Simplifya, a leading regulatory and operational compliance software platform serving the cannabis and hemp industries, has successfully raised $2 million in new equity capital. The investment was led by ITWH LLC, a wholly-owned subsidiary of In The Weeds (ITW), with additional participation from existing investor Blue Zone Wealth Advisors.
A portion of the capital was utilized to retire outstanding debt, establishing Simplifya as a debt-free entity with a strengthened balance sheet. This financial development aims to bolster the company’s foundation for continued expansion of its product offerings and strategic alliances.
Marion Mariathasan, CEO of Simplifya, commented on the raise, stating, “The rapidly evolving cannabis and hemp markets face a complex regulatory environment that often exposes operators to costly compliance-related issues—resulting in fines, limited access to capital, loan challenges, and lapses in insurance coverage with higher premiums. With our strengthened financial position, we are accelerating our innovation and growth, ensuring Simplifya continues to provide best-in-class regulatory and operational compliance solutions for all industry stakeholders, from licensed operators to financial institutions, insurers and beyond.”
The equity capital raise, which is described as an increasingly uncommon form of investment within the high-risk cannabis industry, coincides with Simplifya’s 10-year anniversary. Over the past decade, the American cannabis sector has grown to nearly a $50 billion industry, making compliance tools increasingly vital due to regular policy shifts and the launch of new medical and recreational programs in various states. In response to these market changes, which include the emergence of the psychoactive-hemp market, Simplifya is expanding its capabilities with its recently introduced Hemp Regfinder.
To support operators across the cannabis space, including financial institutions, brands, and retailers, alongside the burgeoning $3 billion hemp industry, Simplifya is committed to continuously updating and enhancing its integrated platform with user-friendly compliance tools.
Jim Cacioppo, Partner of OEP Opportunities, L.
P., and Founder, Chairman, and CEO of Jushi, a multistate cannabis operator, remarked on Simplifya’s utility: “Jushi’s robust compliance team relies on Simplifya to keep Jushi ahead of ever-changing regulations and their impact on our SOPs, field audits and compliance tracking. Simplifya gives Jushi and its shareholders peace of mind, knowing that Jushi isn’t unknowingly exposed to compliance-related risks.” Jushi Holdings Inc. and its subsidiaries did not participate in this capital raise.
As part of its growth strategy, Simplifya has formed a partnership with In The Weeds (ITW), a fintech company. This collaboration is designed to provide enhanced solutions for insurance carriers, brokers, banks, and non-bank lenders serving the cannabis and hemp industries. The objective is to simplify regulatory complexities while streamlining access to insurance coverage, traditional lenders, and new capital providers as the industry matures. Simplifya, founded in 2016, is recognized as a leading regulatory and operational compliance platform in the cannabis and hemp sectors, serving clients nationwide. In The Weeds (ITW) is an innovative fintech company specializing in enhanced solutions for various financial service providers within the cannabis and hemp business landscape.
