A number of new companies have entered the state in recent months in anticipation of serving the state’s recreational cannabis market, which could open by the end of this year.
One of the latest is Simplifya, which offers a soup-to-nuts cannabis license regulatory compliance software. With its new Connecticut presence, the company now operates in 25 states and already works with some of the multistate corporations that populate Connecticut’s medical cannabis landscape.
With those clients already in place, and the many new licenses becoming available in the state, Connecticut was a market that Simplifya had to be in, said Vice President of Partnerships Brooke Butler.
“It’s important to us to be in Connecticut and make sure the adult use market takes off so that Connecticut sees the fruits of passing adult use legislation,” she said.
The company says it provides an affordable way to ensure regulatory compliance.
The company’s cloud-based software, which serves both producers and dispensaries, breaks down rules and regulations into easily readable language with standard operating procedures that apply to the entire organization. The software is designed to tackle the stringent regulations that require every employee to do everything right at all times, she said.
“It isn’t just figuring out what you’re supposed to be doing, but also tracking that your employees are doing it correctly,” said Butler.
It is an extremely high bar, she said, and one that few other industries are held to. This can especially be difficult in an industry that has counter-culture and independent roots. But the consequences of even a small mistake can mean a multi-day shutdown, or worse.
“If you’re brave enough to get a license and brave enough to operate a cannabis business, we want to make sure that there isn’t a silly mistake made, like your cameras being pointed northeast instead of northwest,” said Butler. “That can cause you to get a silly violation or have your company shut down for a few days, which can cost a lot of money.”
But the software isn’t just about providing a way to avoid mistakes. It can be a basis for a more positive interaction with funders and insurance companies.
It can be difficult for cannabis companies to get funding and very costly for insurance, said Butler, and being able to provide a comprehensive self-audit or semi-annual report can ease the interaction. Simplifya’s software allows easy production of these reports that would otherwise be timely if carried out manually.
Simplifya is even in the early stages of working with some credit unions to offer discounted insurance rates and premiums for their clients because they are able to show their due diligence through reporting.
Butler said the company’s software is especially suited to Connecticut’s shifting regulatory landscape. The company is constantly reviewing policy changes and updating its policies accordingly, she said, with a team of regulatory lawyers combing through updates as they come through.
“We are a bunch of policy nerds who really enjoy working with regulators and seeing what the landscape of their programs are going to look like and really following and tracking those changes as they evolve,” said Butler.
