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
An Illinois cannabis company is rapidly expanding its operational footprint across the U.S. to develop one of the industry’s most valuable cannabis portfolios. Grassroots Cannabis announced it is now in 11 states with the addition of four new state markets. The company will add Connecticut, Michigan, Oklahoma and Vermont to its existing presence in Illinois, Maryland, Nevada, Ohio, Pennsylvania, Arkansas, and North Dakota.
Read the announcement in full, here: Grassroots Cannabis Announces Rapid Expansion with Addition of Four New State Markets
Meet One of the Largest National Cannabis Companies You’ve Never Heard of – Until Now
Driven by a shared belief that cannabis enhances life for people from all backgrounds, Grassroots is unique in that their business model manages cultivation, growth, product development and retail sales of trusted cannabis products.
Want to speak to a Grassroots Cannabis executive to learn more?
Members of the executive team are available to discuss:
- Challenges and opportunities operating in multiple markets
- Investment opportunities in the cannabis space
- How Illinois-based cannabis companies are leading the way when it comes to developing a multi-state footprint
- The benefits of vertical integration (having dispensary, cultivation, and manufacturing licenses)
- Branding opportunities and challenges in the marijuana industry
The Grassroots management partners bring a track record of success in cannabis distribution and operation, retail, real estate and more, making them the perfect team for this endeavor.
In total, Grassroots Cannabis has secured 62 licenses with operations in 11 states.
KlickTrack Launches Cannabis Retail Platform at CannaCon in Seattle
System unites compliance, flexibility, and intelligence for cannabis businesses
January 31, 2019 – Seattle, WA – Following a successful beta launch in September 2018, KlickTrack announced today that it is launching its fully integrated retail ecosystem that represents the next generation of cannabis software technology. KlickTrack software unites a product and sales platform, compliance translator, and point of sale system. Cannabis retailers can now run their businesses on the KlickTrack platform, which represents a major advancement over other software systems available on the market today. KlickTrack is an app based system for use across all iOS and is currently available in the App store. Retailers can now run a store from just about anywhere.
KlickTrack offers real-time reporting and mind-blowing automated features thanks to its global product registry which captures products and stores them universally for any retailer to access. This database is complete with product photos and descriptions, eliminating the patchwork of menu, loyalty and other services. As a result, when product enters a shop, the normal 30-minute (or more) intake process is reduced to a couple of minutes.
KlickTrack co-founder Steve Kessler said, “We created this system from inside a working retail shop from the ground up. We teamed with world-class developers, using a proprietary translator to solve industry-wide problems. KlickTrack removes the compliance worries from retailers and allows them to focus on running their business and having access to real-time actionable data.”
Built by cannabis retailers for cannabis retailers, the KlickTrack system addresses common issues and pain points the founders themselves experienced when they tried myriad software solutions as owners and operators of Paper and Leaf, a retail cannabis boutique, located on Bainbridge Island in Washington state. After years of frustration with non-integrated systems, they developed KlickTrack as a synchronized ecosystem, saving retailers time and money. Key features and benefits include:
- Product Registry: Gives retailers the ability to easily view and manage inventory and offer their products organized by brand. The forward-facing menu empowers consumers to shop in a way that feels most familiar.
- Proprietary Data Architecture: Reduces inventory redundancies, speeding up workflow, enabling retailers to uphold customer service on high traffic days.
- Data Segmentation Tools and Intelligent Workflows: Provides real-time insights into all sales metrics, allowing retailers the ability to analyze historical customer and product data.
- Guaranteed Compliance: Driven by real-time API, KlickTrack’s compliance translator ties directly into state regulatory systems, virtually eliminating the risk of fines and violations.
- KlickTrack Fulfillment Mode: Enables retailers to create orders at the register and on the sales floor that can be seamlessly fulfilled in the back office. Also enables pre-order and delivery services where available.
Cannabis retailers interested in a demo or in signing up for KlickTrack can learn more at www.klicktrack.io or stop by Booth #821 during CannaCon (January 31-February 2). Steve Kessler will also lead a Business/Legal seminar titled “KlickTrack: Creating a global POS platform from inside the store” on January 31 from 1-1:50 pm in Seminar Room 2.
