Awesome Post from Facebook Pzoo board - Must Read
I actually believe the $5 million offering is the best thing for both PZOO and Steep Hill moving forward with their aggressive expansion plan. Pazoo Co-CEO Antonio Del Hierro commented, "I expect that Pazoo, through its subsidiary companies, will have the largest footprint of any marijuana testing lab company nation-wide by the end of this year with plans to substantially increase that footprint by the end of 2016. We plan on providing proper guidance to other states on the implementation of testing standards to be adopted." Now keep this is mind: Pazoo uses Steep Hill's technology and currently Steep Hill only has 1 facility while Pazoo may have 5 by the end of the year! This all means 2 things:
1) For Steep Hill to expand their brand, they must open a couple more locations to expand their brand and name recognition regionally and internationally (Hence, New Mexico and Jamaica). Pazoo is partaking in a much more aggressive expansion campaign. Pazoo' expansion, whether you like or not, is closely tied to Steep Hills brand. While Pazoo is responsible for expanding the business, Steep Hill is ultimately responsible for expanding their brand and technology.
2) The above quote implies that it is Pazoo's plan to become the go to company States can refer to in order to get guidance regarding the implementation of testing standards in their State. Currently, Steep Hills technology is ranked #1 in testing. To maintain this ranking and to have the flexibility to meet any requirements a State may impose in this new and emerging market, they must work to continuously update their technology and have the capital to supply the corresponding equipment. Staying status quo is not an option if you want to be a leader and you want to remain #1
Having said all this, finances are necessary. Expansion, branding, name recognition, innovative technology and equipment requires capital. The fastest was to acquire this funding is via the offering they have announced. It allows them to maintain the company's current growth rate, allows them to keep up with the demands of Pazoo's aggressive expansion plan which will inevitably put high demands on them and it prevents them from doing unnecessary forms of creative financing in the future. In my opinion, this is great for both Pazoo and Steep Hill and will enhance their brand, technology and expansion plans!!!
