MJBulls 0002 Green Goddess Supply.mp3
GREEN GODDESS SUPPLY TRANSCRIPT FROM 9/12/18 PODCAST EPISODE.
*NOTE THIS IS AN AUTOMATED TRANSCRIPT AND THERE MAY BE INACCURACY ARE INCORRECT COMPUTER TRANSLATIONS. DO NOT RELY ON THIS OR ANY TRANSCRIPT ON MJBULLS.
Eric Robichaud: [00:00:03] Green Goddess Supply produces a line of high quality accessories including bamboo rolling trays storage boxes grinders pipes napes nails rings and more. Our newest inventions light a personal home growing unit four years in the making. As we like to say the only thing addicting about cannabis is growing it.
Dan Humiston: [00:00:35] From Buminit media. It's the MJ bulls podcast a show about raising capital in the cannabis industry. I'm Dan Humiston. And on today's show how Eric Robichaud and Vincent Bitetti's company The Green Goddess supply has created a dominant brand within the fragmented cannabis home supply market and how their new product the ARMOIRE will change the way people grow at home.
Dan Humiston: [00:01:12] It's nice to have you as our first guest on the MJ bulls podcast the first time we've met but I had a chance to take a look at some of some of your history and I'm like What is this guy doing in cannabis. You're in tech for like 25 years and you had a couple killer killer exits over there.
Eric Robichaud: [00:01:32] Say it's a long and interesting story. I won't bore you with all the gory details but here is about the screens screen. Tell me about that. Yeah the short version. I spent as you mentioned both 25 28 years in tech developing consumer software products so games Screen Savers childrens CD-ROMs read to me audio books on CD-ROM and we'll get to this later in the current venture. Our President and Chief Canibus officer Vincent Bitetti. I met him in 1993 when he was in software and we worked together on and off for Twenty five years. That's how we first met I was in tech. Yeah we were up pretty much in a small little niche we were sort of the king of the screen savers
Dan Humiston: [00:02:19] Tell us about this transition from tech into the cannabis world.
Dan Humiston: [00:02:22] What what what brought you here and give us a little story behind that.
Eric Robichaud: [00:02:26] Sure sure. The short version is that you know in your career over time you know you like I for myself. You go where the market flow is. And I started off in software and products and I've been through that and we launched screen savers. We the games and other things were just so dominant screen savers. There was a point we're pretty much with a couple minor exceptions almost every screen saver of our shop. You know there were private label white label other brands and it was all product focused and then just flowing with the market. So if I sold that business at its peak I saw that kind of you know a wave cresting with screen savers and sold out business and started no one and I moved more into services. I have a lot of people coming to me at Folger's American Express New York next. All these companies coming to me saying Oh we love your means your products you do something for us something custom and you do in one or more of the services. So I sold a product company and. And over the last decade 10 to maybe 12 years on the services side and what happened is that in a nutshell I got burnt on the services and I go back. I want to go back to product. And at the same time one of our largest clients was one of the largest direct sellers on Amazon and we really learned the Amazon business got really really good and Amazon became sort of Amazon experts if you will. We saw we started selling products on Amazon and then it became clear right away and several years ago we were able to sell pipes.
Eric Robichaud: [00:03:59] Now that's all shut off and you can't sell pipes and anything that would be considered you know sort of drug paraphernalia you know that's what they will lock down and all that and people will go on Amazon now. And what I see yet. Right now you will be going by tomorrow. You know it's it's kind of like whack a mole you know.
Eric Robichaud: [00:04:15] It's you know let's not play games but you know three years ago we were were selling a lot of it as a business opportunity became very clear early on that we've got something. And what I saw at the time with the accessories market was that there's no McDonald's of head shops. They're all individually. And there's a lot of chaos in the industry where in services I ran this whole because my tech background I ran an interactive logo and branding marketing create and design cool that altogether and then built the web services and the e-commerce stores all that. And you know like a full 360 degree services. So with that said we realized that the that the market is not mature I would start talking to people about things like co-op advertising co-op marketing and people in this industry. No I gave today have no idea what I'm talking about things that are are taking for granted in more mature industries. This is a trench. It's like the Wild West all brand of a lot of entrepreneurs coming into the market space. And so the other thing is I was finding a lot of what they just kind of I refer to as accidental empires.
