DENVER, Nov. 08, 2022 (GLOBE NEWSWIRE) -- With little to no access to capital markets, U.S. cannabis businesses were once severely hamstrung by the limited options available to finance needed business expenses. But as cannabis financing options have broadened, the industry has discovered what other sectors learned long ago: Providing financing at the point of purchase accelerates the sale and reduces transaction costs.
As a nationwide provider of tailored debt financing solutions for middle-market compliant cannabis businesses, Sweet Leaf Madison Capital (SLMC) recognized the need for straightforward, accessible financing more than a year ago when it created its Preferred Vendor Program. Today, the program has recruited a network of preferred vendors across the industry providing everything from lighting and HVAC for cultivators to distillation and packaging solutions to greenhouse construction and facility design for processors.
“Our preferred vendor program is aimed at helping participating vendors gain a competitive advantage by increasing the velocity of their sales and providing competitive interest rates for their borrowers,” said Andrew Kaye, Chief Commercial Officer of SLMC. “Through SLMC’s lending platform, preferred vendors are able to provide their customers with a source of financing to make expensive purchases of equipment, which means those clients can spread their capital across a broader range of business needs.”
The program provides a win-win-win solution for all involved, according to Kaye. SLMC is able to help vendors by providing them with liquidity, vendors win by boosting sales across more of their customer base, and customers win by getting lower costs of capital and access to the equipment and services they need to grow. The program is also distinguished by providing quick approval for the vast majority of qualifying customers and offering vendor opportunities for co-marketing through press releases, joint branding, and coordinated appearances at conferences and trade shows.
“This program might feel ordinary in any other industry, but in the cannabis space it is revolutionary,” said Kaye. “What’s interesting about the preferred vendor program is how it promotes synergies among our vendors. Adding a new vendor does not just benefit us or them, it benefits the entire network of vendors and clients because now we can refer borrowers to a number of trusted equipment vendors. Ultimately, it is the buyer’s choice as to which equipment it will acquire. We just make that choice easier and more affordable.”
To date, the preferred vendor program has been joined by LeafyPack, which focuses on automating the packaging of cannabis products, Spectrum King LED, which focuses on engineering best-in-class horticultural lighting for the cannabis industry, Prospiant, a premium greenhouse manufacturer and urban-gro, which is focused on designing cutting-edge horticultural facilities.
For more information about the SLMC Preferred Vendor program, contact us at or 888-251-8384 or info@sweetleafmadison.com.
About Sweet Leaf Madison Capital
Sweet Leaf Madison Capital provides customized, “seed-to-sale”, asset-based lending solutions to the underserved middle-market of the cannabis industry by originating equipment financing, real estate loans, and senior secured term loans. The company is based in Denver and has an office in West Palm Beach as well as remote staff nationwide. To learn more visit Sweet Leaf Madison Capital online or continue the conversation on LinkedIn.
Contact: Jim Dissett
The 9th Block
303-532-7392
jim@the9thblock.com
