Cannafund Supply Chain Financing Solutions

NASHVILLE, Tenn., Oct. 24, 2019 /PRNewswire/ -- Cannafund LLC., an asset-based lender specializing in CBD and Cannabis supply chain financing, announced the successful completion of its first round of raw material financing with Labcanna Biosciences Inc., a Nashville, Tennessee-based vertically integrated CBD processor.  

The facility was structured to meet the demands of Labcanna Bioscience's growing distribution channels and provided liquidity for operations as well as equipment financing. Cannafund provided financing to partially fulfill a $30,000,000 purchase order contract for CBD bulk materials. Labcanna Biosciences CFO Matt Chapman comments, "The team from Cannafund took a personal interest in understanding our business, where it was headed and provided the liquidity we needed to scale production to meet the demands of our customers. They worked with us every step of the way including when unexpected challenges arose and as a result, we were able to successfully close out our round and achieve our business goals and successfully complete the first full cycle of funding. We're looking forward to working with them on future funding needs." 

Cannafund COO Garrett Robinson comments, "We really built this company to relieve the stress of dealing with bankers in suits.  Financing can be stressful and it's really great to get so personally involved with every customer we deal with and in an industry everyone from CannaFund is passionate about.  We don't just want to invest capital for a return, we truly want to see every business we work with thrive."

Cannafund as a partner not just a lender

The group boasts its client-centric approach as its differentiating factor.  Cannafund CFO, Christian Macellari quotes, "We look at every borrower uniquely.  Every company has its different sets of goals and aspirations as well as challenges.  We look at the big picture first and try to find a solution that accomplishes the needs of our borrowers while providing our investors with responsible risk adjusted returns."  

CEO Justin Campbell comments, "What some companies in the industry fail to realize is that there are hundreds of millions of dollars in the space that is simply empty capital with no support beyond the check. We stand by our partners and with our knowledge, experience and connections in the industry, we are able to keep our ear to the ground and finger on the pulse so that when challenges arise, whether it be a price compression or regulatory change, we are able to adapt. Our ability to adapt and offer more than a lending solution is really what makes us different."

About Cannafund LLC.

Cannafund provides three main types of asset-based lending, raw material, equipment financing and inventory/purchase order financing. Cannafund underwrites each facility based on a certain set of criteria but also allows flexibility in structuring its terms to fit the unique situations of each borrower depending on various factors including the availability of collateral, track record of the borrower and the strength of the purchase order contract. Typical loans range from $500k up to $5MM revolving or standalone facilities.  For loans above $5MM, Cannafund can work with other lenders to syndicate the loan and meet the needs of its borrower.  Typical needs of Cannafund's borrowers include, capital expenditures to meet scaling demands, working capital for operations and purchase order financing. Typical borrowers include extraction/processing and remediation laboratories, trading funds and vertically integrated distribution companies. 

For any questions regarding Cannafund, please contact:

Bryce Robinson
310.963.0939
[email protected] 

or visit us at our website at:
www.cannafund.us

or follow us on LinkedIn at 
https://www.linkedin.com/company/cannafund/

SOURCE Cannafund, LLC.