguished tenure as Managing Editor at TechCrunch.
Early Career and TechCrunch
Throughout his career, Burns has consistently demonstrated a talent for insightful reporting and editorial leadership. He dedicated over 15 years to TechCrunch, beginning as a contributor and ultimately ascending to the role of Managing Editor.
During his time at TechCrunch, he played a crucial role in the newsroom’s expansion and the successful execution of events like Disrupt and other TechCrunch gatherings.
Insight Media Group and Current Role
At Insight Media Group, Burns is responsible for directing editorial coverage and managing contributor programs across a portfolio of rapidly expanding technology publications.
The Resilience Conference
Burns is also the co-founder of the Resilience Conference, a unique event series focused on the convergence of defense, security, and innovative startup ventures.
He actively shapes the conference agenda, facilitates sessions, and spearheaded the creation of “Launch @ Resilience,” a platform dedicated to showcasing early-stage companies developing technologies for national defense.
Areas of Expertise and Notable Interviews
His reporting and moderation experience encompasses a wide range of technological fields, including AI, mobility, and frontier technologies. He frequently addresses the complex challenges faced by technology companies.
Burns has conducted interviews with prominent figures, including world leaders, leading investors, founders of innovative startups, and CEOs of publicly traded companies.
Background and Personal Interests
Originally from Michigan, with significant experience in Silicon Valley, Burns combines a Midwestern perspective with a keen editorial sensibility.
Outside of his professional endeavors, he collaborates with teams to refine their messaging and validate market entry strategies. He also enjoys camping near Lake Michigan when his schedule allows.
Key skills include editorial direction, content strategy, event management, and technology journalism.