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60 Los Angeles cannabis businesses losing licenses on New Year’s Day

60 Los Angeles cannabis businesses losing licenses on New Year’s Day

los angeles cannabis businesses are losing their licenses after New Year's

At least 57 licensed cannabis companies in Los Angeles are poised to see their business permits yanked by city authorities at the end of the year – with no obvious way to get the licenses reinstated.

The licensees in question – which appear to be a mixture of retailers, distributors and perhaps other business types – represent roughly 14% of the 418 marijuana business permits issued to date by the city, according to the L.A. Department of Cannabis Regulation (DCR).

Although the City Council has a motion pending to give the 57 companies a lifeline, the council is in recess until Jan. 8.

So it’s unclear if the Council would be able to act in time to save the businesses. But even the Council motion itself warns that all of the companies might be forced “out of business” next month.

The situation has many business owners “frantic,” said Jerred Kiloh, president of the L.A.-based United Cannabis Business Association (UCBA).

The situation

At issue is those companies’ annual license renewal applications and fees for 2021, which were due Nov. 2.

The vast majority of licensed cannabis companies in the city paid and got their paperwork in on time, but at least 57 failed to do so.

Under current city law – which was put in place in July 2020 – there’s no way to grant the businesses extra time, a DCR spokesperson noted in an email to Marijuana Business Daily.

“(City code) does not permit DCR to waive late renewals or allow reinstatements,” the spokesperson wrote.

After Dec. 31, 2020, according to the DCR website, all 57 licensees “will be required to cease operations and will not be allowed to engage in commercial cannabis activity until a new application is submitted to DCR and a new temporary approval or license is issued.”

So it appears all 57 will have to start from square one in applying for both local and state permits, a process that could take months, or even years, before those businesses can reopen.

At the moment, there appears to be little that can be done to avert the closures.

“Late renewals and/or reinstatement would require the City Council to amend the Los Angeles Municipal Code,” the DCR spokesperson wrote.

The Best Weed in the World is in L.A.

The Best Weed in the World is in L.A.

best weed in LA

Brian Weiss has always been an advocate for cannabis and has had a secure connection in the cannabis industry for over 20 years. 

Brian grew up in a well-known entertainment family and has been focused on marketing & business development within the cannabis, entertainment, and digital media sectors. 

Brian launched L.A. Cannabis News in 2017, an MVP of C.N. Media. They offer news, events, jobs, education, resources, and advertising to our fast-growing online audience and in-person following.

In today’s segment, Brian talks about what’s happening in the cannabis industry at present, future predictions and social and cultural changes during the Coronavirus and the pot market. 

Download The Episode Companion For This Episode

Some Topics We Discussed Include

1:47 – L.A. has the best weed
4:08 – Price of weed in L.A.
8:14 – Starting L.A. Cannabis News
18:11 – Homegrown ganja: Future of the cannabis industry
24:26 – Learning something new
29:35 – A trip to Florida
32:52 – Cannabis predictions after the present pandemic condition
58:14 – All things made in China

People Mentioned / Resources

Connect with Brian Weiss

Connect with  Chip Baker

Transcript

Chip Baker: Good morning, this is Chip with The Real Dirt. In today’s dirt, I have Brian Weiss, say hello, Brian.

Brian Weiss: Hello, Chip, hello world.

Chip Baker: Hello. You know Brian is the brother of one of my really good friends and you know… he’s been in the cannabis industry for a while. Brian runs L.A. Cannabis News, which is an information source for all things cannabis in L.A Southern California. But right now, Brian is stuck. I shouldn’t say stuck. He is on sabbatical in Florida. How you doing, Brian?

Brian Weiss: I’m well Chip, thank you so much for having me today. I really appreciate it.

Chip Baker: Oh, man, I’m glad we could put it together. You know, I left California a number of years ago but it’s always a warm place in my heart. We still own property there and whatnot. And that’s something that people don’t understand or realize is that if you want the best weed in the world, you go to L.A. to get it. I don’t care who you are, where you’re at. you do not have the best weed in the world. They got it in L.A., though, right? it’s true. Why do you think that is man?

L.A. has the Best Weed

Brian Weiss: Well, I grew up in the San Fernando Valley. And I think the San Fernando Valley actually has the best weed of Los Angeles. Why? Don’t know, but it just seems that they’ve perfected it maybe the fact that normally you know, people think of Humboldt County and a lot of that gets flown, you know… flown or driven down to L.A. and mass distributed and so and then other people have gotten the idea you know… wow there’s such good flower from up north. I think we could produce that same flower down here. And many growers have figured out how to and have successfully.

Chip Baker: Yeah, just like all things there’s like a flash that goes on in L.A. you know, and cannabis is the same way and I feel that it’s probably one of the most informed consumer markets in the world even like in L.A. you could have the random stoner can go into any dispensary and say, Oh, no, man, that’s Hells Angels O.G., not Fire O.G. and I want Cookies O.G. This isn’t Cookie, this is Gelato, you know? It just–

Brian Weiss: I’ve actually got to the drive too, I have that same feeling from being someone a little bit older when I go into dispensaries and I have that Pre 98 Bubba, like this isn’t Pre 98 Bubba.

