Cannabis home growing is one of the fastest growing sectors in the $60 billion-a-year lawn and garden market in North America.
Thanks to cannabis legalization, the home grow market has doubled year-over-year for the past three years. It’s expected there will be 4 million people in North America alone growing their own cannabis by the end of 2017.
Jim Hagedorn, CEO of Scotts Miracle-Gro, recently told Forbes that cannabis home growing is “the biggest thing [he’s] ever seen in lawn and garden.” He didn’t stop there: The company has already invested several hundred million dollars in cannabis growing.
So what’s the problem?
Home growing is difficult. It’s time consuming. A full 70% of first-time growers fail.
LEAF is the solution.
LEAF is a plug n' plant system that automatically grows food and medical plants. We like to think of it as a beautiful mini fridge that stocks itself with high quality medicine.
Mission & Vision
At LEAF, we aim to make growing high-quality, pesticide-free cannabis, vegetables, and herbs easy for anyone and everyone, regardless of experience.
We've designed LEAF to be cost-effective too. One high-quality ounce of marijuana could cost as much as $300 in the United States. LEAF can grow 3-4 cycles per year and can produce up to 12-16 ounces per year – a $3600-$4800 value. With a price point of $2,990, LEAF pays for itself in under a year!
LEAF technology starts with lighting created by lead agricultural lighting researchers at NASA that has been tailored for the best quality medicine. The LEAF unit also takes care of automatic nutrient dosing, ph balancing, temperature control, humidity control, and odor neutralization. And the LEAF smart system is smartphone-controlled, so you can grow from anywhere.
We partner all of that with a beautiful design that allows LEAF to fit perfectly in any home.
We believe the market wants LEAF — we recently launched a pre-order campaign that we pre-sold $2.5m in product in only 60 days. We also just won Product Hunt’s 2016 Hardware Product of the Year award.
- Precise Temperature and Humidity Control
- Automatic Nutrient Dosing
- Optional Hookup For Automatic Water Changes
- Smell-Preventing Carbon Filter
- Easy Step-by-Step Video Instructions
- Drying Mode
- Advanced BIOS Lighting LED
- Full Grow Control with iOS and Android App
- Sync Recipes From the Community
- Pesticide and Harmful Chemical Free
- Door Lock Controlled Via App
In early 2015, Jonathan “Yoni” Ofir started building an automated grow box for his own needs. He loved growing, but with a busy professional life he couldn't be around his plants all the time. This is how LEAF was born. Yoni built a prototype, and found an unmet need in a home grower market already expanding.
Yoni and partner Eran Mordechay worked for three years together on a previous company called Alcohoot, one of the world's first smartphone breathalyzers, which was backed by Techstars and acquired in 2014. When Yoni decided to commercialize the product, Eran was a natural partner. They both have experience in bringing complex hardware products to market, have an excellent track record together and are great friends. This is how the LEAF team was born!
Frequently Asked Questions
A Side by Side offering refers to a deal that is raising capital under two offering types. This Side by Side offering is raising under Regulation CF and Rule 506(c) of Regulation D.
The Form C is a document the company must file with the Securities and Exchange Commission (“SEC”) which includes basic information about the company and its offering and is a condition to making a Reg CF offering available to investors. It is important to note that the SEC does not review the Form C, and therefore is not recommending and/or approving any of the securities being offered.
Before making any investment decision, it is highly recommended that prospective investors review the Form C filed with the SEC (included in the company's profile) before making any investment decision.
Rule 506(c) under Regulation D is a type of offering with no limits on how much a company may raise. The company may generally solicit their offering, but the company must verify each investor’s status as an accredited investor prior to closing and accepting funds. To learn more about Rule 506(c) under Regulation D and other offering types check out our blog and academy.
Title III of the JOBS Act outlines Reg CF, a type of offering allowing private companies to raise up to $1 million from all Americans. Prior capital raising options limited private companies to raising money only from accredited investors, historically the wealthiest ~2% of Americans. Like a Kickstarter campaign, Reg CF allows companies to raise funds online from their early adopters and the crowd. However, instead of providing investors a reward such as a t-shirt or a card, investors receive shares, typically equity, in the startups they back. To learn more about Reg CF and other offering types check out our blog and academy.
