CBD is one of the fastest growing products in the estimated nearly $200 billion global health supplement industry by 2025. In the US, the 2018 Farm Bill removed hemp-produced CBD from the controlled substances list creating opportunity for a whole generation of new health products, creating an opportunity for Spero CBD.
According to Forbes, New York-based investment bank Cowen & Co. estimates that annual sales of CBD can reach up to $16 billion by 2025.
CBD is for everyone – it can improve health and wellness in a variety of ways. CBD is a natural supplement to the endocannabinoid system found in all humans and vertebrate animals. Importantly, Spero CBD is 100% THC free, meaning it does not contain any psychoactive properties (no “high” feeling).
Initial marketing will target men and women aged 25-55 with interests in health and wellness, dietary supplements, environmental issues, and organics. Marketing will expand quickly to connect with a more diverse range of consumer interests.
We ensure that our product is the highest quality product on the market today. Our CBD products are produced by industry pioneering scientists in one of the world’s most sophisticated CBD laboratories delivering a consistent, premium product.
We ensure full compliance with each new regulation. Additionally, we will employ third party testing for concentration levels, pesticides, heavy metals, terpene profiles, and residual solvents. Additionally, these results will be available for customers on our site by entering in their product and batch numbers allowing customers to feel confident in the quality and safety of our products. Our products contain 0.000% THC, are broad-spectrum, and are produced from organically grown hemp.
Our initial product line consists of great tasting medium chain triglycerides (MCT) oil-based tinctures of varying CBD concentrations and flavors, gel caps, and a line of pet products. Spero will soon add topical skin products, pre-loaded vape cartridges, and flavor free CBD water for pets.
Liquid Chromatography Vs. Distillation
When it comes to CBD, chemistry is everything. Many CBD products on the market are produced from distillate, the powdered form of CBD created through a distillation process. This is then marketed as pure and THC free CBD. However, it is not pure, there are unintended isomers and degradation compounds created during the distillation process, and worse yet, residual solvents from the clarifying agents used to wash the finished distillate salt.
While producing a cheap and easy to ship product, the affects of these unnatural byproducts of the distillation process on humans and animals are currently unknown and the amount of residual toxins from chemical clarifying agents is untested and varies from batch to batch.
All Spero CBD products are processed through liquid chromatography. A process of binding to and removing THC which leaves an intact liquid extract full of only CBD, terpenes, and minor cannabinoids. We believe this produces a superior and safer extract full of everything you want and nothing you don't.
Tincture oils are one of the most efficient delivery mechanism for taking CBD. They allow the ability to adjust the dose of CBD exactly to your specific liking and the CBD is absorbed faster than other methods by placing the drops directly under your tongue. Combinations include:
Pure Flavor 250mg, 500mg, 1500mg
Peppermint Flavor 250mg, 500mg, 1500mg
Our CBD Gel Capsules are an easy and convenient way to take CBD orally and allow for the ability to combine other widely used natural supplements into a single capsule. Our Gel Capsule combinations include:
25mg CBD + Melatonin
25mg CBD + Turmeric
25mg Pure CBD
Vertebrate animals have an endocannabinoid system very similar to humans and CBD is proven to be as safe and beneficial for animal consumption as it is for human consumption. Therefore, SperoCBD has extended its product line to pets, providing treats and tinctures to help customers improve the health and well-being of their animal companions.
We plan to utilize three sales channels to drive steady growth.
- Direct to consumer retail via online sales. This will include a discounted monthly subscription plan. Currently, online sales makeup over 60% of all CBD sales according to Hemp Business Journal's 2018 market report.
- Wholesale direct to retail establishments through our internal sales team.
- Distribution network. We will utilize pre-existing relationships with established distributors to include Spero products in their offerings to their network of retail clients .
Our various approaches are proven and will help us accrue the revenue needed to continue to expand and reach increasingly larger corners of the market.
In three years, Spero aims be a leading brand in the CBD market. Our commitment to transparency, reliability, and education will help Spero CBD become the most trusted brand in America.
It is important to us to educate people as well as market to them about the effects and best practices of CBD. We want the name Spero to be synonymous with trust and quality. Spero will have a reputation of integrity and transparency and known for being discerning in the products we choose to put out.
We plan on raising additional capital through a Series A in order to expand into new domestic and international markets.
