Funds will support accelerated sales, marketing, content product and product development
LOS ANGELES, May 12, 2020 /PRNewswire/ — GrowFlow, the Los Angeles-based SaaS company providing software to businesses in the cannabis and hemp industry, has today announced the closing of $8.4 million in growth financing led by software-focused growth equity fund TVC Capital. Bull & Bear Fund and two individual angel investors also joined this round.
GrowFlow offers compliance, inventory management, point of sale, analytics and sales software to cannabis and hemp businesses. This round of funding will be used to fuel the company’s continued sales and marketing efforts, to accelerate product development, and to create the company’s new content production arm. Jeb Spencer, TVC’s co-founder and managing partner, as well as TVC vice president Ryan McMorrow, will join the company’s board of directors.
“We’re thrilled to close this round of funding which will propel our growth and support our mission to streamline every aspect of the cannabis industry,” said Travis Steffen, CEO of GrowFlow. “With their track record of financing fundamentally-sound, capital-efficient B2B SaaS leaders that have scaled quickly, it became clear that TVC would be a powerhouse partner to share our vision with. We look forward to working with TVC to expand and release more features to help our customers thrive – especially during this challenging and chaotic time.”
“TVC Capital is pleased to lead a growth equity investment in GrowFlow. We could not be more impressed with the company’s leadership position in the cannabis space and their significant penetration into the market,” commented Jeb Spencer, co-founder and managing partner of TVC Capital. “TVC has been seeking an enterprise grade software company in this industry for almost four years, so finding GrowFlow was exciting for us. We look forward to working with Travis and his excellent team as we expand our national footprint.”
COVID-19 has impacted nearly every industry, though cannabis businesses have largely remained open and classified as an essential service. GrowFlow is working hard to support cannabis and hemp businesses, trying to adapt to the new reality COVID-19 has forced upon them. Many are operating with a reduced staff focused on fulfilling demand, so GrowFlow is extending its free trial for new customers – giving them more time up front to get set up and experience all the value it adds.
“We know our customers’ ways of doing business have changed really quickly in response to this virus, and it’s important for us to support them as much as possible,” Steffen said. “One of the many new features we’re releasing in the coming weeks is an extension of our retail product to offer pre-orders and curbside pickup, allowing our customers the ability to keep servicing their own customers while following social distancing guidelines.”
Since GrowFlow’s last funding announcement in 2018, the company has seen consistent growth among employees, company valuation and generated revenue, with services expanding to nearly 1,000 clients in seven states within the cannabis industry.
This additional financing brings the company’s total funding to $10M to date.
Los Angeles-based GrowFlow is a customer-driven, B2B SaaS platform providing compliance, inventory management, point of sale, analytics and sales tools for cannabis and hemp businesses at various points in the supply chain. Founded in late 2016, GrowFlow is run by experienced technology founders and executives with management experience from organizations like Google, Microsoft, Expedia, TenCent, and others, and boasts nearly 1,000 customers in 7 states – including some of the largest operations in the world.
For more information, visit https://growflow.com/.