Chip Baker: Those are just letters and words; this isn’t. Yeah, no doubt. You know the other thing about Southern California is man it has brought the highest prices for cannabis historically. And because of that, like you know… people like you know, try to like bring their highest quality product to the marketplace, not just anything will sell there, right. So, you get this upper echelon curated cannabis in L.A. that might be produced anywhere in California, it might be [inaudible] Southern California, covered East way up North in San Francisco bay comes to L.A. for a reason because it’s the best, and people want the best. 

Brian Weiss: Absolutely.

Price of Weed in L.A.

Chip Baker: Hey, what’s the average prices for weed?

Brian Weiss: So it’s funny you say that, I found that you know there are dispensaries in L.A. on the legal side. And it seems that most of them are charging between $25 to $90 an eight. And then you have black market side where they keep it average between you know, $35-$50 an eight.

Chip Baker: Now when you say black market explain to the listeners what’s going on in Southern California with the dispensaries.

Brian Weiss: So there are hundreds if not thousands of dispensaries in L.A. Only about 100 or so are actually legal. But when you know we had Proposition 215 there was no really regulation on who is legal who is not. Everybody claim they were legal. Every year, it seemed like they came out with another law that said that these excuse me, these dispensaries need to shut down. But they just kept going. And when you know, cannabis finally became legal, you know, there were those that can survive and pay the taxes and there were those that couldn’t survive, but actually well, could still survive but not charged to taxes. And, you know, so the black market side is actually, for me, I feel that a lot of these illicit I don’t like to say black market, I like to actually illicit market, dispenceries are–

Chip Baker: I’m a private market guy.

Brian Weiss: Yeah, private market guy. 

Chip Baker: No taxes…

Brian Weiss: Yeah, no taxes. They also have, to me, I feel like they also have the better product. I really do. I feel like they have a lot better product–

Chip Baker: They’re open to far more growers that way. You know–

Brian Weiss: That’s true.

Chip Baker: Right, I mean, for instance, in in Humboldt County, you know, seven years ago, the government said there were 13,000 grows up there, right? Yeah, totally. And, now there’s like a few hundred legal ones. You know, that didn’t even touch the number of growers that are there. 

Brian Weiss: Yeah. Totally. I also see that in many cases, at least that it seems like, I mean, even to begin with a better product side, it’s like when I go to a legal dispensary, a lot of the problem I have, at least when I go there is that you look at something in the jar that you can’t touch and you can barely smell. And when you purchase it, and you get home and you open it a lot of the time for me without naming, you know, company names. There’s a dry boveda pack in there. And the product is probably at least six months old. And you know, and you think about it, you start tracing and it’s like okay, well this product came from a grower and then it went to some warehouse somewhere, then it went to some distribution center. And it sat on their shelves for a little while and then by the time it actually gets to the dispensary, it’s not what the brands promotes. And with at least going with the black market side of the listed or the private market side, you get to go in, you get to touch it, you get to feel it, you know… you got to know that you’re getting a good product on the spot.

Chip Baker: Yeah, many people have said that legal weed has decreased the quality of cannabis, right. The mechanization of it the like, man, those boveda packs and the plastic on air-sealed bottles and just like breaking buds down into like, 10th of a gram to sell it, like just all ruins it. It just ruins it all.

Brian Weiss: I totally agree with with that statement. I yeah….just totally agree.

Chip Baker: So, let’s talk about L.A. Cannabis News.

Brian Weiss: What do you want to know?

Chip Baker: Tell me what it is. Tell me your story. Tell me how to start this.

Starting L.A. Cannabis News

Brian Weiss: Yeah, so I was looking for about two years ago. I was looking for something to potentially invest in the cannabis industry as cannabis became legal in California. And I found myself searching dozens of sites through Google, you know, I would type in cannabis news, Los Angeles cannabis news, Los Angeles marijuana news. And I would find, you know, dozens of different sources that carried different articles, great articles, but I couldn’t find one source. 

So, I moved my search from finding something to invest in, you know, with my research of these all these articles too… Wow, Is there any local cannabis news? And when I found out that there is no local cannabis news in LA., I was like, Oh my god, how is this possible? There’s so much going on here besides just legalization. Still, you have social equity, and you have the illicit side of it, and you know, the regulations and the taxes and, you know, education and science and medical stuff. And so I was like someone needs to be covering this. And after finding out and figuring out that there was no local coverage for Southern California or Los Angeles, I then started searching. Wow, is there local coverage or any of this in other states. At the time, there is only the cannabis in Denver, which quickly went out of business. And I found that all of a sudden there was no local cannabis news other than, you know, local newspapers in Humboldt County or patch.com that had their local coverage, but not anything–

Chip Baker: [inaudible]

Brian Weiss: Yeah, there you go. Actually, that one too. But there wasn’t, and I just didn’t, I felt like there was a need. And so I started L.A. Cannabis News. I went on godaddy.com, and lacannabisnews.com was available for $1.99 like I’m on this something. A year and a half later now, we’ve got about 30 plus thousand people on our site a month, about 50,000 email subscribers, which is awesome. And it’s great because, with L.A. Cannabis News, it was almost like RMVP, you know, we’re able to test our assumptions and see that the market wanted and needed a local cannabis news source. So that’s basically how we started.