Eric Robichaud: [00:05:26] One all things like some guy invents a really cool new widget and he creates you know cool little widget company and has that widget you know the oil slick guys came up with silicone down mats and they made Silicon divemaster.
Eric Robichaud: [00:05:39] You know this guy came up with a cool little dug out dug out one off products and the traditional industry traditional business approaches ran product line extension things like that. So on the one hand it was crazy because there's just the Wild West. But on the other hand therein lies a lot of opportunity for retool if you take us there from here. So we decided to really go all in in you and leverage what we do is what we do we do great braining I mean we're working with like I said Harley-Davidson Davidson We work with Folgers coffee and American Express like. So we started with less leverage everything we have as an interactive agency and let's build a brand around this. Let's let's let's apply all these concepts what we do for a client all day long. Let's do it for us and we launch Green Goddess Supply
Dan Humiston: [00:06:36] Let's talk about your new product the Armiore This is beautiful. I'm looking at photos of it on the people's Web site right now. It looks like a piece of furniture. You guys invented this. You built a prototype and now you're raising money to launch it. Tell us about it. Roll your own land home.
Eric Robichaud: [00:06:50] You know some estimated 90 percent of all people fail the first time they try to do it or are outrageous they only get really disappointing results.
Eric Robichaud: [00:06:58] You know the anemic looking plants and so many issues so many variables and problems. You know nitrogen levels phosphates and your temperature and your many in your end. You know and all soil the nutrients the pH balance of the water in the soil and lighting cycles and it is complicated surface. And so and then when you want to grow it whole not only all of that but also how you talk about the results. How do you sort of short of an actual guarantee but how do you really guarantee how you set it up so that you can just and this is what we've done we've set up a system now to a whole 360 system. Just drop the seed and water it once a day and water a houseplant you get top shelf cannabis and fast in like 60 70 days.
Dan Humiston: [00:07:40] That's amazing. That's amazing.
Eric Robichaud: [00:07:41] And it solves all problems the smell is sound. I mean you know we spent years just research to find the right fans. This one's too loud. This one doesn't move enough air. This one to this day you know that Goldilocks is not you know too soft to hard it just right angle and it's our own design required to bring light. You can't just at any old light box you'll fry the plant. And at the end of the day you know it's a real key benefit of this product is that it's also the entire thing is designed to look like furniture best quality armoire. It looks like furniture.
Dan Humiston: [00:08:17] We have pictures photos of the MJbulls.com website of any listeners want to take a look with it does it looks just like furniture.
Dan Humiston: [00:08:36] what opportunities can Green Goddess supplies can give to investors right.
Dan Humiston: [00:08:50] Absolutely. So we are what we what we've done now on the financial side and what we've done you know as I mentioned I found the business back to 2015 in a pretty decent chunk of change initially in my pocket and everything launched and you know just funding paid people and so forth getting up and running again and over the first couple of years. Then we went out and raised equity we raised a half million dollars of you know friends and family around angel investment to do the armoire. OK so what I did was I raised this money and over the past year we've used that to acquire all intellectual property rights from Vince and hire him on board as our president and CEO to get him to process. And we and then we've use that money to finish over the last year and polish it with all that finalizing all the warranty and so forth lots lots of product and and you know parts and test units and prototyping and so forth. And a lot of legal fees like filing all the patents and trademarks and all that stuff and all the intellectual property and so forth and so on and then starting to flesh out build out the corporate footprint and foundations for real services support all this and that. So the first half million dollars we raised got us and that whole store development phase development cycle and into production which I think is huge. This is not you know we are looking for basically our second chunk of funding now which is for all of the to get it out of production for shipping or sales marketing and we're out there all the trade shows. Press PR magazines advertising direct mailing getting all of the wholesales sales marketing and service support. And you know wanting service and all that. So basically the second phase is now shipping and supporting the launch.
