A Business Called Cannabis

According to an article published in Forbes a few days ago, cannabis is the best investment for those who wish to play the game called capitalism.

When an entrepreneur enters the market with his own products, the key element that will determine the success of his activity is defined by the capacity its products have to satisfy the demand. And, of course, you also have to consider the strength of your competition competition – which could very well be too strong and structured to give you the space your business need to thrive. Cannabis is great because the demand is very loud, and because the investment required to kick off is not at all great.

Just think about it.

The number of the countries where marijuana is finally legal issteadily growing. In the United States alone, medical cannabis is legal in about 23 States. Most of the experts indicate that this is a rising trend and that soon new States will jump on the legalization wagon.

Our economy is quite saturated and new actors often go through a lot of troubles just to find the financial air they need to survive. However, this is not the case of our beloved cannabis. Let’s look at Canada, for instance, a country where medical marijuana has been circulating for more than a few years. Forbes has closely examined the entrepreneurs who are leading that specific market. In most cases, these are young people who have become rich with a tiny initial investment. The trend is confirmed also by the data regarding the companies: nearly half of them are at least 3 years old, but 21% of them were founded in 2013 and 30% were born less than a year ago. And if this wasn’t enough, the time required to cover the initial costs is incredibly short: as much as 62% of the companies have begun to record profits within 12 months.

Another interesting aspect to consider is the evolution of the consumer’s profile. In fact, cannabis consumers are now willing to spend almost $2k per year – especially if s/he has access to some quality product (see http://greenhouseseeds.nl/). This is quite an investment, and we must also consider the fact that many pot lovers spend even more money for the product they love.

Cannabis laws are still quite unstable, and that’s a risk. But it certainly looks more and more like a risk worth taking.