Chip Baker: So in I mean, this is an online publication– How often, you have an official publication date or publication timeline, or just do it every day or is an odd running blog like what how does it work?

Brian Weiss: Yeah, so every day we aggregate about 10 to 15 stories that mostly cover Southern California some stories do cover other parts of the country just because it’s important in the cannabis industry, even if you’re just in Los Angeles. No it also is happening around the country or even around the world. So most of the time, we do aggregate our stories. Most of it is not original content. 

However, we do have stories here and there that we want to cover. And we do have writers for that. And every year, which we just put out at the beginning of March, we do a top 50. Well, not every year, we’ve only been in business for two years. But we did it last year. And we did it this year, we put out a product issue, covering brands that are not covered in other magazines. What I mean by that other magazines have a pay to play just like the videos, and you got to pay them money if you want to be in their magazine. And I saw that all these other magazines, mostly culture, lifestyle magazines, in the cannabis industry, cover the same brands, you know, If you look at their top 10, this is their top 10 that, it was the same brands every single time. And I was like, well what about all these other brands, there are so many other great brands out there, and so we did the research, and you know, this year, we came up with 53 brands, and we put out a digital product issue. We didn’t review the brands, because, in all honesty, half of them were good, and half of them weren’t. And but we put out, you know, the description about the brand, we gave them, their social media links their website, where to find these products. And, you know, the nice little picture of the brand. 

It’s great because these smaller brands, they can’t afford to be in these bigger magazines. So for us, it was a, it’s good outreach for these smaller brands that say, hey, look, we’ve got some press now. And yeah, so we put out this digital issue, but we mainly stick to daily postings, about 10 to 15 articles a day. Oh, and we also have about 100 events on our site at any given time throughout Los Angeles and California that you know, people can look for. 

Chip Baker: Oh, did you rank these products 1 to 50?

Brian Weiss: No, we just put them in alphabetical order. 

Chip Baker: Okay. Hey, what were some of your favorite products?

Brian Weiss: To be honest, I’m a huge fan of Three C Farms, they’re out of Los Angeles. They actually own also the coast to coast dispensary in L.A. they just put out a quality product for, from the prices that I’ve seen in their dispensary at a good price. I like Golden Seed. They’re a little on the higher side pricing wise, but exactly what is a Golden State excuse me Golden State. I like their products, and then I like some of the edible companies that we used like plus products. I like their edibles a lot of Kanha, which is owned by I think Sunderstorm. They make fantastic gummies, and then on the vape side, I’m a big Moxie 710 fan. I think they do nice products that seem like they taste pretty good I’m not a big vapor, but from the products that I tried, I like theirs the most.

Chip Baker: Yeah, we’re ABX absolute.

Brian Weiss: Oh, yeah, we have them as well in there. Huh? Yeah. They’re lucky because they’re in the number– They’re the letter A., So they appeared pretty quick.

Chip Baker: Well, they’re pretty big. I mean, I’m surprised they’re not. They weren’t in like, the category of normal. I mean of the elite cannabis people that can advertise to play, pay to play.

Brian Weiss: Yeah, it seems that you know, as I explore ways of us making revenue, that the bigger cannabis brands that are crazy outlandish that just have millions upon millions of dollars to spend on don’t pay to play. It seems like the smarter brands, even if they’re bigger. They know that it’s that there’s no reason for them to pay to play because they’re a fantastic brand. And they can [inaudible], and they’d rather get the better bang for their buck.

Chip Baker: Oh, man. It’s a great marketing lesson that we should put out there. I’ve gone to dozens of trade shows up half for 20 years, all cannabis oriented. And there’s this new misnomer that if you’re a new person, you need to come in and spend like shit to the money at the tradeshow to get noticed. You know, and if you watch the bigger companies like the actual bigger companies, not the ones that seem big, they’re not spending that much money, right? 

They’ve got some personnel, they’ve got maybe larger than normal. But they had the biggest people in the tradeshow industry, the biggest revenue producers. They spend like mid-tier. And now you’re like top-tier, right? And the top-tier spenders are often people who aren’t that big but wants you to think they’re big, right? They just happen to have the $20,000 or $30,000 to sponsor the banner and you know, the lanyards, the water cup, and the big booth, all the swag and you know, it makes them feel, it kind of makes him feel good but man, you know, the thing about the trade shows is the vendors the customer there. 

Brian Weiss: Yeah. Also, I see that a lot of these bigger companies it’s, you’re not as the customers are walking around the booth to booth, you know, their potential clients. There’s one guy or one girl that represents the company, and then they have promotional people that have no idea what they’re talking about.

Chip Baker: Yeah, totally.

Brian Weiss: It’s like if you’re going to spend that kind of money, you should bring out people that are going to help you get business as opposed to just someone to take a picture with.

