Hi.
Jane West loves smoking cannabis flower every day. She cleverly designs, invents, and manufactures products dedicated to make life Better With Jane.
Jane West loves smoking cannabis flower every day. She cleverly designs, invents, and manufactures products dedicated to make life Better With Jane.
With our Republic campaign successfully completed, we wanted to thank all of you for your investment and welcome you to the Jane West team. We truly believed that equity crowdfunding would allow us to democratize the cannabis investment landscape, and each of you has proven us right. It is both humbling and inspiring to know that you believed so passionately in what we are building at Jane West that you chose to own a piece of our vision.
To give you a sense of what all of you have already accomplished, I wanted to share a few numbers with you. During the course of our three-month Republic campaign, 557 investors from 17 countries invested $189,522 in our brand. That is a whopping 758 percent of our initial goal. In total, 175 of you invested at least $500, meaning you received or will soon receive all four products in the Jane West Collection as a thank-you perk. Some of you invested far more than that; our largest investment was $20,000.
We’re very excited about the 312 people who invested $100 or less in Jane West. We have a hunch that many of these people might have been investing in a startup for the first time, much less a cannabis startup. Before the JOBS Act opened up the investment landscape to non-accredited investors in 2016, investments like this wouldn’t have been possible. Now we can truly say that Jane West is providing a seat at the table to anyone who wants it, regardless of their resources or background.
I am reaching out now to share our Q2 performance details and an update on all things Jane West. You'll be getting these updates every quarter.
With our Republic campaign successfully completed, we wanted to thank all of you for your investment and welcome you to the Jane West team. We truly believed that equity crowdfunding would allow us to democratize the cannabis investment landscape, and each of you has proven us right. It is both humbling and inspiring to know that you believed so passionately in what we are building at Jane West that you chose to own a piece of our vision.
To give you a sense of what all of you have already accomplished, I wanted to share a few numbers with you. During the course of our three-month Republic campaign, 557 investors from 17 countries invested $189,522 in our brand. That is a whopping 758 percent of our initial goal. In total, 175 of you invested at least $500, meaning you received or will soon receive all four products in the Jane West Collection as a thank-you perk. Some of you invested far more than that; our largest investment was $20,000.
We’re very excited about the 312 people who invested $100 or less in Jane West. We have a hunch that many of these people might have been investing in a startup for the first time, much less a cannabis startup. Before the JOBS Act opened up the investment landscape to non-accredited investors in 2016, investments like this wouldn’t have been possible. Now we can truly say that Jane West is providing a seat at the table to anyone who wants it, regardless of their resources or background.
I am reaching out now to share our Q2 performance details and an update on all things Jane West. You'll be getting these updates every quarter.
We experienced robust financial growth in Quarter 2 of 2018. We generated $53,000 in total sales from royalties, affiliate sales, and product sales – a 46 percent increase in total sales over Q1. What’s more, total gross profit margin grew from 24 percent to 59 percent during the same period.
Moving forward, with an expected minimum 50 percent gross profit margin, we anticipate an additional $175,000 in sales in the next 90 to 120 days from the turnover of the current inventory on hand. By the end of 2018, we expect to reach a 60 percent total gross profit margin or greater due to increased operating efficiencies, volume discounts, and expansion to more profitable retail sale channels with consumables. In total, we anticipate $500,000 in sales for 2018.
The Jane West Flower Collection has been quite a hit. In Colorado, where we launched the line in December 2017, we've rolled out revised packaging compliant with recent state regulatory changes. Most importantly, we've significantly expanded the number of retailers carrying the line, which features hand-selected Lamoureux & Lee strains produced by WHT LBL.
In Washington, D.C., where we launched cannabis sales on 4/20/18 produced by AltSol, we have greatly exceeded forecasts. As Alisa Stack (general manager at Takoma Wellness Center) tells us; “Our patients love the Jane West mini joints. We can't keep them on the shelves! The mini joints are just the right size for a quick pick-me-up or to help get to sleep. Patients are delighted with the product’s quality and its discrete size.”
Next up, we have identified top-shelf partners in Massachusetts, Rhode Island, Ohio, California, Washington State, Alaska, and Canada. We are now in the final stages of due diligence before launching in these markets.
In the fall, we are aiming to secure partnerships in Pennsylvania, Connecticut, Maine, New Hampshire, Michigan, Nevada, New Mexico, Arizona, Columbia, Mexico, Uruguay, and Spain. While we have already identified targets for these markets, suggestions for potential licensed partners are always appreciated.