Our milestones revolve around organic brand driven growth, and include:
1. Successful crowdfunding campaign.
2. Receipt of inventory.
3. Activate SperoCbd.com live sales.
4. Retail placement.
5. Execute partnerships with distributors.
6. Expand product line.
7. Increase month to month revenue to attract additional investment.
8. Target Series A funding round.
Our impressive team is Spero’s greatest asset. At the helm, we have a group of professionals with a proven track record to ensure success.
SperoCBD started when our CEO and Founder, David Allred, searched for something to help a friend’s old dog suffering from seizures.
A seasoned entrepreneur with a background in biochemistry, David discovered the benefits of CBD for both animals and humans. Soon after, he attracted a unique group of leaders to help execute his vision for a high-quality CBD brand and product line. Thanks to the amazing team of founders and co-founders Justin Jarin (Blüm & The Green Door); Tim Hadley (LatAm Autos); Christine Gutleben (Formerly with The Humane Society of the United States); Ashley Rocha and Lyndsey Jordan (Rumble Agency); Aline Garcia (Acquaflora & Ruclear) and Mike Van Der Heijden (Portal Ventures) SperoCBD took shape as an appealing lifestyle supplement for people and pets.[1]
Along with David, the executive team is composed of, Justin Jarin, who is an owner and operator of the 2nd oldest dispensary in the country. Christine Gutleben, who served 11 years as the Senior Director for The Humane Society of the United States (HSUS) in Washington DC. She built an extensive network of influencers to support animal welfare and helped passed federal and state policies for the protection of animals. Tim Handley an experienced M&A investment banker who launched LatAm Autos, led it to a successful IPO and serves as its board’s executive chairman. With decades of experience and passion between those in charge, SperoCBD will conquer this nascent industry.
[1] Affiliations listed for identification purposes only.
Spero has already raised over $50K from the founders. Additionally, through our skilled team, we have established networks in the cannabis and pet space. With Justin’s 15 years working with key product distributors and Christine’s network of influencers in animal welfare, Spero will have a leg up over competitors for getting product into the market quickly.
While there are competitors (Chartlotte’s Web Botanicals, Hemp Meds and Bluebird Botanicals) that sell CBD products derived from industrial hemp, Spero sets itself apart in a big way.
Spero’s competitive advantages will leverage the following strategies:
Highest quality product
3rd party testing of products to guarantee consistency
Education and content creation
Innovative new products
Utilizing pre-existing relationships in the cannabis and pet markets
Data driven marketing
Customer Experience for both end-user and B2B
Spero's giving back model and community engagement
Highest quality product: As previously discussed, Spero’s products are all 100% whole plant, THC free, and produced from organically grown hemp. Additionally, the THC is removed through liquid chromatography which results in a product which contains only CBD, terpenes, and minor cannabinoids. This process produces a THC free product but still allows the additional cannabinoids to remain and work synergistically together for a more effective result. The effectiveness of the multiple cannabinoids working together has been named the Entourage Effect by researches and is well documented.
https://www.ncbi.nlm.nih.gov/pmc/articles/PMC6334252/
3rd party testing of products to guarantee consistency and quality: We believe mislabeling and toxic residual solvents are the elephants in the room when looking at the CBD industry. This recent expose article titled “A California company tested 20 popular CBD products and found ‘insanely high levels’ of dangerous chemicals and misleading labels” published in April 2019 by Business Insider clearly shows how prevalent these two issues are.
In this study only 15% of the products tested matched their labels for concentration of CBD and the testing laboratory CannaSafe’s CEO states “some of the products also contained dangerously high levels of solvents”. Addressing these two major problems provides an opportunity for Spero to shine by 3rd party testing all of our products before sale and publishing the results on our site. This level of transparency will set Spero apart and build brand loyalty and trust.
Education and content creation: Spero will set itself apart through educational marketing by creating original quality content currently lacking in the market. This content will establish Spero CBD as a trusted consumer brand along with increasing SEO rankings and organic traffic to our site. We believe good content marketing is the best long term strategy and produces the highest ROI over time.
Innovative new products. We believe a company which does not innovate will be a company which does not last. As the CBD market matures, people will be looking for new and innovative products to try and use. Proprietary lines of products will separate Spero from its competitors and build brand loyalty by offering products unavailable anywhere else. Spero will work to develop proprietary product lines starting with skin creams and pet products.
