Venture Capital – Law Street https://legacy.lawstreetmedia.com Law and Policy for Our Generation Wed, 13 Nov 2019 21:46:22 +0000 en-US hourly 1 https://wordpress.org/?v=4.9.8 100397344 New Snoop Dogg-Backed Startup Brings Weed to Your Door https://legacy.lawstreetmedia.com/blogs/cannabis-in-america/new-snoop-dogg-backed-startup-brings-weed-to-your-door/ https://legacy.lawstreetmedia.com/blogs/cannabis-in-america/new-snoop-dogg-backed-startup-brings-weed-to-your-door/#respond Tue, 14 Apr 2015 20:48:50 +0000 http://lawstreetmedia.wpengine.com/?p=37933

New company Eaze is the Uber of Weed and Snoop Dogg is one of its biggest investors.

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There’s a hot, new startup in town and it’s solving a problem that has long gone unanswered–how to get medical marijuana delivered to you. It’s called Eaze and it’s being promoted as Uber for weed. As more and more states legalize marijuana, and many more allow the substance to be used for medicinal purposes, the commercial industry is going to continue booming. Eaze wants a piece of that–and from the looks of it, so do Eaze’s many investors.

The San Francisco-based company has already gotten quite a bit of funding. In its series A funding round–essentially its first big push for venture capital money–it received a very impressive grand total of $10 million. One of the more prominent investors is Casa Verde Capital. For those of you for whom that doesn’t ring a bell, that’s the name of the venture capital fund run by Snoop Dogg. Although this was Eaze’s first major funding push, it also received $1.5 million at the beginning of last year to get started.

Calling Eaze the Uber of weed, or at least medical marijuana, seems pretty much spot on. Users can order the drug with the click of a button, and Eaze promises a ten minute or less turn-around time. The company connects already-existing dispensaries with customers, and has a fleet of drivers ready to transport the orders. Eaze also allows customers to look through what each dispensary offers, including lab results, in order to find a good match between customer and product.

The business certainly has some kinks to work out, but they seem to be relatively minor. TechCrunch’s Ryan Lawler tried it out over the weekend and pointed out that right now it only accepts cash, which can be viewed as inconvenience for anyone who operates mostly in plastic.

Eaze isn’t the only business trying to capitalize on medical marijuana, however. There are plenty of others that have similar ideas and business plans. Some of the more well known include Nestdrop, Meadow, Grassp, Dave, and Canary, each of which have slightly different business models, platforms, and markets.

Moreover, that’s only considering the weed delivery industry. Other pot-based startups have already begun to try to break off chunks of what will inevitably end up being a gigantic market. For example, Privateer Holdings, based in Seattle, recently raised $75 million in funding for its many endeavors in the marijuana market. Privateer Holdings already has a hold on the Canadian medical marijuana market, and plans on “branding” marijuana to sell in the United States. One of those brands will be “Marley Natural“–based on the late Bob Marley. The business will involve his family and estate.

Now that the tide really does seem to be turning both for medical and recreational weed, it seems like there’s no good reason for funders not to back some of these projects. After all, legal marijuana has been named the fastest growing industry in the United States. A company like Eaze has the potential to become massively profitable, given the convenience of having items delivered to your door, as well as its ability to prevent any sort of “high” driving. Snoop Dogg’s investment is probably a pretty good one, and with that kind of backing, we should expect to see Eaze expand with this growing market.

Anneliese Mahoney
Anneliese Mahoney is Managing Editor at Law Street and a Connecticut transplant to Washington D.C. She has a Bachelor’s degree in International Affairs from the George Washington University, and a passion for law, politics, and social issues. Contact Anneliese at amahoney@LawStreetMedia.com.

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Ellen Pao Loses Sex Discrimination Lawsuit Against Kleiner https://legacy.lawstreetmedia.com/news/ellen-pao-loses-sex-discrimination-lawsuit-kleiner/ https://legacy.lawstreetmedia.com/news/ellen-pao-loses-sex-discrimination-lawsuit-kleiner/#respond Mon, 30 Mar 2015 16:16:02 +0000 http://lawstreetmedia.wpengine.com/?p=36852

Ellen Pao may not have won her sex discrimination suit against Kleiner, but she made her point.

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Image courtesy of [Christian Rondeau via Flickr]

Silicon Valley and its main industries–tech companies and venture capital firms–has been long under fire for its lack of gender diversity. From depressing statistics about the diversity of various tech companies, to female developer Adria Richards live tweeting sexist comments at a tech conference in 2013, Silicon Valley has done plenty to live up to that reputation. However, if you’re looking for a pretty damning example of sexism in the industry, look no further than the recent Ellen Pao-Kleiner Perkins Caulfield & Byers case, decided late last week. The decision concluded that the prominent VC firm didn’t discriminate against former employee Pao.

Pao, who is now the interim CEO of social media and news site “Reddit,” started at the prestigious venture capital firm Kleiner Perkins Caulfield & Byers in 2005. A graduate of Princeton, Harvard Law, and Harvard Business School, she was brought on as the chief of staff for John Doerr, one of the senior partners at the firm. Doerr–who was involved in the success of Netscape, Amazon, and Google–is well known as one of Kleiner’s most prominent voices. Pao was then made a junior investing partner, but was never made a senior partner, and was fired in 2012.

Her suit alleged that she was passed over for the senior partner promotion based on sex discrimination, that she was retaliated against for complaining about sex discrimination, and that she was fired because of the complaints she levied. Kleiner claimed that they treated her fairly, and passed her over because she was not going to be a good fit for the job. Pao argues that men with similar profiles and histories were promoted when she wasn’t. Pao’s suit asked for $16 million total, a combination of both punitive and compensatory damages.

The suit was decided against Pao–in other words, it was concluded that Kleiner was not guilty of sex discrimination. Based on the information that the jury had, I have no reason to believe they decided the case as anything other than fairly and to the best of their ability. But there’s an important distinction here–Kleiner can both be not discriminatory and still be a really crappy place to work.

That’s pretty much exactly what happened–Pao brought up a lot of pretty bad evidence about Kleiner’s employees and culture. While Kleiner did end up successful in the suit, they were still dragged through through the mud. Examples cited by Pao include Doerr, who had seemingly always been one of her biggest supporters and mentors, saying to an investor that she had “a female chip on her shoulder.” She also complained that partner Ajit Nazre retaliated against her after their consensual relationship ended. When she complained to Ray Lane, another high-ranking partner, he told her to marry Nazre to solve her problems. She claims another partner gave her a book of sexually explicit drawings, and that yet another didn’t invite women to parties because they “kill the buzz.” It wasn’t all just about Pao, either, as there was discussion of an incident in which Nazre showed up at a female junior partner’s hotel room in just a bathrobe, propositioning her.

So, while Kleiner may not have been guilty of discriminating against Pao specifically because of her gender, it’s pretty clear that they didn’t act appropriately at every turn. This isn’t any sort of surprising revelation–gender discrimination and sexism have long been alleged in Silicon Valley–but this case certainly didn’t help to dispel that concept. While Pao didn’t get her money, she certainly made her point.

Anneliese Mahoney
Anneliese Mahoney is Managing Editor at Law Street and a Connecticut transplant to Washington D.C. She has a Bachelor’s degree in International Affairs from the George Washington University, and a passion for law, politics, and social issues. Contact Anneliese at amahoney@LawStreetMedia.com.

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