Proudly built in Washington State, KlickTrack is a fully integrated retail ecosystem, which unites a product and sales platform, compliance translator, and point of sale system for the recreational and medical cannabis market. Developed out of first-hand cannabis retail experience, KlickTrack offers a synchronized ecosystem for cannabis management across the entire cannabis retail chain and integrations with LEAF, Biotrack THC, and Metrc (end of Q1 2019) states. KlickTrack was built by Steven Kessler and Brendan Hill, co-founders of Bainbridge Island-based retail store, Paper and Leaf, which has been recognized in Forbes, Time, CNN/Money, Interior Design, Variety and Architectural Digest. KlickTrack is currently available to download in the App Store.
SB0771 and HB0656 would regulate and tax cannabis for adults 21 and older; a separate proposed constitutional amendment to create a similar system, HB0632, would require voter approval
State lawmakers in both chambers filed legislation Wednesday that would end cannabis prohibition in Maryland.
SB0771, sponsored by Sen. William C. Smith, Jr., and HB0656, sponsored by Del. Eric Luedtke, would make cannabis legal for adults 21 and older and establish a system in which cannabis is regulated and taxed for adult use. Past convictions for cannabis possession and cultivation would be automatically expunged. A summary of the legislation is available at bit.ly/HB0656-SB0771.
Del. David Moon filed a constitutional amendment, HB0632, which would establish a similar system. If enacted, it would be placed on the ballot and decided by Maryland voters in November.
“A strong and steadily growing majority of Marylanders think it is time to end cannabis prohibition,” said Olivia Naugle, legislative coordinator for the Marijuana Policy Project. “One way or another, cannabis is going to become legal for adults in Maryland.
“These bills propose a sensible system in which cannabis is regulated, taxed, and treated similarly to alcohol,” Naugle said. “They would bring cannabis production and sales above ground so that they can be conducted by licensed, taxpaying businesses rather than criminal enterprises. Most importantly, this legislation would improve public health and safety, but it would also have the bonus of generating significant new tax revenue for the state.”
A September 2018 Goucher Poll found 62 percent of state residents support making cannabis legal for adult use, up from 58 percent in 2017 and 54 percent in 2016. Only one-third of residents are opposed, according to the 2018 poll.
“States around the country are rolling back prohibition and finding that regulating cannabis works,” Naugle said. “Maryland has the opportunity to learn from other states, determine what has worked and what can be improved, and develop a system that can serve as an example for the rest of the country.”
Nine states have enacted laws regulating and taxing marijuana for adult use. In addition, Vermont and Washington, D.C. have enacted laws making marijuana possession and cultivation legal for adults, and their governments are now considering proposals to regulate commercial production and sales.
The Maryland Cannabis Policy Coalition is a coalition of citizens and organizations committed to ending the failed policy of cannabis prohibition and replacing it with a system in which cannabis is regulated and taxed similarly to alcohol. For more information, visit MarylandCannabisPolicy.org.
U.S. District Judge Jon Tigar recently ruled that allegations by four families that Green Earth Coffee’s business created a “sickening cannabis odor” and are personal injuries that can’t be compensated under the Racketeer Influenced and Corrupt Organizations Act (RICO). The lawsuit is believed to be the first RICO case of its kind in California since the state legalized recreational marijuana.
Despite the judge ruling in favor of Green Earth Coffee, there are many other instances of similar rulings against cannabis companies. Luckily there is a solution for cannabis brands real-estate problems. Canna-Hub, a Sacramento based real estate development and property management company, deals exclusively with the cannabis industry. Canna-Hub has created America’s first cannabis business park – or “canna hubs”.
These Canna-Hub business parks are fully-licensed, excluding only outdoor growing licenses, making them move-in ready and an easy transition for cannabis brands. The tenants pay close to nothing in government taxes, while other cannabis companies are currently paying a 15% excise tax in addition to state and local taxes.
With the implementation of mandatory cannabis testing in California, there is a major need to make sure that labs are not participating in a pay-to-play system.
Enter Cresco Labs, a cannabis industry trailblazer who has continued to make a name for itself through its recent $100 million raise as it goes public and recent announcement of expansion into California. Cresco’s in-house lab team ensures product purity and quality before moving products through production, packaging and shipment.
Canna-Hub, a Sacramento based real estate development and property management company that deals exclusively with the cannabis industry, has created America’s First Marijuana Parks – and is helping to make the transition into California easier than ever by securing all licenses except outdoor growing and dispinerary operations for tenants.