Giving back model: We plan on helping people in need and pets in shelters by donating 3% of gross sales in the form of Spero CBD products. This will connect Spero CBD with communities and build brand loyalty. We will start by focusing on children with epilepsy, Alzheimer’s patients, opiate addicts in recovery, and animals in shelters.
At Spero, we believe the democratization of investing through crowdfunding will benefit our company and its growth. Crowdfunding provides an unprecedented opportunity to invest in CBD at the ground floor without a high investment threshold. It will also create a varied investor group of brand ambassadors around the globe.
In addition to owning a stake in Spero's success all of our crowd funding investors will receive lifetime discounts on all of Spero CBD products. This is a great way to secure the highest quality CBD products for at a discount for yourself and loved ones. The only condition is that they are purchased directly by the investor and shipped directly to the investors home or business address.
Even more exciting is the opportunity for investors of $1,000.00 or more to then purchase Spero CBD products at wholesale pricing for single orders of $3,000.00 or more. This is intended to let early investors become resellers of Spero CBD products without the high purchase requirements for normal businesses to receive wholesale pricing. We hope many of our investors build their own businesses on selling Spero CBD products.
The money raised will go towards inventory, increasing marketing offensives, creating educational and marketing content, hiring additional team members, and supplementary product development.
Company | : | Noble Naturals |
Corporate Address | : | 2418 Potter Street, Oakland, CA 94601 |
Offering Minimum | : | $10,000.00 |
Offering Maximum | : | $1,070,000.00 |
Minimum Investment Amount(per investor) | : | $250.00 |
Offering Type | : | Convertible Promissory Notes |
Type of Equity Converted Into | : | Common Stock |
Conversion Trigger | : | $2,000,000.00 |
Maturity Date | : | May 01, 2021 |
Valuation Cap | : | $6,000,000.00 |
Discount Rate | : | 20.0% |
Annual Interest Rate | : | 8.0% |
What is a Convertible Note?
A convertible note offers you the right to receive Common Stock in Noble Naturals. The amount of Common Stock you will receive in the future will be determined at the next equity round in which the Company raises at least $2,000,000.00 in a qualified equity financing. The highest conversion price per security is set based on a $6,000,000.00 Valuation Cap or if less, then you will receive a 20.0% discount on the price the new investors are paying. You also receive 8.0% interest per year added to your investment. When the maturity date is reached, if the note has not converted then you are entitled to receive Common Stock equal to your investment and interest back at a price per security determined by dividing the Valuation Cap by the aggregate number of outstanding equity securities of the Company as of immediately prior (on a fully diluted basis).
*Annual Interest Rate subject to adjustment of 10% bonus for StartEngine shareholders. See 10% Bonus below
Perks*
Perks offered to all crowdfunding investors based on investment value.
Discounts apply to retail pricing for all Spero products for company lifetime.
Investment of $250-$499, Investor receives 15% discount off retail
Investment of $500-$749, Investor receives 20% discount off retail and a 30ml tincture bottle of 500mg SperoCBD ($75 retail value)
Investment of $750-$999, Investor receives 30% discount off retail, a 30ml tincture bottle of 500mg SperoCBD and a 30ct package of 60mg Spero dog treats ($125 retail value)
In addition to the following perks, $1,000+ investors receive 40% discount off retail or 50% for orders over $3,000.
Investment of $1,000+, Investor receives a 30ml tincture bottle of 500mg SperoCBD, a 60ct jar of 600mg Spero gel caps and a 30ct package of Spero dog treats ($200 retail value)
Investment of $2,000+, Investor receives 6 of the following products in any combination: 30ml tincture bottle of 500mg SperoCBD; 60ct jar of 600mg Spero gel caps; 30ct package of Spero dog treats ($450 retail value)
Investment of $5000+, Investor receives 12 of the following products in any combination: 30ml tincture bottle of 500mg SperoCBD; 60ct jar of 600mg Spero gel caps; 30ct package of Spero dog treats ($900 retail value)
Investment of $10,000+, Investor receives 24 of the following products in any combination: 30ml tincture bottle of 500mg SperoCBD; 60ct jar of 600mg Spero gel caps; 30ct package of Spero dog treats ($1,800 retail value)
Investments at the $2k, $5k and $10k level receive 3 products every 3 months until fulfilled.
Investors must order products on SperoCBD.com and pay for shipping.