Chip Baker: Well, there’s not so much TNA is there used to be in our industry, I mean, it came over pretty hard when the trade shows when it first started 10 or 15 years ago, that there was the scantily clad female or male there and they were like, you know, trying to draw people in. And there’s still some of that, but in the hydro weed industry it’s mostly gone to the authentic reps or the people who own the companies and you know… I should say there’s a lot of that going on right.

Brian Weiss: I was just gonna say that I think the conference does that are more B2B have you know have the right reps there. Their conferences that are you know more B2C facing they have that scantily clad right there which is understandable to a degree. 

Chip Baker: You’re right and interesting about cannabis is now, it’s so much of it’s B2B, and it used to– you know… I own Cultivate Colorado, Cultivate OKC, we’re one of the largest hydroponic shops in the country. And you know, people have called me a home grow shop in the past and yeah, man. We help home growers all over the world, blow out their closets, and their basements. And you know, smoke good weed, but mostly it’s a business to business transaction we have. Most of our customers are in business for cannabis.

Homegrown Ganja: Future of the Cannabis Industry

Brian Weiss: Do you see– let me ask you a question. So as you just mentioned, you help you know, Clients blow out their closets in their basements, do you see– and I sort of see this in my personal opinions and views as the industry grows and goes forward and goes backward, and then goes ahead again that maybe home grow or home growers will become a thing of the future more and more people will start growing at home as suppose to–

Chip Baker: No, it’s happening now. Oh, it’s happening now, Brian. Check out what’s happening, man. So like in all these states that have passed some sort of medical marijuana or even thought about it like Georgia, Alabama, Tennessee, dude, there are people all over that state. They’ve grown a little bit of weed now because of it, solely because the perceptions change. People’s morals have changed, hemp and CBD have helped a lot here. 

People’s morals have changed, hemp and CBD have helped a lot. – Chip BakerCLICK TO TWEET

But for instance, when Oklahoma went medical last year, they got 200,000 people that signed up on this registry to have recommendations from doctors to buy medical dispensaries. 200,000 dude the same time Missouri has similar things going on Michigan’s having similar. You couldn’t buy a grow tent in the country last year for six months. I mean, not on time, you could order it. But like in 110 lights even up until recently you couldn’t get a 110 light because all the commercial people used to 240-277 right. So the home growers use the 110s. 

So man home productions up here in Oklahoma, man home productions huge, organics huge, you know people feel like organic is how weed should be grown, and people have essentially perceptions of it, which is great. You’ll love it. In Oklahoma so many people are talking about organic, it’s like Humboldt in the 90s you know, in organic, it ain’t shit, you know– 

Brian Weiss: Yeah, totally. That’s awesome. I’m glad to hear that’s happening. I am a huge advocate of that moving forward in the future. 

Chip Baker: Oh, grow your own man. And the thing about growing your own is it get you this pride from doing it. And it doesn’t matter if someone else grows better weed than you do or the dispensary grows different looking weed, like for us I never trim my own personal weed here don’t have some here is [inaudible]. I just like when I go to smoke it I just pulled the leaves off, you know it didn’t look like the stuff in the dispensary right. But it’s there’s just this like, man this complete joy when you get to like plan a small seed or buy a clone, grow it and flower it. And then you have something that you can produce and that you like, Oh, I agree this I put my love and energy into it. 

The thing about growing your own is, it gets you this pride from doing it. – Chip BakerCLICK TO TWEET

Brian Weiss: That’s a lot of learning experience. 

Chip Baker: Oh, yeah, absolutely. You learn about the weed. You know, learn about yourself. I’ve said this over and over again. I’m not sure who’s cultivating who, am I cultivating the plant or they cultivating me?

Brian Weiss: [inaudible]

Chip Baker: Man, I find so many analogies in it. Like, you know, every time something’s going on with the plant, I find the same things going on in my business or personal life too.

Brian Weiss: It’s cool. It’s a great synergy to have.

Chip Baker: Yeah, man. So hey, man, I think this is a perfect time for us to take a break. Let’s take a break for one second. This is Chip with The Real Dirt, I’m speaking to Brian Weiss. We’ll be right back. 

Hey, guys, this is Chip from The Real Dirt. I’m sporting my corona hairdo. Yeah, that’s right. We’re all gonna have big hair after this. Hey, and I just want to let you guys know man that Cultivate Colorado, Cultivate OKC we are still open and providing services to growers. Now we’re doing a little bit different right now you have to call in your order, you have to email your order, but you can still come and pick it up at the shop. It’s a we’ll call type of situation, and in some places we can absolutely deliver. So if you need some product, it doesn’t matter if you need one litre a hundred, one bag of soil, or a pallet a soil or a truckload of soil, man give us a call. We have huge stock right now, we always carry huge inventory of everything. Especially this time of year, it’s time to get started on that garden earlier. So call us up at Cultivate Colorado, Cultivate OKC, you can look us up online, cultivatecolorado.com, cultivateokc.com, talk to anyone of our awesome people there and they can help you through.

