The Economics of CannabisTM
By: Louis Kyron, CPA, CGA
In the cannabis and hemp industries, Ecoforming include the laws, rules, regulations, and decisions (perhaps by courts and other bodies of legitimately recognized influence and power) that contribute in making the industry safe for all and conducive to growth rooted in gradual societal acceptance. This includes the obvious such as reducing the footprint held by organized crime and other black marketeers, but also to ensure a safe medical stream and other facets such as well-paid careers in the industry. Countries such as Canada, to use a sports analogy, may be well into the 4th or 5th inning in many aspects of the Ecoforming process whereas countries such as the USA remain either in the pre-game warmups or perhaps in an early inning of scoreless game. The USA is unique in this aspect because that analogy of different innings applies State by State as well as Federally. Making it even worse, players in different states have been handed completely different rules to play by. But what does this have to do with what is missing in meaningful projections?
What is an investor? Yes … this includes those that buy securities of publicly traded companies as well as private companies. But in the greatest context, it includes the entrepreneurs, the scientists, the doctors, those looking for a career change into the industry, students, colleges and universities, government, academia, big pharma, big tobacco, big alcohol, multinational corporations in the food and beverage business, advocates, the dreamers, etc. In other words, those stakeholders who stand or hope to benefit whether that benefit is measured in ROI or some non-monetary measurement.