*All perks occur after the offering is completed.
The 10% Bonus for StartEngine Shareholders
GroundSwell SPC will offer 10% additional bonus interest for all investments that are committed by StartEngine Crowdfunding Inc. shareholders who invested over $1,000 in StartEngine's own offerings.
StartEngine shareholders who have invested $1,000+ in the StartEngine Reg A+ campaign will receive a 10% increase in the annual interest rate on Convertible Promissory Notes in this Offering. For example, if you invest in the first 24 hours, your annual interest rate will be 8.8% instead of 8.0%.
This 10% Bonus is only valid for one year from the time StartEngine Crowdfunding Inc. investors receive their countersigned StartEngine Crowdfunding Inc. subscription agreement.
A crowdfunding investment involves risk. You should not invest any funds in this offering unless you can afford to lose your entire investment. In making an investment decision, investors must rely on their own examination of the issuer and the terms of the offering, including the merits and risks involved. These securities have not been recommended or approved by any federal or state securities commission or regulatory authority. Furthermore, these authorities have not passed upon the accuracy or adequacy of this document. The U.S. Securities and Exchange Commission does not pass upon the merits of any securities offered or the terms of the offering, nor does it pass upon the accuracy or completeness of any offering document or literature. These securities are offered under an exemption from registration; however, the U.S. Securities and Exchange Commission has not made an independent determination that these securities are exempt from registration.
[The following is an automated notice from the StartEngine team].
Hello!
As you might know, Spero CBD has exceeded its minimum funding goal. When a company reaches its minimum on StartEngine, it's about to begin withdrawing funds. If you invested in Spero CBD be on the lookout for an email that describes more about the disbursement process.
This campaign will continue to accept investments until its indicated closing date.
Thanks for funding the future.
-StartEngine
We are happy to announce we are fully subscribed.
The entire Spero team would like to thank all of our investors that have made this important milestone possible. Spero is now among the elite group of companies to have fully funded a Reg CF raise.
Although we are no longer able to accept investments at the moment, investments can still be reserved on the waitlist to replace any investments that fall off before the close of the campaign.
The waitlist goes in the order of registration and those that register earliest will have the first option to fill any available investments that may become available.
We encourage anyone that wanted to invest and was unable to before reaching the max raise amount to join the waitlist.
Stay Healthy,
The Spero Team
We are nearing full subscription with only $18,000 still available to max out our Reg CF raise on Start Engine.
Our inventory has arrived at our new drop shipping partner and is currently being checked into their system. It will still take them a few business days to finish the onboarding process and once that is done we just flick the go switch on our end. We have already integrated with their systems and expect to be shipping orders out with them this week.
We also have monthly subscriptions working on our staging site and will be pushing this live as soon as we run a few test orders through the new drop shipper to make sure everything is working seamlessly. We had to have some coding done to allow for us to offer special discounts to investors for monthly subscriptions and on the staging site everything appears to be working.
Updates to the rest of our sites pages are also moving along and we hope to have these live by the end of the week. This will have the rest of the site follow the new homepage design with better information flow and product pages. We believe this will improve the overall customer experience on the site.
Stay tuned for our monthly subscription announcement for investors coming very soon.
Stay healthy,
Spero
[The following is an automated notice from the StartEngine team].
Hello!
As you might know, Spero CBD has exceeded its minimum funding goal. When a company reaches its minimum on StartEngine, it's about to begin withdrawing funds. If you invested in Spero CBD be on the lookout for an email that describes more about the disbursement process.
This campaign will continue to accept investments until its indicated closing date.
Thanks for funding the future.
-StartEngine
Hello,
A quick campaign update and progress for some of this month’s objectives.
We are very happy to announce that we are near to being fully subscribed on our Reg CF Raise.
We are currently at over $980,000 raised from over 1900 investors. Our maximum raise amount allowed for Reg CF is $1,070,000. This means we can only accommodate less than $90,000 more of investments and then our raise will be closed, and we will not be able to accept any more investments.
If you have been thinking about investing in Spero, now is great moment to do so before our Reg CF campaign is closed.
We recently closed a disbursement, which included investments closed up to Aug 3rd. We will be emailing all investors included in the disbursement directly for perk registration on Thursday.