All right, thanks for joining us again here. We’re back after a commercial break with The Real Dirt. Yeah, you like my commercial style, Brian?

Brian Weiss: I do. I like your commercial style, it is very personable.

Chip Baker: Very personal, you know, When I first started this, Hollis Carter, he asked me, he gave me the idea. He said, Hey, Chip, do you think you can talk about weed for an hour? Yeah, like how many days do you want me to talk non stop, you know… But yeah, we talk to the customers all the time, it gives me like this, I mean, I’m talking to people all the time about weed, it’s not just like, someone’s random conversation you are too. I mean, it’s in the industry. It’s what we do. We love it. We live it. We talk about it all the time.

Brian Weiss: Absolutely. Some people talk about it more than others. But I agree.

Learning Something New

Chip Baker: Yeah, well, years ago, my wife said to me, there has to be some other conversation. You have to talk about something else different. And I was like, Wow, you’re right. I do. And so I started picking up some like hobbies, right. And this was like 15 years ago, and every couple years, I’ll pick up a new hobby, or try to teach myself something that I have absolutely no idea about, right. It challenges everything I do it gives me this mental toughness because I’m like, you know, forced to learn about it. I’ve forced myself and it’s out of my comfort zone. I try to pick stuff that’s hard and difficult. You know, my most recent one was guitar a couple years ago I picked up guitar–

Brian Weiss: I think my brother did too recently. 

Chip Baker: Yeah, we trade guitar licks back and forth. Aaron’s actually, you know, pretty good guitar player. He’s–

Brian Weiss: He played it when he was younger.

Chip Baker: He’s got all that number stuff going on inside his head, you know what I’m saying? He count better than us.

Brian Weiss: Yeah, for sure.

Chip Baker: Yeah, but uh, yeah, you got any hobbies, Brian, you do anything other than weed?

Brian Weiss: Well, we were traveling, you know, for a little while, which I really enjoy doing. I’ve been getting into some cooking stuff lately. As soon as I actually get back in California–

Chip Baker: I bet the whole world has–

Brian Weiss: That’s actually what triggered by cooking was that this whole special time that we’re in right now. But ideally, we actually when I get back to California in September actually, I would like to get into some type of woodworking. I’ve never been a woodworking person, but I have some friends recently that basically have houses now and they have a garage, and they actually have kids and they’re like, how do I get out of the house and get away from my kids and get away from my wife in a sense and they go to their garage and they have their hobbies and not that I want to, I love my fiance, and I’m gonna love any child I have, but I want to create some type of fun hobby that completely different like you were saying that you know nothing about that you challenge yourself with and whether it is something that you know, is, I guess, good looking or not good looking. At least it’s your own challenge and it’s within yourself and so for me I’d like to get into some sort of woodworking. When I want to make it, I have no idea.

Chip Baker: I’ve been watching people make spoons on YouTube carve [inaudible]. And very relaxing to me right just to watch them. So like several Russian guys that do it and it’s in a different language and so it’s like, you know, I just get to zone out with [inaudible]. They’re like carving their spoon but like it’s very meditative right, spoon carving, doesn’t require too much equipment or space or anything really. But you know, I’m getting into construction again right now. It’s something I’ve always done. My whole life but of, the past like several years have had other people do it but yeah, with the whole Rona thing we’ve been pre-Rona, I was collecting my tools again and starting to put some stuff together, but yeah wood– building stuff with wood, building stuff with metal, it’s very joyful.

Brian Weiss: Yeah, it’s funny I watched a lot of these home shows which I would never watch when I was younger but I love them now and you know, they show these a lot of people using these shipping containers to create pools and to create homes with and I was like, that’d be sort of cool idea I want to have a– I’ve been researching, not that I know anything about any of this stuff but you know, I’ve been researching, like, how much is a shipping container? Where can I have it delivered to? You know, and it’s like, wow, these things are so cheap. So yeah, there’s a lot of fun things out there. I think a lot of– you know most people should, no matter how rich or how poor you are, that you should always have a another activity that makes you feel good. Gives you a break from life.

No matter how rich or how poor you are, you should always have another activity that makes you feel good. – Brian WeissCLICK TO TWEET

Chip Baker: Yeah, absolutely. Other than just smoking weed.

Brian Weiss: Absolutely. Well you can also smoke weed while you’re doing it.

Chip Baker: While you do it, that’s the beauty of it. That’s totally the beauty of it all. So Brian back to your traveling quest you’re you’re kind of not in Florida under your own design really. You were you’re kind of I shouldn’t say force, but decided you were going to like stay in, go to Florida. Tell us what’s going on?

A Trip to Florida

Brian Weiss: Yeah, so my fiance actually was my girlfriend at the time. But now my fiance, and I wanted to go on a six and a half months journey before we settle down. And we left at the beginning of March. We’re set out to do 13 European countries plus Morocco and Israel. And during our first country, which is Portugal. We got about almost three weeks in Portugal. When this whole Coronavirus thing started, and about, I guess 19 days now ago, we got a message from the U.S. Embassy saying, look, you can either stay in Portugal for potentially the next two years, or you can get on one of the last flights coming back to the United States. And you know, you got to figure out your own situation. So we got on a flight it was actually the second to last flight leaving Portugal and we didn’t really want to go back to L.A. but we didn’t want to go to New York, and we wanted to be somewhere warm. Because that was part of our traveling plans was to you know, do some European places that were warm. Yeah, in the summer. So we chose Florida which is actually not the greatest timing of choosing Florida because when we got here, they’re having spring break.

