Craftag
CraftAg was formed in 2019 to provide agricultural technology and plant genetics to the U.S. industrial hemp industry (made federally legal by the 2018 Farm Bill). The company pioneered a new approach to drying and curing high-CBD hemp flower at agricultural scale that preserved valuable chemical compounds, reduced spoilage, and increased the yield of sellable material by 400%. Despite a successful product launch and national distribution through over a hundred brokers and resellers, the company was hampered by a high level of default on customer credit and ran out of cash. The primary enterprise investor withdrew support for CraftAg at this time, citing an internal change in leadership and strategic direction as the reason. A negative shift in investor sentiment toward the hemp industry made it difficult to replace them. In November 2021, CraftAg suspended operations and laid off all but a few key members of its staff. Owners and remaining employees developed a new business plan, pivoting to a cash flow positive, service-based model, and secured a contract worth $60 million. Unfortunately, they were unable to secure the additional capital required to relaunch the company, and CraftAg closed permanently on March 1, 2022.
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Chase Reiff
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