Current site work and drop shipping updates:
Take a look at our updated homepage. www.sperocbd.com We just pushed this live today and there are still some minor tweaks that will be made over the next couple of days. One detail is that for some reason on Chrome, Firefox, and mobile browsers the old orange buttons are still appearing. We believe this is a cache issue within WP engine and should be fixed by tomorrow. It is best if you are able to view on Safari browser today.
The main goal was to clean up the homepage, improve our story and messaging, and push our brand ambassadors front and center. You will see them now highlighted on the homepage along with our James Blake video. We believe these changes will leave an impactful impression for users coming into contact with Spero for first time and give confidence in the brand.
We have amazing brand ambassadors and we will be starting PR campaigns with them soon.
We will be working on updating the remaining additional pages of the site for version 1.1 over the next two weeks. We will then continue our work on version 2.0, which is a complete overhaul of the look and feel for the Spero brand and site.
The referral program and loyalty points are in place and fully functional. We are just waiting to finish up the current web changes and have Ship Bob drop shipping in place before asking investors to start using them. This is because we want the best customer experience for anyone our investors refer to Spero. We believe this is going to be a big boost to Spero with over 1900 investors helping to market Spero, and everything we are working on at the moment is to make sure this referral push from our investors goes as smoothly as possible. We will be sending post ideas to all of you as soon the new shipping partner is in place. You will earn $10.00 in store credits for every new user that makes a purchase using your referral link. Some of you may never need to pay for your CBD again.
We are nearing the last stages of switching over to Ship Bob. Our current inventory is being shipped to Ship Bob tomorrow by our current drop shipper. Once Ship Bob receives the inventory it takes them up to 5 business days to finish the final steps and begin shipping. Everything is already set up in their systems with inventory controls and we should be able to start shipping with them next week. This is a big change for Spero and we believe the short-term pain of switching to a more sophisticated shipping partner will pay off heavily in the long run.
The monthly subscription plugins are installed on the staging site and we are working on some coding changes before pushing this live. The coding changes are only needed to allow us to offer special pricing on monthly subscriptions to all of our investors while still allowing investors to use their perk discounts on normal purchases. We believe we will have this ready to push live next week.
To increase email capture from site traffic we have added a popup (users can click to never see the popup again) offering a 25% discount coupon for signing up to our email list. They still also can subscribe at the bottom of the page and receive the same discount code. Mail Chimp instantly emails this code after subscription to the email list and it is good for one purchase only.
We still have a lot of work in front of us, but we are excited to see the momentum building.
Stay tuned for more updates soon.
Stay Healthy,
The Spero Team
[The following is an automated notice from the StartEngine team].
Hello!
As you might know, Spero CBD has exceeded its minimum funding goal. When a company reaches its minimum on StartEngine, it's about to begin withdrawing funds. If you invested in Spero CBD be on the lookout for an email that describes more about the disbursement process.
This campaign will continue to accept investments until its indicated closing date.
Thanks for funding the future.
-StartEngine
[The following is an automated notice from the StartEngine team].
Hello!
As you might know, Spero CBD has exceeded its minimum funding goal. When a company reaches its minimum on StartEngine, it's about to begin withdrawing funds. If you invested in Spero CBD be on the lookout for an email that describes more about the disbursement process.
This campaign will continue to accept investments until its indicated closing date.
Thanks for funding the future.
-StartEngine
[The following is an automated notice from the StartEngine team].
Hello!
As you might know, Spero CBD has exceeded its minimum funding goal. When a company reaches its minimum on StartEngine, it's about to begin withdrawing funds. If you invested in Spero CBD be on the lookout for an email that describes more about the disbursement process.
This campaign will continue to accept investments until its indicated closing date.
Thanks for funding the future.
-StartEngine
[The following is an automated notice from the StartEngine team].
Hello!
As you might know, Spero CBD has exceeded its minimum funding goal. When a company reaches its minimum on StartEngine, it's about to begin withdrawing funds. If you invested in Spero CBD be on the lookout for an email that describes more about the disbursement process.
This campaign will continue to accept investments until its indicated closing date.
Thanks for funding the future.
-StartEngine
[The following is an automated notice from the StartEngine team].
Hello! Recently, a change was made to the Spero CBD offering. Here's an excerpt describing the specifics of the change:
Extended length of campaign.
When live offerings undergo changes like these on StartEngine, the SEC requires that certain investments be reconfirmed. If your investment requires reconfirmation, you will be contacted by StartEngine via email with further instructions.
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