Chip Baker: Oh, perfect, perfect.

Brian Weiss: You know, and they talked about this whole virus is caused by but a lot of these people that were in Florida on spring break, are not doing any social distancing and we landed are like, Oh my god, what did we just come in to?

Chip Baker: I mean spring break for teenagers and college age students has nothing to do with distance other than the distance to travel to go to spring break.

Brian Weiss: Yeah, exactly. We first landed in Miami, and we were in a hotel for two nights, then the hotels got all shut down. And now we were smart. And we moved a little north. We’re in Fort Lauderdale now, and we got an Airbnb and not an apartment, we got a house so that we could be, you know, isolated from other people. My biggest fear was someone in the building catching it, and then we being stuck in an apartment for, who knows how long. It’s nice that we’re in a house now.

Chip Baker: So let me back up for a second. So you got an email from the U.S. government that said you might be stuck in Portugal for two years if you didn’t leave?

Brian Weiss: Yeah, we’re actually smart because I don’t know why, but I registered on the state department’s website, what countries we’re traveling to. So if there was a, you know, a disaster or some type of emergency, they know that we’re there. And they can help facilitate, you know, as U.S. citizens for us to potentially get back to the United States. And so we probably wouldn’t have gotten that message if I didn’t register but because I registered they sent a message from the embassy saying that the embassy is now closed, and Lisbon, and these are your options. Now it’s up to you to make your own decisions, but we’re just giving you the options.

Chip Baker: Wow, man, that’s incredible, man. So your six month month voyage was interrupted. And you still work daily on the cannabis news–

Brian Weiss: Yeah, right. Use my internet connection.

Cannabis Predictions after the Present Pandemic Condition

Chip Baker: You know, we’re gonna have to have a conversation after you get back to L.A., but we’re going to talk about it right now. So man, the cannabis industry was just like on on kind of a roll right before all this, like it was at– I would say it definitely had a peak and I say this because a bunch of several big companies were falling out and small companies too, and that’s what happened when you get a peek right one of the things. So we hit we’ve just had a peek in, you know the cannabis industry in the country as well as as California specifically and then the Rona hit, now things are changing. What do you think is gonna change?

Brian Weiss: I think the way that will, possibly the way that people consume you know, there’s different studies–

Chip Baker: The social aspect of it? 

Brian Weiss: Well, the social aspect, I guess you will feel the pass that joint to each other anymore. That’s definitely not a thing, unless you’re within a family–

Chip Baker: We went rasta a couple of years ago and we try to smoke our own joint. Because man, I would just, I can’t getting sick because you know, I want to smoke everybody out. And so like now man, I just like oh, hey, here’s a joint for you. Oh, here’s one for me. Like I can never smoke this like I take two minutes to take it home. It’s cool.

Brian Weiss: I’ve actually always enjoyed I’ve been for the past, I can’t even remember how many years. I’ve only been smoking joints. And I’ve been smoking them by myself. I really don’t like sharing my joints. I like the first hit and I like the last hit. Yeah, all the hits in between.

Chip Baker: Me too Even me and my wife smoke separate joints. You know we go dog walk in the morning both have our own tooter, right. So social aspect that’s gonna change, what else is gonna change?

Brian Weiss: I think the way people are getting it you know, I think that more people will start growing at home. The people aren’t growing at home I think delivery is going to become a bigger business. You know, as much as I don’t want to say it, hopefully one day when it becomes federally legal, I think there’ll be an Amazon or Grubhub type of a company that they’ll start delivering, you know, your alcohol your food and your weed with the same package we’ll see how that actually works out and stuff. But I see that delivery right now is you know, becoming a more of a essential way of getting your products.

Chip Baker: Yeah, California is unique in that manner is that they can get delivery, and a few other states do it. In Colorado we just legalized it up there, and doors is just starting to in Oklahoma, I think it’s gonna be legal but they’re like, just hadn’t quite figured it out, right.

Brian Weiss: Yeah in Florida, where we are in area it’s a medical state. I believe they just started delivery with the Coronavirus to make it easier for patients and as much as I’m not a Florida fan at all. Because I’m not well, my own political view, I’m more of a democrat and this is a very Trump state here where we are. But I have to say the way that they distribute medical here is good, they don’t charge taxes. It’s looked at as a as a pharmacy, which I think is how it should be for medical and other states.

Chip Baker: Yeah, charge the taxes on the recreational use of adult use.

Brian Weiss: Yeah, absolutely. I think that medical patients should be able to, you know, they’re already going through hell to begin with why tax them money that they potentially don’t have to save their own lives for you know, smoking weed as opposed to taking Vicodin or whatever it is other pills that they would take instead of the weed.