Dan Humiston: [00:10:38] Unlike a lot of a lot of companies in this industry I mean you have a business that the brands already in place you have a customer base already in place of a distribution channel already dialed in. You have experience working when you even before when you work with Amazon. So and you have the product already to go. So you've done. It sounds like you've done all the heavy lifting.
Eric Robichaud: [00:11:00] We really have. We've done an awful lot of work and there's an awful lot of early stage risk that's already been mitigated. Obviously you can look at some of the biggest companies like Enron. I mean there's always some level of risk to anything. companies are not private but in terms of yeah we're definitely we're not at 0 stage acting and talking and treating our and so forth that you know the reality is yes there's a lot of water under the bridge..
Dan Humiston: [00:11:26] This is not your first rodeo you've been through this before so they're banking so they'll be banking with somebody with a proven record and you have a product that's ready to go.
Eric Robichaud: [00:11:37] Absolutely. And vison as well I mean I didn't get into all this but Vincent took his company took a million dollars angel investment back in the day and took his company and then roll it up and took his company public. He ran an aspect of the company built up a hundred million a year on his and his company and then and then they sold that off. This is all you know back like more than a decade ago. all rolled it out sold it off. So we've been through this you know I mine I haven't done in public yet but I've done private sales. I to the sold three different businesses now over the last 25 years we just pull them out through cash them organically and then sold. Now the two of us have come together.
Eric Robichaud: [00:12:24] You know my 25 plus years is 25 years of experience and he's run a Nasdaq company. So we have a lot of management experience. We're going to be here and we're not looking for 20 million 50 million or crazy numbers we're looking for 50 grand.
Eric Robichaud: [00:12:42] So we are raising 750000.
Eric Robichaud: [00:12:45] Our original business plan and you know anybody who's interested we have you know the investor decks and we have all the performer you know and all that you know that cash flow statements and all that stuff all worked out that we can share.
Eric Robichaud: [00:12:57] But the short version is that the original business plan was for one plan 1.25 million dollars to do this whole thing and we raised the first half million to get there and now raising the other scientists. These are sort of two now.
Dan Humiston: [00:13:07] The one that seems really reasonable what what what percentages or what type of equity would somebody be looking at.
Eric Robichaud: [00:13:15] Sure. So it's another thing that you hope but basically we're looking at a fair based on valuations and so forth we'll get about a 15% stake for $750,000
Dan Humiston: [00:13:27] Somebody is interested. Why don't you tell us where they can contact you. I know I have. I have your e-mail address on our Web site at mjbulls.com. I have your whole company in for all the information on our Web site. But if they need to talk to you or give us that information.
Eric Robichaud: [00:13:41] Sure sure they definitely can reach out to me directly. I was named CEO name Rostro phone number . And my e-mail address is Eric with a C E R I C at Green Goddess. Why not just reach out to me and you know the investor you know for summary and everything over here so we can shoot that right over there.
Dan Humiston: [00:14:07] Yeah they better move quick because I don't think this opportunity is going to be for very long based on what you just said.
Eric Robichaud: [00:14:12] And we are. I mean we're growing so this is not something that when you're trying to find the money we can you know go and launch our dreams. I mean we're in production now so we're also very motivated let's say to keep things moving and get this done because we are in production now and I don't want to get to the point where we are boxes now we don't have marketing funds so we are actively you know working on this now.
Dan Humiston: [00:14:39] Well this is good news. This is really exciting stuff and I really appreciate you being on our show and I know the listeners are going to be excited about this opportunity. Best of luck. Best of luck to you.
Dan Humiston: [00:14:51] Thank you very much. Thanks for listening to the MJBULLS podcast
[00:14:57] To see today's guest pitch deck or to apply to be a guest. Visit our website at MJbulls.com. if you like to show give us a review on iTunes. Today's show is produced by buminit media. I'm Dan Humiston and you've been listening to the MJ Bulls podcast.