When you complete your investment on SeedInvest, your money will be transferred to an escrow account where an independent escrow agent will watch over your investment until it is accepted by Leaf. Once Leaf accepts your investment, and certain regulatory procedures are completed, your money will be transferred from the escrow account to Leaf in exchange for your shares. At that point, you will be a proud owner in Leaf.
To make an investment, you will need the following information readily available:
- Personal information such as your current address and phone number
- Employment and employer information
- Net worth and income information
- Social Security Number or government-issued identification
- ABA bank routing number and checking account number (typically found on a personal check or bank statement)
If you are investing under Rule 506(c) of Regulation D, your status as an Accredited Investor will also need to be verified and you will be asked to provide documentation supporting your income, net worth, revenue, or net assets or a letter from a qualified advisor such as a Registered Investment Advisor, Registered Broker Dealer, Lawyer, or CPA.
An investor is limited in the amount that he or she may invest in a Reg CF offering during any 12-month period:
- If either the annual income or the net worth of the investor is less than $100,000, the investor is limited to the greater of $2,000 or 5% of the lesser of his or her annual income or net worth.
- If the annual income and net worth of the investor are both greater than $100,000, the investor is limited to 10% of the lesser of his or her annual income or net worth, to a maximum of $100,000.
Separately, Leaf has set a minimum investment amount of US $0.
Accredited investors investing $20,000 or over do not have investment limits.
You are a partial owner of the company, you do own shares after all! But more importantly, companies which have raised money via Regulation CF must file information with the SEC and post it on their websites on an annual basis. Receiving regular company updates is important to keep shareholders educated and informed about the progress of the company and their investment. This annual report includes information similar to a company’s initial Reg CF filing and key information that a company will want to share with its investors to foster a dynamic and healthy relationship.
In certain circumstances a company may terminate its ongoing reporting requirement if:
- The company becomes a fully-reporting registrant with the SEC
- The company has filed at least one annual report, but has no more than 300 shareholders of record
- The company has filed at least three annual reports, and has no more than $10 million in assets
- The company or another party purchases or repurchases all the securities sold in reliance on Section 4(a)(6)
- The company ceases to do business
However, regardless of whether a company has terminated its ongoing reporting requirement per SEC rules, SeedInvest works with all companies on its platform to ensure that investors are provided quarterly updates. These quarterly reports will include information such as: (i) quarterly net sales, (ii) quarterly change in cash and cash on hand, (iii) material updates on the business, (iv) fundraising updates (any plans for next round, current round status, etc.), and (v) any notable press and news.
Currently there is no market or liquidity for these shares. Right now Leaf does not plan to list these shares on a national exchange or another secondary market. At some point Leaf may choose to do so, but until then you should plan to hold your investment for a significant period of time before a “liquidation event” occurs. A “liquidation event” is when Leaf either lists their shares on an exchange, is acquired, or goes bankrupt.
You can return to SeedInvest at any time to view your portfolio of investments and obtain a summary statement. If invested under Regulation CF you may also receive periodic updates from the company about their business, in addition to monthly account statements.
This is Leaf's fundraising profile page, where you can find information that may be helpful for you to make an investment decision in their company. The information on this page includes the company overview, team bios, and the risks and disclosures related to this investment opportunity. If the company runs a side by side offering that includes an offering under Regulation CF, you may also find a copy of the Leaf's Form C. The Form C includes important details about Leaf's fundraise that you should review before investing.
For offerings made under Regulation CF, you may cancel your investment at any time up to 48 hours before a closing occurs or an earlier date set by the company. You will be sent a reminder notification approximately five days before the closing or set date giving you an opportunity to cancel your investment if you had not already done so. Once a closing occurs, and if you have not canceled your investment, you will receive an email notifying you that your shares have been issued. If you have already funded your investment, your funds will be promptly refunded to you upon cancellation. To cancel your investment, you may go to your portfolio page
If you invest under any other offering type, you may cancel your investment at any time, for any reason until a closing occurs. You will receive an email when the closing occurs and your shares have been issued. If you have already funded your investment and your funds are in escrow, your funds will be promptly refunded to you upon cancellation. To cancel your investment, please go to your portfolio page.