CB2 Insights

Developing Data-Driven Cannabis Platforms

This profile is part of a paid investor education campaign.*


CB2 Insights (CSE:CBII, OTCQB:CBIIF) is an established, data-focused cannabis solution provider with a proven revenue model and a growing international presence. The company’s mission is to mainstream medical cannabis into traditional healthcare by providing the industry with real-world evidence driven through its clinical operations.  Currently, the company generates its revenue through its clinics.  In the future, management intends to generate revenue from the licensing of proprietary analytical tools that will harness data taken from its clinics’ operations.

CB2 Insights CEO, Prad Sekar, and his co-founder and COO, Kash Qureshi, are entrepreneurs that have launched and managed businesses in the fields of practice management, technology, education and recruitment and medical devices. Their combined backgrounds in healthcare and technology help the company create innovative technology solutions that bridge the gap between patients, physicians and vendors in the cannabis industry.

At this time, CB2 Insights is primarily focused on their Canna Care Docs brand, a service-based offering that operates a growing network of cannabis evaluation and education centers in the US. They provide evaluation and education from licensed healthcare practitioners to patients looking to integrate cannabis into their treatment plans. Canna Care Docs was acquired by CB2 Insights in December 2017 and within one year Sekar and Qureshi had increased Canna Care Docs’ revenues, its number of patients, and its patient retention rate by 20% while doubling its profitability.

Today, CB2 Insights has 28 clinics across 12 US states, and in 2018, it earned approximately $11 million in revenue. Management has stated its goal of achieving $20 million in revenue in 2019, much of that being attributable to acquisitions of US-based clinics.

In addition to Canna Care Docs, CB2 Insights has two other brands. The company’s Sail platform is a clinical practice management and data collection tool that helps with clinic operations and brings traditional healthcare practices to cannabis clinics. The platform includes evaluation tools and dosing guidelines for physicians looking to integrate cannabis into their practice.

CB2 Insights’ TokeIn platform provides retailers with analytical tools that help dispensaries increase their revenue, boost foot traffic and build store loyalty. The platform allows retailers to engage with their customers, build rewards programs and opt-in customized deals through a variety of communication channels.

“While each of our established brands continues to grow within Canada, the US and internationally, we now have a substantial opportunity to leverage these assets to build predictive analytics tools to fill the deep void of trusted data currently available in this highly fragmented industry,” said CB2 Insights CEO Prad Sekar. “CB2 Insights’ mission is to ensure that big data is central to the evolution of the industry, as it is more needed today than it has ever been before.

Company Highlights

  • Global cannabis market expected to reach US$146.4 billion by 2025.
  • US CBD market projected to reach $22 billion by 2022.
  • Canna Care Docs in 28 clinics across 12 US states.
  • Patient retention rate up to 80 percent.
  • Annual recurring revenue of approximately $200 per patient.
  • Total revenue of $11M in 2018.
  • M&A strategy to increase revenues to $20 million in 2019.
  • Sail and TokeIn technology platforms licensed to clinics and retailers, among others.
  • Sekar and Qureshi bring a wealth of healthcare experience and protocols to the cannabis industry.

Cannabis in the US

The global cannabis market is expected to reach US$146.4 billion by 2025, creating the opportunity to expand and capitalize on a growing market. In the US, the legal cannabis market was estimated at US$7.06 billion in 2016 and is expected to grow at a CAGR of 24.9 percent leading into 2025.

In the US, marijuana is classified as a Schedule 1 drug, which means that it is deemed to have no medical value, and is heavily regulated by the federal government. Hemp, meanwhile, which is cannabis that has less than 0.3 percent THC, was also listed as a Schedule 1 drug but was exempted with the passing of the US Farm Bill. Subsequently, the US CBD market is expected to reach $22 billion by 2022. The market is set to grow as more states look towards legalization and consumers look for natural alternatives to pharmaceutical products.

