Boulder, Colorado: Cannabis 2.0
URL: http://choozecorp.com/ and http://lucidmood.net/
Employees: 13, plus 5 vendors.
Company Stage: Launch on April 20, 2016.
Investor Relations Contact:
Charles Jones, CEO
Dave Georges, CTO
Jon Strickler, Business Operations
Rich Herrmann, VP Business Development
Patrick O’Malley, General Counsel
Chooze Corp. develops Mood-enhancing Cannabis products — brands that deliver the mood-enhancing effects of cannabis in the safest, healthiest, most environmentally conscious way possible.
Our first product, LucidMood, is a line of terpene-infused vaporizable pucks that produce an immediate shift in the mood of anyone who has THC in their system. Moods include “Relaxation,” “Contentment,” “Immersion” and “Enthusiasm.” It’s an accessible, mainstream cannabis experience designed for a mature, health conscious and responsible audience. If the growing number of user testimonials is any indication, LucidMood is shepherding the benefits of cannabis into the mainstream.
Revenue Driver: Product Sales
Competitors: Evoxe Laboratories, Stratos and ebbu
Competitive Advantage: There are dozens of companies offering products that promise to enhance your mood and many more that are promising to deliver such products. These range from growers that are labeling their strains in terms of the psychotropic effect, to MIP manufacturers that are adding terpenes to their concentrates/edibles/drinks/etc., to manufacturers of pre-filled vape pens that contain terpene-enhanced strain extracts, to distilleries who are assembling custom mixes of individual cannabinoids and terpenes which have been distilled from the plant.
1) Brand Focus: We are narrowly focused on providing “Cannabis Mood Enhancement” to affluent self-aware adults. Every product and branding decision is made with this demographic in mind and every strategy decision is made with an eye to dominating this market segment. In contrast, our competitors are pursuing all-things-to-all-people branding strategies or no branding strategy at all.
2) Business Model: We have organized ourselves as a brand licensing company that does NOT touch the plant. We develop/acquire products, brand them, and partner with 3rd-party MIPs who manufacture and distribute the cannabinoid-containing products to retail dispensaries. Competitive advantages of this model:
- Since we are a Delaware C Corp that does not touch the plant, we are 100% legal at the federal as well as the state level. In contrast, all of our competitors hold MIP licenses – making them federally illegal and subject to 280E taxation.
- We can sell equity to any accredited investor regardless of state of residency.
- We can expand to new markets by partnering with manufacturer/distributors with little to no capital outlay on our part.
3) Go-to-Market Execution: We went from having a concept in our heads to a product in the market in less than a year having spent less than $250,000. Our ability to get to market quickly at a fraction of what our competitors have spent speaks to the focus, passion and maturity of our team.
Business Model: Sell our terpene-infused Moods (which do NOT contain THC) direct-to-consumer. License marijuana infused product manufactures to distribute our cannabinoid-infused Bases (which DO contain THC) to dispensaries. We do not touch the plant.
Funding: bootstrapping and private placement
Sales/Marketing Strategy: Use PR and word-of-mouth to drive traffic to our online Mood Store. Use evidence of demand to secure distribution deals with MIPs and Dispensaries for our entire product line.
Target Market: Whole Foods’ shopper
LucidBase – blends pure THC with pure CBD to produce a clearheaded sense of elevation with the ability to layer on mood-enhancing terpenes.
LucidMood – is a line of terpene-infused vaporizable pucks that produce an immediate shift in the mood of anyone who has THC in their system. Moods include “Relaxation,” “Contentment,” “Immersion” and “Enthusiasm.”
Taken together, LucidBase and LucidMood craft a brand new cannabis experience, one that enhances activities while maintaining a clear-headed sense of elevation and well-being
We have two:
- Educating our customers on the benefits of a two-part system for consuming (1) cannabinoids and (2) terpenes.
- A dry flower vaporizer is required to consume the first version of our product. The second version will remove this requirement.