USC Students Fund Nugg Medical Marijuana App Via Lyft Referrals
What happens when medical marijuana meets pink mustaches? For one thing, an app called Nugg.
Los Angeles Times says a trio of University of Southern California students — Alex Milligan, Collin Mann and Kam Babazade — unveiled Nugg on Monday in honor of 420 Day. The app provides medical marijuana patients in Los Angeles and Orange counties the ability to not only order their prescriptions, but to set up delivery from the dispensary of choice or pick up.
To use Nugg, the patient submits a photo of their ID and a doctor’s note for verification. Barring that, the patient can also schedule an evaluation prior to using the app.
As for how the students funded development for the app, they referred rider upon rider to transportation network company Lyft, netting $10 to $20 per referral. Thirty thousand referrals later, the trio raised $100,000 to develop Nugg.
Though the Lyft cash is still being spent, Milligan says a number of venture capital firms have sent associates to be signed on as advisors. He adds that the main challenge is keeping pace with regulations surrounding medical marijuana, as well as making the service appeal to a wide range of users, young and old.
I'm not quite certain how strong the automotive tie in is here. It doesn't sound like Lyft is being leveraged as actual transportation in any appreciable way. It seems like they could have just as soon used referral fees from DirecTV or any other business to raise their startup funding.