Glassware sales continue to meet our high expectations with 4,427 units sold so far this year. In particular, customers love our new Mint Collection.
After introducing our proprietary Travel Collection of flower pipes and accessories at CHAMPS Vegas in February, we have moved 20 percent of our total inventory servicing inbound orders. This is a wonderful start to build on as we hire sales support in the coming months.
Most importantly, we have signed an LOI with humble+fume to exclusively distribute our Travel Collection in Canada. Celebrating 20 years in business and servicing 4000+ established outlets, humble+fume is Canadian-owned and is the country's leading cannabis accessories distributor. Per our agreement, humble+fume will import 23,000 units by year's end, representing a retail value of Can$688,500, and showcasing our brand on shelves across all provinces of the country.
The non-psychoactive cannabis compound cannabidiol, or CBD, has become an international phenomenon thanks to its health and wellness properties. Now, we’re thrilled to announce we are entering the CBD market in a big way...
Through our partnership with SteepFuze, a pioneering Colorado-based producer of CBD-infused coffee beans, we will soon be offering 12 oz bags of light- and dark-roast coffee, each containing 240 milligrams of full-spectrum, Colorado-grown CBD.
Our CBD coffee will be available in stores and online. Keep an eye out for our friends and family discount code which we'll send shortly – we want you to be among the first to try it out. As I can attest, this stuff works wonders!
Along with our CBD coffee line, we are also preparing a line of Day & Night CBD capsules. Each featuring 10 milligrams of full-spectrum CBD, the easy-to-take capsules provide a daily intake of CBD, with one capsule formulated for daytime use and one designed to be taken at nighttime.
We plan to launch sales of Day & Night capsules before September 1, completing our exciting 2018 slate of product releases.
We continue to enjoy the benefits of exceptional earned media. Last month, Katie Shapiro penned an in-depth feature for Forbes outlining the evolution of our company and the results of our recent Republic campaign, noting, “Crowdfunding has catapulted cannabis lifestyle pioneer Jane West even higher.” I especially enjoyed compiling this playlist of my favorite songs for a work session or smoke session for Magnetic Magazine.
And this past Mother’s Day, outlets around the country identified Jane West products as the perfect gift for mom, from Motif Magazine in Rhode Island to Westword newspaper in Denver. As Herb noted, “No matter the holiday, you can’t go wrong with gifting mom with a spoon pipe, like the lovely Spoon Swoopy, made by Grav Labs and designed by Jane West.”
Our products didn’t just get love on Mother’s Day. Rave reviews keep rolling in. THC Overdose, for example, crowned the Jane West Solo the best one-hitter on the market. Herb, meanwhile, named our upright glass bubbler “one of the best pipes for every weed smoker that’s seeking a standout piece amongst the pipe crowd” and called our steamroller “one of the best steamroller pipes for conveniently pulling out and using on-the-go.” Fresh Toast declared the Jane West Wand “the ultimate in beauty stealth,” while Merry Jane noted the Compact “includes everything you need to toke on the go.”
And as we expand into international markets, media outlets across the Atlantic are taking notice. The French cannabis magazine Newsweed featured us in a print feature on the “Mary Janes of Colorado,” noting “In Colorado, everyone knows Jane West,” and celebrating our product lines for being “chic and uncluttered, with ‘total functionality’ in mind.”
We are aiming to close the existing Class B funding round at our $10 million valuation by September 1st. If you or accredited investors in your network are interested, please email jane@janewest.com to schedule a 15-minute phone call.
Now comes the fun part: Building Jane West into a global brand and providing all of you with a great return on your investment! For starters, please feel free to spread the word about your investment. Here are some suggested social posts:
I helped @shopjanewest raise nearly $200K on @joinRepublic. Now, as part of #TeamJane, we are elevating the #cannabis lifestyle. See our products here.
Thanks to @joinRepublic, I invested in @shopjanewest. Now, as part of #TeamJane, I am helping to build a global brand that is shattering stereotypes about #cannabis and women. To learn more, go to janewest.com.
For those of you who received thank-you perks, please post on social media to let us know what you think! Here’s a suggestion:
I invested in @shopjanewest on @joinRepublic and as part of #TeamJane, I got all the gear from the Collection! To check out these awesome #cannabis products, go to www.flwr.shop.
Whatever you choose to write, don’t forget to use the hashtag #TeamJane, to show you’re part of the Jane West community!
