If there is someone who exemplifies a smart investor in the cannabis industry, it’s Marion Mariathasan, currently the co-founder and CEO of Simplifya, the industry’s leading regulatory compliance tool for licensees and those who audit them.
Mariathasan is a serial investor and entrepreneur if there ever was one. More attracted to ancillary cannabis services and solutions, he has personally founded or invested in about 14 different cannabis companies, including Ceylon Solutions, providing high-quality development solutions for the cannabis industry. He is also the largest shareholder of Leafwire, a platform for companies and investors to create funding relationships, and continues to be on the Boards of several organizations.
Green Market Report caught up with Mariathasan to hear about his path to where he is now in the cannabis space.
Name: Marion Mariathasan
Years at current company: “I wish I could take credit for this concept,” says Mariathasan, explaining that the renowned cannabis law firm Vicente Sederberg LLP is to be attributed to the idea surrounding compliance software. Mariathasan came on board in October 2016 as the company’s first investor, making his commitment in February 2106 in advance of the launch.
Education profile: Mariathasan is certainly well-equipped to take on a role in the tech side of cannabis. A graduate from the University of Kansas and Emporia State University, studying Architecture, Computer Science, and Computer Information Systems, his career emerged at the forefront of technology. He began his work as a computer programmer for a leading medical software company and has since held positions in some of the world’s leading tech companies.
Most successful professional accomplishment before cannabis: It’s difficult for Mariathasan to isolate just one successful professional accomplishment before making his foray into cannabis. Mariathasan is responsible for staring a handful of tech companies, so he sees his success as more cumulative. “What I’m most proud of is taking a concept that aims to solve a problem, and being able to build upon it, grow it, raise money, and sell it.”
Company Mission: Simplifya gives businesses the power to delegate, review, and proactively manage compliance tasks across all facilities and license types. With easy-to-use tools for scheduling, audit management, and tracking issues, Simplifya gives license holders a 360-degree view of their compliance. According to Mariathasan, their mission extends “to enable the cannabis industry and the movement to continue forward by helping license holders preserve their license. License is the most valuable asset that they have. If they’re not compliant from a regulatory and operational perspective, can get hundreds of dollar fines or lose their license.”
Company’s most successful achievement: Through working with its partners and cannabis license holders, Simplifya has learned and understood the pain points of the license holder and create technology around it. To make this possible, Simplifya has created relationships all around the industry that puts compliance at the forefront and have the industry value it. “It takes a village”, says Mariathasan, “The investors coupled with the team has been our best achievement thus far, but as we bring on multi-license operators, mom and pop shops, government stores, is what makes this feel like we know we’re at the right place.”
Has the company raised any capital? In December of last year, it was announced that Simplifya had raised $3 million in Series C funding from the private equity fund Merida Capital Partners. It was announced then that they would pursue additional funding, and this sure occurred to the tune of $7.3 million raised through a Founder’s round, and the series of funding rounds, including the last Series C round completed by Merida Capital. “The investors are second to none in this industry,” Mariathasan remarks.
Any plans on raising capital in the future?: Simplifya plans to hold another raise of capital towards the end of this year to help with the company’s expansion. “We’re in 17 states right now,” explains Mariathasan, “Now we have opportunities to go into more states and international. Our initial focus was marijuana dispensaries, and now we’re bringing what Simplifya has to offer to governments, banks, and insurance companies.”
Most important company 5-year goal: “We exist to make cannabis easier to operate in,” says Mariathasan, “We serve medical marijuana dispensaries, and we’re helping governments, banks, and insurance companies with mitigating the risks that come with legal cannabis while streamlining projects.”
Thus, Simplifya will continue to make relationships with companies within and external to the cannabis industry. “Government didn’t have the expertise to enforce the regulations they created,” says Mariathasan, “Now it’s easier to stay on top of the cumbersome regulations, as we can now help manage cannabis compliance from a government perspective.”
What does Mariathasan attribute to the success of Simplifya? “A lot comes down to the team and their experience with cannabis. If they can put a strategic plan together, and execute it, while building a personal connection then we are successful together.”