Cannabis Branding and Marketing: Building Your Brand Identity

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As cannabis brands now number in the thousands, the importance of distinguishing your offering is growing daily. It’s vital to define yourself through creatively calculated choices that pique consumer interest. The best cannabis branding and marketing creates an indelible impression of your product in the psyche of the consumer. From a certain shade of yellow to a particular font or the words you use, there are infinite ways to mold your image. That’s good news. The challenge lies in putting it all together in a meaningful, cohesive, and effective fashion.

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Cannabis Legalization and Emerging States – New York, Texas, New Jersey, and Mississippi

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Cannabis Legalization and Emerging States – New York, Texas, New Jersey, and Mississippi

Lawmakers and policy advocates have been facing tremendous obstacles related to the COVID-19 epidemic and the resulting government closures. Facing budget shortfalls in connection to these public health measures many states and municipalities are exploring their options for additional revenue sources, including establishing or expanding existing cannabis markets. This report addresses the emerging cannabis markets in Texas, Mississippi, New Jersey, and New York.

New York – An Emerging Cannabis Market

New York lawmakers were set to consider expanding access to Adult-use cannabis in the Governor’s budget bill 1617-C early on in 2020 until COVID-19 necessitated the closure of government offices and a stay at home order that effectively ended the legislative session early. However, legalization of cannabis for Adult-use in 2020 is not entirely off the table. As the state is now facing a revenue shortfall it may see lawmakers return for a special session to address budgetary shortfalls and the means to address them. As cannabis business licenses and businesses provide additional revenue for the state it is possible to see the legalization issue pop up in these discussions. 1617-C goes into great detail about the framework and requirements for establishing an Adult-use market in the state and whether it is picked up in an emergency session or in the next legislative session, the bill showcases the priorities for the framework for an adult-use market.

Assuming New York keeps most of the language of the bill that deals with cannabis, New York will be establishing the Cannabis Control Board and Compliance Council.

The following cannabis license types would be available if the legislation passes:

  • Cultivation, Processor, Dispensary, Distribution (designed for existing Medical Cannabis Dispensaries)
  • Cultivator Processor
  • Small Business Adult-use Cooperative Adult-use Distributor
  • Adult-use Retail Dispensary Microbusiness
  • Delivery Nursery
  • Adult-use On-site Consumption

Priorities for Processing Privileged License Applications:

  • Is the applicant a social equity applicant?
  • Will the applicant be able to maintain effective control against illegal diversion of cannabis?
  • Will the applicant be able to comply with applicable state laws and regulations?
  • Will the applicant be ready, willing, and able to properly carry on the activities for which the license is sought (including with help from the social and economic equity and incubator program)?
  • The applicant possesses or has the right to use sufficient land, buildings, and equipment to properly carry on the activity the license is for or has a plan to do so if applying as a social or economic equity applicant
  • The applicant qualifies as a social and economic equity applicant or sets out a plan for benefitting communities and people disproportionately impacted by enforcement of cannabis laws
  • Good moral character
  • Labor peace agreement (25 or more employees)
  • Contribute to communities disproportionately harmed by enforcement of cannabis laws
  • Environmental and energy impact of the facility Follows all other regulations drafted by the Board
  • Is a registered organization with the state of New York?

An examination of the language of the proposed bill clearly outlines the importance New York is placing on social and economic equity in its cannabis market.

Texas – Growing Support to Legalize Cannabis

Texas lawmakers are seeing increasing pressure to consider cannabis legalization from groups like Texans for Responsible Marijuana Policy. Texas officials, now facing budget shortfalls, are gradually considering options for decriminalization and potential legalization. That is not to say that 2020 holds much promise for significant movement toward legalization beyond greater potential interest. Current CBD retailers still face raids from officials even with CBD being a legal product.

New Jersey – Looking to Legalize Adult-Use Cannabis in 2020

New Jersey lawmakers placed SCR 183, a ballot initiative to amend the state’s constitution to legalize adult-use cannabis. If passed it requires the state to establish a Cannabis Regulatory Commission and would mandate that the tax on retail sales of cannabis not exceed the state’s standard sales tax of 6.625% with municipalities being afforded the option of imposing a 1-2% sales tax. In a healthy economy, the state could potentially see tax revenue of $95 million per year according to projections from Bridge West CPAs, who also note that if the state were to follow in the footsteps of states that expanded access to adult-use before and imposed an additional 10 % excise tax the tax revenues in a healthy economy could potentially be as high as $143.6 million per year.