Chip Baker: Yes, I agree with you there, man. There’s a you know, medical is an excuse to make weed legal in many places. Totally fine with that. But hey, man, I tell you what people also need weed medicinally, too. And we got to figure out how to service both sides of that.

Brian Weiss: Yeah, absolutely. I agree. And I think every state seems like they’re doing something different, unfortunately, nobody seems to really know what they’re doing. You know, I think maybe in the next two or three years, there’ll be a lot of good examples of some states and bad examples of others. And, you know, maybe there’ll be something more across the board, you know, for every state, that’s the same in a sense, and makes better sense. Say, you know, one of my sort of fears now is that, you know, in California, excuse me, California, it’s, you know, deemed essential during these times, you know, all recreational and medical are open. But then I also see that some of these recreational places are not, paying attention to their customers, they’re not paying attention to their employees in the sense that, you know, there’s no safety. There’s lines out the door, some companies are still having events at their dispensary. No that’s not promoting, you know a safe environment.

Chip Baker: Oh man, you gotta stop and quit, you know, in Oklahoma at our dispensary there Baker’s Medical we just decided to shut the door. We did this for a couple of reasons but mostly it’s because our big businesses commercial sales of clones and flower. And we wanted to make sure that we could keep continuing to do that. So we just schedule appointments to sell wholesale and then we just don’t let the random public come in. We also have like a security area, waiting area. So we schedule people to come in we put all their product out there and then they show up we let him at the door buzz them in– Hey there’s your thousand clones in the corner. And we talked to them to the window. They count out the money. Put it in the box, so we don’t have to touch it. We take the envelope, spray it off with alcohol. Yeah, take it to the bank and make them count it.

Brian Weiss: Yeah, that’s funny. You know what you just said something that I think for a lot of owners need to be doing. And I see– it seems like that you know, more of your clientele and who your clients are than most other dispensaries that are just, you know, the randoms coming in the door. And that’s one of the sort of my, my feelings at least in my own opinion that I feel that dispensary owners especially on the medical side or even on a higher production side should know their clients. They should know who their real customers are, so that they can properly help them.

Chip Baker: We’re on a bus stop, and we’re in a working class neighborhood. A lot of our clientele comes from just the bus stop right. And we realized, like, man Oh, well, public transportation. There’s absolutely no social distancing there, right. Like, there’s just, it’s just going to be difficult to keep a safe environment by having the public come in. Now, man, I don’t know if it’d be any different if it was just a neighborhood shop and only neighborhood people came in. But, you know, an awful lot of our traffic is the public transportation and, man, it’s just, that’s just a hard one. You know… When I see people crammed in subways in New York, I’m like, What the fuck? In New York, only three miles long. Should you just walk?

Brian Weiss: Yeah, totally. Right. 

Chip Baker: Yeah, right, right. I mean, I don’t that’s probably a misstatement, but yeah, I know. It’s small. It’s small.

Brian Weiss: A lot of people are lazy though, too.

Chip Baker: Well, that’s worldwide. Well, hey, I tell you this man, you know that our current like, environment, you know it throughout Denver people and Colorado and New York and L.A., you hear the authorities saying, okay, you can only work out once a day. Guys like people, I mean, I gotta go do something, but it’ll work out again. I think we’re dizzy had a resurgence in health after this for sure. 

Hey, back back to our cannabis predictions. You know, you said how people consume. And you know, if it were a year ago, people would have said, Oh, well, vaping I’m going to vape because that’s cleaner, right. Well, we had a vaping crisis or scam, right. Whether it was really created, right, whatever, but a handful of people died on illegal vapes. Illegal ones. And but it affected the whole industry as a whole. But now people’s perceptions of vapes are a little bit different, so before it was like smoking was bad. Now it’s vapes are bad. I think edible consumption is going to go up considerably now.

Before, it was like smoking was bad, now vapes are bad. I think edible consumption is going to go up considerably now. – Chip BakerCLICK TO TWEET

Brian Weiss: Oh, it’s gonna grow hugely. I was someone who never, never really liked edibles just because you’re never sure what you’re eating. But now that they’ve really figured out how to you know microdose in the right come up with the proper dosages for edibles. And you don’t know sometimes what you’re smoking. So it’s like, you know, from someone who smokes all the time and you get this new type of flower and you think, Oh, yeah, man, I can handle anything and then you smoke this huge jointed. You’re just, you know, totally having a panic attack like I recently had, then–

Chip Baker: This is your first joint back from Europe or something?

Brian Weiss: Yeah, I haven’t smoked in 30 days that– I thought [inaudible] I thought I had to Coronavirus all of a sudden and I felt my chest caving in and I was shaking I almost called 911 and I had to call my brother and my sister, my mom like, I thought it was it. I thought it was like literally having my last–

Chip Baker: Yeah, I was like wait, wait a second. Did you smoke some weed?

Brian Weiss: That’s what actually I was, I talked to his wife Rachel, and she’s like, you’re having a panic attack. You did [inaudible]

Chip Baker: You smoke some weed, right?