CB2 Insight’s Data-focused Business Model

In 2018, Deloitte’s “Real-World Evidence Benchmark Survey” revealed that 65 percent of respondents felt that they had a lack of access to external data, a pain point that is represented in the cannabis industry. As a way to ease this pain point, CB2 Insights has developed comprehensive, data-driven software and clinical services to ensure that cannabis end users have access to industry insights, evaluations and education.

CB2 Insights has a multi-brand approach for collecting data for cannabis growers, retailers, clinicians and consumers. The company has two proprietary technology apps, Sail and TokeIn, that provide education to physicians and patients while also collecting data. Additionally, CB2 Insights has acquired a network on cannabis clinics across the US and Canada that offer education to consumers and practitioners.


At the forefront of CB2 Insight’s clinic strategy is Canna Care Docs, North America’s largest and longest-running cannabis evaluation and education centers. Canna Care Docs provides education for physicians and consumers about cannabis and allows patients to sign up for medical cannabis in Rhode Island, Massachusetts, Maine, Vermont, Connecticut, Delaware, Maryland, Illinois, Pennsylvania and the District of Columbia.

In total, the company has 28 operational clinics in 12 US states. The clinics generate annual revenue of approximately $200 per patient and have an overall retention rate of 80 percent. In 2018, the clinics generated $11 million in revenue and have grown approximately 20% in top line revenue and 130% in adjusted EBITDA since acquisition in December of 2017.

Moving forward, CB2 Insights intends to grow revenue to $20 million in 2019. New clinics are expected to add up to 42,000 patients annually that the company can collect data on, giving them a more robust look at the industry.

Proprietary technology

Sail is CB2 Insights’ proprietary technology platform that supports clinic operations and brings traditional healthcare protocols to the clinics. The platform bridges the gap between patients, healthcare practitioners and regulated suppliers in Canada and the US.

The real focus of Sail is to allow for uniform, clinically-validated data collection at the point-of-care.  With tens of thousands of patient interactions each year, Sail is able to ensure that data driven from clinical operations is able to be used for deep insights on patient trends, efficacy of treatment, drug-to-drug interactions and other information currently missing from the cannabis industry today.

In addition to Sail, CB2 Insights acquired TokeIn in the summer of 2018, a customer loyalty platform that helps dispensaries increase revenue, boost foot traffic and build store loyalty. The platform has consumer data built into it to help target specific audiences with rewards programs and opt-in customized deals.  This allows the company to track patient behaviour from the evaluation process through to the purchase to effectively close the loop on data collection.

CB2 Insights licenses out their technology to clinics, suppliers and retailers, among other end users, which generates a significant amount of revenue and facilitates the company’s entrance into other markets. CB2 Insights intends to integrate their technology platforms with artificial intelligence (AI) to give consumers, patients, retailers, suppliers and healthcare practitioners real-time information, analytics and data to ensure that all products are effective and needed.


Prad Sekar — CEO

As co-founder of CB2 Insights, Prad Sekar has spent over 15 years as an entrepreneur throughout the healthcare sector, from the clinical side through to innovation building. He has been involved in the opening of one of the most recognized cannabis education centers in Ontario and in consulting on major healthcare IT and service integrations.

Kash Qureshi — COO

As co-founder of CB2 Insights, Kash Qureshi brings over 20 years of experience in the healthcare, medical cannabis and technology space. As an ardent cost-efficiency executive, he has focused on promoting improved cash flow, operational proficiencies and overall profitability.

Carmelo Marrelli — CFO

Carmelo Marrelli is the principal of Marrelli Support Services Inc. He is also affiliated with DSA Corporate Services Inc., a firm providing corporate secretarial and regulatory filing services to the junior capitalist market in Canada. He has a Bachelor of Commerce degree from the University of Toronto.

Dan Thompson — CMO

Dan Thompson brings over 15 years of experience with high-growth public and private technology companies. He built and led the marketing divisions for early-stage companies in retail, travel and payment technology. He graduated from Michigan State University with degrees in marketing and communications.

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