Breaking Update from Leafbuyer CEO Kurt Rossner

Published: Wed, 12/18/19

Fellow shareholders,

After months of development and testing, I am pleased to report the successful launch of the new Leafbuyer mobile application.

This is one of our biggest releases of 2019 and a key strategic growth initiative going into 2020. We are beginning an aggressive campaign to gain mobile users and leverage that growth to acquire new customers.

In the coming months, we are also looking to align with new partners through acquisition and ultimately accomplish our goal of profitability in the first half of 2020.

I will strive to keep you informed of our rapid progress. On behalf of the Leafbuyer team, thank you for your support.

Have a wonderful holiday and Merry Christmas.

Kurt Rossner, Chairman and CEO

The New App

As announced in the recent press release, the new Leafbuyer app has arrived. Cannabis consumers across the nation can download it directly from Leafbuyer.com as a progressive web application (PWA). The app code has also been submitted to the Apple and Google Play stores which typically approve applications within weeks.

This new application is the result of months of technical work and years of product development. Leafbuyer provides a unique bundle of services in the cannabis industry, combining digital advertising with order ahead and loyalty technologies. Until now, those experiences have been hosted on multiple platforms, creating a fragmented user experience. Now, users can access all of these products simply by signing into the Leafbuyer app. With the all-encompassing mobile application, they will find a local store or delivery service, place an order, and check their wallet for transaction history and loyalty rewards.

The app also provides new benefits to CBD consumers. Users can browse CBD deals, find retail locations, and learn about the top brands in the industry. For this reason, the Leafbuyer team plans to widely market the app to attract consumers in all markets.

Other Developments

As announced on November 13, Leafbuyer achieved another record revenue quarter. Sales increased 27% in the quarter ending September 30, 2019. The growth reflects the revenue booked in the quarter versus the same quarter of the previous year. The accelerated growth rate is the result of a driven and specialized sales team and rapid expansion into new markets like Oklahoma. Leafbuyer is optimistic for future growth thanks to the app release and the 2019 trade show sales.

On November 20 the House Judiciary Committee passed The Marijuana Opportunity Reinvestment and Expungement (MORE) Act, marking the first time that a committee has approved a bill to legalize cannabis. Leafbuyer’s overall corporate strategy is to position itself carefully for the time when prohibition is repealed, so this congressional development is exciting news. The measure is expected to appear in front of the full House in 2020.

To achieve the stated goal of profitability in the first half of 2020, Leafbuyer has developed aggressive growth goals. Given the recent appetite for profitable publicly traded companies, Leafbuyer sees this step as a highly effective way to provide shareholder value.

The executive team is also reviewing potential acquisition possibilities. While exploring those options, the Leafbuyer team will continue to improve its products and aggressively expand into new markets such as Southern California and Michigan.

Leafbuyer will issue timely communications as important information becomes available.