FundCanna Secures $60M Credit Line to Expand Cannabis Lending
- FundCanna secured a $60 million credit line from an institutional investment firm, bringing its total capital to roughly $75 million, with $35 million immediately available.
- The new partner managing the credit line oversees approximately $40 billion in assets.
- FundCanna has developed expertise in the challenging cannabis lending market by underwriting thousands of deals over five years, attracting institutional capital partnership.
- Part of the capital will be used to scale the ReadyPaid service, which offers upfront payments to wholesale sellers and extended terms to wholesale purchasers.
The cannabis industry loans and financing solutions firm FundCanna announced this week that the company has roughly $75 million in capital, with $35 million immediately available, after securing a $60 million credit line from an institutional investment firm.
FundCanna’s new partner manages approximately $40 billion in assets, the company said in a press release.
“I’ve been lending to businesses for more than 20 years, and cannabis has proven to be a stronger credit market than many expect. But it’s also one of the most difficult markets to get right. The data is fragmented, the laws are inconsistent, and most lenders underestimate how different the cannabis industry can be. We’ve spent five years underwriting thousands of deals to build a real understanding of the space. That’s not easily replicated, and it’s a key reason institutional capital has chosen to partner with FundCanna.” — Adam Stettner, founder and CEO of FundCanna, in a statement
Some of the capital will go toward scaling the company’s ReadyPaid service, a loan program that helps wholesale sellers get paid upfront, while wholesale purchasers can get extended terms.
FundCanna says it has deployed more than $250 million across more than 5,000 transactions and is approaching $100 million in annualized lending.