In episode 35 of Investing in Cannabis, Brandon David interviews Cy Scott, a co-founder of Leafly who left to form Headset in 2015, three years after having sold out to Privateer Holdings. Headset provides business intelligence and insight to cannabis retailers, producers and even investors. The company’s retailer product integrates with the majority of the POS systems that retailers use. A big challenge to data analysis is that the products aren’t easy to track due to the lack of a Universal Product Code (UPC), and Headset has automated systems that address the issue.
The company has four full-time employees and 10 contractors. Scott expects that companies like Nielsen will want to enter the cannabis industry after legalization. His company raised $825K in its initial funding round, and the next round will be more substantial, with an aim of building his team and expanding beyond Washington. Anslinger Capital, one of Headset’s investors, was attracted to the company because of the management team’s track record, rounded skill sets and continuity.