In addition to Cresco Labs, Canna-Hub recently completed a deal with Illinois-based cannabis testing company ACT Laboratories to secure a unit within Canna-Hub’s 32-acre Mendota business park. By partnering up with industry leaders like ACT Laboratories and Cresco Labs, Canna-Hub is helping to bring trustworthy and notable cannabis labs to the California market.
CBD Unlimited, Inc. (OTC PINK: EDXC), a provider of innovative phytonutrient-based food and nutritional products, is pleased to announce a new joint venture with GFe Inc., an Ontario, Canada finance and technology company.
The companies are establishing a “Special Purpose Vehicle” designed to combine the technology and CBD initiatives of both companies to further accelerate their expansion into international markets. The companies will jointly develop distribution channels and seek to offer an Initial Public Offering on a major International Stock Exchange to unlock shareholder value for each of its respective shareholder bases.
GFe will directly invest into the CBD Unlimited, Inc. Jamaica-based international business initiative, initially providing 2.5 million dollars for property acquisition and manufacture facility construction. There are provisions to expand investment up to ten million dollars as required. GFe additionally will provide access to its technology suite including multi-faceted biometric identification verification software, fiat and cryptocurrency exchange processing and delivery systems, as well as, 3D CAD/CAM printing of low-cost commercial health-grade buildings for turnkey cultivation operations worldwide.
CBD Unlimited’s GorillaTek will utilize and integrate GFe’s tech suite to optimally expand initially into Canadian and European markets.
CEO Todd Davis commented, “Through this unique collaboration agreement CBDU and GFe can efficiently combine efforts and technology applications as we expand into international markets. The SPV will unlock value and maximize potential for our current investors and provide access to global investors to participate in our growth initiative.”
GFe’s CEO Gilles Kelly added, ”Between CBDU and GFe we will evolve and advance the way the CBD industry is currently managed, by using a new form of specialized technology and industry leaders to develop and grow the global CBD ecosystem.”
About Global Financial Ecosystems
GFe specializes in artificial intelligence, bringing blockchain technology to traditional revenue streams and improving the quality of life for everybody by developing new building practices, building products and training a new skilled labor force to strengthen local economies that need sustainable growth.
GFe innovates current technologies to benefit the financial industry by adding on multiple layers of security and streamlining efficiency to verify the end user. We are constantly working in multiple markets to create a global ecosystem that is self-sustainable.
About CBD Unlimited, Inc.
CBDU, with its collaborative partners and consultants, develops and distributes two consumable product lines derived from industrial hemp, which is organic and naturally rich in phytocannabinoids. Phyto-Bites®, is its CBD-infused soft chews for dogs. The dog treats are formulated to promote health and support the reduction of separation anxiety, pain and inflammation. The company also has technology products and services: Gorilla Tek “smart security solutions” and the Autospense™. Both products provide essential solutions to promote regulatory compliance and full accountability inventory management and an “End of Sale” technology integration. The Autospense™ is a commercial grade inventory control and dispensing device that provides up-to-the-minute accounting details and ensures both product and patient security. By automating the dispensing process, GorillaTEK increases productivity and reduces shrink for retailers, while enhancing their service quality by reducing transaction time for customers. Websites include: www.cbdunlimited.com
The FDA released a letter last week, clarifying their position on the use of cannabis or cannabis-derived compounds in food and dietary supplements. In short, the letter states that it is still illegal to sell food or dietary supplement that contains added CBD or THC in interstate commerce. The FDA also acknowledged that there is significant public interest in this area and that the FDA plans to evaluate whether they should issue a regulation allowing the use of a drug ingredient in food or dietary supplements.
Now that the Farm Bill has passed, education is key, Celeste Miranda is the woman changing how the world views cannabis products. Miranda has taken many cannabis startups through successful launches, gaining unmatched exposure for what are now some of the largest industry brands through her unique and one of a kind trade show, CBD Expo Tour.
CBD Expo Tour now in its second year is the first of its kind to bring the largest CBD event platform to broadcast products, educate the community and share knowledge with the industry. The events feature more than 70 exhibitors, along with a substantial lineup of speaker presentations and panel discussions from experts in the research, production, globalization, and sale of CBD products.
CBD Expo Tour 2019 will be held in:
|CBD Expo Midwest||Indianapolis, IN||March 15/16, 2019|
|CBD Expo Northwest||Seattle, Washington||June 28/29, 2019|
|CBD Expo Mountain||Denver, CO||October 11-12, 2019|
|CBD Expo East||Orlando, FL||November 14-15, 2019|