Kyle Sherman
- Founder and CEO at Flowhub
GetLatka interview
How Flowhub Reached Just Under 500 Customers with $8K Average Contract Value in the Cannabis POS Market (Interview with Founder and CEO Kyle Sherman)
Kyle Sherman (Founder and CEO of Flowhub) spoke to Nathan Latka on September 13, 2018.
Flowhub figures from the interview
- Customers (2018)
- Just under 500
- Avg Contract Value (2018)
- Around $8,000 per year
- Net Revenue Retention (2018)
- Right around 100%
- Team Size (2018)
- 40
- Total Funding Raised
- $8M
“We created basically a point of sale compliance platform for cannabis dispensaries, and we're a SaaS platform. That means we charge monthly for our services. And yeah, that's pretty much how we make money today. We're getting into payments too, which is really exciting.”
“Our ACV a year is around $8,000 today. Some go as high as $45,000. It kind of depends on the size of the dispensary, but you could break that down. We typically do a minimum of a twelve month contract. So we look at these contracts in kind of a twelve month view.”
“August 2017, we were at about $1,600,000 run rate”
Bio
Kyle Sherman is the Founder and CEO of Flowhub, the leading business management and point-of-sale platform for cannabis dispensaries. Founded in Denver, Flowhub simplifies compliance for nearly 1,000 legal cannabis retailers across North America, processing more than $3B in sales annually. Flowhub has raised $28MM in venture capital from firms like e.ventures, Poseidon, and Evolv Ventures, the Kraft Heinz Company's venture arm. Kyle has been named a Top 100 Cannabis Leader by Entrepreneur Magazine, 30 AND UNDER by Business Insider, and is an Associate Producer for the Netflix documentary "Weed the People" which aims to educate mainstream audiences about medical cannabis as a human rights issue. In addition, Kyle serves as a Founding Director and was formally both Treasurer and Vice Chair on the Cannabis Trade Federation (CTF) board, an organization focused on building an inclusive industry and passing federal cannabis legislation. At Flowhub, we're about more than just technology. We're about solving complex problems, creating meaningful social change and connecting with our community. And yeah, we like our cannabis! Founded in 2015 by our CEO Kyle Sherman, Flowhub innovates how cannabis retailers manage complex compliance mandates, supply chain data, sales transactions and reporting by delivering compliance, point of sale, inventory tracking, and business intelligence data from a single, highly-customizable platform. Our mission is rooted in the desire to empower cannabis retailers to build their dream dispensaries. When they succeed, we succeed. Headquartered in downtown Denver, Flowhub is now trusted and loved by thousands of cannabis retailers and partners across the U.S., processing over one billion dollars in cannabis sales annually. As the original integrator to Metrc, the state track and trace system used in most legal cannabis markets, we help cannabis retailers automate and simplify business operations through technology to keep companies and government transparent, keep cannabis products off the black market, and build a robust scalable industry that is approachable for all adults and medical patients.