The legal recreational cannabis industry began on a positive note for California in 2018. One year later, the industry is licking its wounds after a long, strenuous year of navigating complex rules and regulations.
Speak to our legacy California cannabis players on the following topics:
1. Banking Blues: Will California have a state bank anytime soon?
2. Ramping Up Regulations: The fear of over-regulation and excessive taxation did not take long to materialize. Not only was the high barrier to entry stifling longtime small business but the new rules disrupted supply chains among other logistical factors. Mark up rates can be as high as 60%.
3. Tighter Testing Borders on Paralyzing Manufacturers: Testing log jams already stifle the California industry. As of January 2019, many of the existing labs already short in numbers do not have the exorbitantly expensive new equipment needed to respond to even harsher state-mandated tests.
4. The Grey Market and its Transition, If Ever: Because of increased taxes, many longtime cannabis consumers rejected the idea of spending more for the same product. Reverting back to illegal dealing became commonplace, fueling the black market. Even dispensaries went against protocol and operated without a license. Because of this, it is paramount consumers educate themselves on legal, safe consumption and purchasing.
5. Why Alcohol and Cannabis Should Never be Compatible Bedfellows: Aside from the health risks associated with co-use and robbing the independence of cannabis retailers, selling cannabis at liquor stores should never happen. Cannabis has medicinal benefits. Alcohol does not. Would liquor stores sell 6 packs with Xanax?
Bryce Berryessa– CEO of La Vida Verde, a cannabis edibles manufacturer and distributor, founding Board Member of California Growers Association, California Cannabis Industry Association and California Cannabis Manufacturers Association board member
Shareef El-Sissi– CFO of Garden of Eden Cooperative, founding partner of Treez enterprise retail management software and owner of Eden Extracts
Jamie Warm– CEO and co-founder of Henry’s Original, a premium California pre-roll brand reputed for their Clean Green Certified cannabis
Kenny Morrison– President and founder of Venice Cookie Company, founder of California Cannabis Manufacturers Association