Moving Weight: Why Transporting Product Is So Hard
In theory, running a delivery business should be simple: take the order, pack the goods, and bring it to the doorstep. But when the product is highly regulated and the stakes are sky-high, that theory unravels fast. Two companies—Eaze in California and Priscotty in New Mexico—learned this the hard way.
Eaze: From Industry Darling to Debt Disaster
Eaze was once the golden child of the delivery scene, a $700 million juggernaut that promised to bring convenience to your door like Uber did for rides. But by mid-2024, the dream soured. After defaulting on a $36.9 million loan from tech billionaire James Henry Clark, the company’s assets were snatched up at auction for $54 million. Hundreds of workers—many of them unionized—were laid off. CEO Cory Azzalino cited California’s brutal market conditions, but the truth runs deeper.
Eaze wasn’t just struggling with money—it was also tangled in lawsuits. After acquiring Green Dragon in 2021, Eaze was accused of misrepresenting its financial health and engaging in shady practices. The company fired back, calling the plaintiffs “serial litigators,” but the damage was done. Even with a $10 million infusion from its new owners, FoundersJT, the future of Eaze remains foggy at best.
Priscotty: Ambition Meets Reality
Meanwhile in New Mexico, a smaller but equally bold delivery service called Priscotty tried to carve out its niche. Launched in late 2022, it spread quickly—partnering with more than 45 local shops like Dreamz, Sacred Garden, and PurLife. Their pitch? Free, same-day delivery with unmarked vehicles and a smooth user experience. For a while, it worked.
Then came the ambition to go national. Priscotty attempted to break into New York through a supposed partnership with Verdi Cannabis, but the deal collapsed. Verdi denied ever agreeing to the launch, and Priscotty was left red-faced. The misstep, paired with the daunting challenge of navigating compliance across multiple states, left them in limbo. Their website still stands, but operations appear to have stalled.
The Bigger Picture: It’s Harder Than It Looks
Both Eaze and Priscotty made the same mistake: they underestimated what it takes to move someone else’s property—legally, compliantly, and on time. Delivery in this industry isn’t just a logistical problem; it’s a regulatory nightmare. You’re not just a courier—you’re a guardian of liability, compliance, and customer trust. And when something goes wrong, there are no small consequences.
This is an industry where a mislabeled product or a single compliance misstep can sink millions. It’s a world built on razor-thin margins and red tape, where growth has to be earned slowly—not engineered in a boardroom and scaled with venture capital.
Running a transport business in this space means carrying more than just packages. You’re hauling the weight of expectations, regulation, and risk. And as Eaze and Priscotty discovered, if you fumble the handoff, the fall is steep.