Mississippi – 2 Deceptively Similar Medical Marijuana Initiatives On the 2020 Ballot

Policy advocates successfully collected enough signatures to get Initiative 65 onto the ballot which would legalize medical cannabis in Mississippi. State lawmakers voted to include Initiate 65A on the ballot which would also legalize cannabis for medical use for significantly fewer qualifying conditions than Initiative 65 while affording the state greater control over the potential medical cannabis industry market the Initiative would establish. Concerns have been raised that Initiative 65A has been added to the ballot to potentially split the vote and defeat both measures by confusing voters, which it has the potential to do. If Initiative 65 passes it is likely to establish a medical cannabis market similar to its predecessors with an opportunity of social equity applicants.

Conclusion – Emerging Cannabis States and Markets in 2020 and 2021

Though 2020 has been a rough year for cannabis legalization efforts it has none-the-less shown that even states that have previously been reluctant to consider legalization are now entertaining the idea. Mississippi could signal a positive shift in the legalization movement and provide opportunities for established multi-state operators to expand if Initiative 65 is successful. New York, though somewhat of a long shot at this point, does indicate with the language of 1617-C that this progressive state is making a concerted effort toward social and economic equity at a time when the call for it has never been louder.

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Stephanie Till - Green Rush Indexed Data

Stephanie Till - Green Rush Indexed Data

This article was written by Stephanie Till of Green Rush Indexed Data with data compiled and provided by Bridge West CPAs. Stephanie is a Compliance Expert as well as a Historian who is currently archiving the Green Rush of the cannabis industry. The mission of her company is help clients by providing quality research services, custom tailored cannabis compliance consulting, dynamic training materials and exceptional customer service for those in the young cannabis industry.

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Maximize Your Cannabis Yield By Understanding Seeds & Genetics

Maximize Your Cannabis Yield By Understanding Seeds & Genetics

Cannabis yield is about more than quantity. Plant vigor and the desired prominence of cannabinoids like THC and/or CBD also play a role. If you’re looking to maximize your cannabis yield, you’ll also want to consider the presence of certain terpenes and flavonoids that essentially distinguish an individual strain. With that in mind, a general understanding of seeds and genetics is essential for every cannabis grower. We’ve broken down some of the basics to serve as a growth medium for your eventual success.

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How to Maximize Your Cannabis Yield: Floor Plans & Equipment Systems

How to Maximize Your Cannabis Yield: Floor Plans & Equipment Systems

Any cannabis operation — whether you’re cultivating extracting, infusing, packaging, or dispensing — has dozens of moving parts. A thorough planning process ensures a more efficient operation that can maximize your cannabis yield in terms of plants and profit. Professional planning to make the best use of your space can help guarantee that your cannabis operation runs efficiently. We’ve got a few tips to help your business bring in the best return per square foot.

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How to Invest in the New and Rapidly Expanding Marijuana Market

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How to Invest in the New and Rapidly Expanding Marijuana Market

To date, more than half of the United States has some form of legalized cannabis program, which has led to a boom in marijuana entrepreneurship. Thanks to the trends in marijuana legalization, there is now a whole new industry for investors and entrepreneurs to explore business and investment opportunities.

And with hemp recently legalized on a federal level with the passing of the Agriculture Improvement Act or 2018 Farm Bill, industrial hemp joins medical marijuana and recreational marijuana as a new sector worth looking into for business ideas or investments. In this guide, we will discuss how you can invest in the new and rapidly expanding marijuana market.

Become a Marijuana Entrepreneur

Starting your own cannabis business is ideal for entrepreneurs who prefer to be on the front lines of the industry. If your state has both legalized recreational and medical programs, you have more opportunities to explore. There’s also the industrial hemp sector, which is predicted to become a multi-billion industry.

There are a few primary kinds of marijuana companies – marijuana growers, cannabis retail stores, extraction labs and manufacturers, and ancillary product and service providers. Marijuana growers are also referred to as cultivation or grow facilities. Cannabis retail stores or dispensaries are ideal for the entrepreneur who enjoys interaction with the consumers. Ancillary product and service providers are businesses that provide relevant cannabis services, such as marketing agencies, security companies, payment processors, and so on. This is ideal for the entrepreneur that prefers not to “touch” the plant.

Because the legal cannabis industry is fairly new and highly regulated, becoming a business owner will come with its challenges. Most states with marijuana programs, whether medical, recreational, or both, will have a limited number of business licenses to award. Therefore, the application process was designed to be rigorous and highly competitive. Licensing is merit-based, and securing a coveted application will require the expertise of cannabis advisors and industry experts.

Invest in Cannabis Companies Listed on the Stock Exchange

Not all states have a marijuana program, leaving many hopeful investors wondering how they can take advantage of the explosive cannabis marketplace. The good news is that business ownership isn’t the only channel for you to participate in what is predicted to be a highly lucrative industry. Beyond business ownership, you can still profit from cannabis by investing in marijuana stocks.

Between 2014 and 2018, the cannabis industry has more than tripled in worldwide sales – making it a $10.9 billion industry by 2018. Experts predict that the global cannabis market will reach over $66 billion by 2025. With forecasts like these, it’s no wonder the marijuana industry is attracting more and more investors.

Investing in the stock market exchange is an excellent way for you to enter the marijuana scene as a beginner. It’s also the ideal place to start if you have plans to put up your own cannabis business in the future. A good place to start is to put your money into marijuana businesses listed on the stock exchange. The following are the types of cannabis businesses that you could potentially invest in:

  • Agriculture technologies
  • Ancillary products and services
  • Biotech companies
  • Consulting services
  • Consumption devices
  • Cultivation and retail
  • Cannabis products and extractions
  • Holding companies
  • Industrial hemp
  • Organic farms

Before you invest in anything, do your research and understand the potential risks. Be thorough in your analysis of the opportunities available to you. This will help you narrow down your list.

Tips on Investing in Marijuana Stocks

Some may say that marijuana stocks or pot stocks are some of the most volatile. However, they are not any more unpredictable than any investment in the stock market. Therefore, approach investing in marijuana stocks with the same principles you would for any kind of stock. It requires the same diligence to research the company and identify whether its poised for growth. Pay attention to trends, monitor the news for relevant changes in the industry, and understand all the factors that may impact the company’s future profitability. Here are essential steps to take before buying cannabis stocks:

Understand the different types of cannabis products – There are two primary types of marijuana products – medical marijuana and recreational marijuana. Generally, there are more business opportunities in the recreational cannabis or adult-use marijuana sector. Medical marijuana typically only applies to patients with qualifying conditions; therefore, use and purchase is only allowable by prescription.

You should also understand the difference between cannabidiol (CBD), tetrahydrocannabinol (THC), and industrial hemp. CBD is only legal on a federal level if it was derived from hemp and has THC levels of no more than 0.03%. The psychoactive THC remains illegal. The federal government has recently legalized hemp, which is said to have over 25,000 industrial and commercial applications.

Evaluate the company’s potential – Look at the strength of the company’s management team. What is their growth strategy and competitive position?

When analyzing a marijuana company, learn more about their value proposition to see if the company can demonstrate what differentiates them from the competition. While many cannabis businesses are still in their early stages and may not yet be profitable, it will help to check if they already are. You can do this by following the company news. A strong balance sheet is also a good indicator of near future profitability.

Understand the risks – Because the legal cannabis market is still in its infancy, and rules and regulations are ever-changing, it’s crucial to understand the legal and political risks of investing in pot stocks. The marijuana industry dynamics shift rapidly because the marketplace is still learning and evolving. This is where it pays off to monitor cannabis laws, industry news, market trends, top marijuana stocks, and investing strategies.

Conclusion

Cannabis business ownership isn’t the only option for you to invest in the cannabis industry; you can also become a stock investor and buy pot stocks from the marijuana companies listed on the stock exchange. But before you start investing, it’s important for you to learn as much as you can about the cannabis industry, the different business types, and marijuana products. To lower the risks of investing in cannabis stocks, evaluate the company’s potential for growth and profitability.

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Higher Yields Cannabis Consulting

Higher Yields Cannabis Consulting

Higher Yields Consulting is a Marijuana Consulting Group comprised of industry experts with decades of combined experience in the legal industry. Whether you are looking to get into the business or already have a license we can help your business succeed. Call (844) HI-YIELD to schedule a free initial consultation.

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How to Maximize Your Cannabis Yield: Commercial Real Estate — Part 2

How to Maximize Your Cannabis Yield: Commercial Real Estate — Part 2

Choosing the best available property for your cannabis business is no small task. Will you build your own facility or adapt an existing building for your use? Is it better to lease or purchase? There are endless decisions to make when considering how to maximize your cannabis yield. Before you sign on the dotted line, we have some tips to help you choose a property wisely.

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How to Maximize Your Cannabis Yield: Commercial Real Estate — Part 1

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When selecting a property for your cannabis business, you want to be certain your investment aligns with your goals. At the outset, it’s important to think about how to maximize your cannabis yield in terms of production and financial return regardless of the vertical in which you choose to operate. Whether you’re thinking of buying, leasing, or doing a custom build, we have some tips on what to look for in a piece of commercial real estate — and some pitfalls to avoid.

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