Brian Weiss: Yeah. Think of something nice and a happy place. You know, you’ll be fine and within like ten minutes I was totally fine. But during that time period, the quarter I received in the mail I flushed down the toilet.

Chip Baker: [inaudible] contaminated

Brian Weiss: Definitely, and I know better, but at that time I didn’t know what the hell was going on. 

Chip Baker: But you believed edibles, my experience with edibles is your tolerance raises on them. But like then you go back to smoking weed and you don’t have weed, a smoking tolerance is that how it works?

Brian Weiss: You know, I don’t know, because I’ve never really experienced this before it was sort of a first time, but I–

Chip Baker: I’m always eating edibles and smoking weed, eating more.

Brian Weiss: Yeah, I feel like, that was my biggest mistake was probably, you know, not smoking. I had a vape pen with me when I was traveling, but I don’t know vape pens just don’t really do it for me so much.

Chip Baker: You gotta have the good ones, dude. Man, talking about ABX Absolute Xtracts. They’ve got one I can’t remember what it’s called. But man, that thing is so good. It’s like, distillate rosin mixed or something. That’s just like taking the dab. That’s great product. 

Brian Weiss: But those pens go very quickly. 

Chip Baker: Oh yeah– When your grandma’s house or the customs office, you can be like, oh, hey, customs agent.

Brian Weiss: Oh, yeah, absolutely. That’s the greatest thing about, one of the greatest things I think about those is the, you know, being discreet, being able for that mom and pop that you don’t want to continue smoking around there, you know, having kids but not wanting the kids to smell it or be influenced by it. You know, that’s one of the greatest things for vaping, the discrete part.

Chip Baker: Yeah, absolutely. The safety part of it is people usually don’t share– I shouldn’t, usually don’t, but like, often people have their own vapes. And they hit it, they put it back in their pocket.

Brian Weiss: Absolutely. And there’s not also, any there’s no, if you’re, like you just in a public type of space, you know, wherever you are, you don’t have to pull out a bag, and roll a joint and find a piece of paper to put it on or whatever, however, you know you do your thing or if you’re packing a bowl and you know having a dumpster pull out and worrying about, you know, the amount of smoke that comes from either smoking a joint or [inaudible] vaping is very, you know, minimal smoke that comes out and it seems like it disappears very quickly. You know, it’s–

Chip Baker: It smells all the same or– yeah–

Brian Weiss: And, actually, I think it’s also cool that there’s a company which, one of the companies we also featured in our magazine, Philter Labs, which I believe is out of Colorado, possibly. They created a patented filter, basically, where you could take a hit, either whether it’s a bong, a pipe or joint or even a vape, and blow into it. And literally no smoke comes out the other side. Zero smoke you could take the hugest hit in the world and somehow or another this little tiny thing captivates all of it. And what it does with it, I feel like no clue. It makes very friendly to pretty much smoke anywhere, which I’m a big fan of–

Chip Baker: Yeah, I’ve seen similar types of stuff in the past, smoke buddies and you know, seeing the dryer sheet paper towel roll.

Brian Weiss: Yeah, I was gonna say you know, you take the toilet paper, roll stuff in a little bit, put the dry, maybe spray some cologne on it blow in one side comes out the other side smelling like coll water cologne. Which is not a great smell. But when you’re in a hotel room, it saves you from that $250 fine.

Chip Baker: Wise words, wise words. So consumptions gonna change. People are going to, it’s going to consumptions going up. Yeah, I believe, right. 

Brian Weiss: I believe.

Chip Baker: And I’ll say this because of the Colorado demographics right now. 50% of the sales are normally associated with tourism. There is zero tourism in Colorado right now but the sales aren’t so bad because what do unemployed people do? They smoke more weed. What stressed out people do, they smoke more weed.

Brian Weiss: Yeah. I was surprised I was in Colorado like when you’re asking me earlier about, you know, prices of cannabis in California and Los Angeles when you know, so we were recently at this canopy boulder program and in Boulder and I tried out a couple of dispensaries in Boulder. It was like $12 eight, for like really good shit. And I couldn’t figure out why it was so much cheaper in Colorado, what more so I couldn’t figure out how they made any money. But it was really really good and I was really surprised actually by you know, how good the product was there not to go off of subject line– but [inaudible] Colorado.

Chip Baker: Colorado has some really cheap cannabis for sure. Colarado and Oregon both have the cheapest best cannabis. I’ll say that Yeah , man crazy, crazy market up there. I mean, people sell $500 pounds indoor weed there and they also sell $1200 pounds. For my perspective, I think, since the markets gotten a little bit harder Colorado weeds gotten better or at least it’s separated. It used to all be like [inaudible] in the middle okay. Now it’s some of it’s starting to stretch and get better than at all goods. You can go into random dispensaries now, and you couldn’t use to do this before but you can go into random dispensaries now and the weed smells good. And it doesn’t– and it’s dried right. But it that used to not be the case, you’d have to search out the dispensary to go that had great weed. Even though every dispensary owner out there thinks they got the best weed.

Brian Weiss: Totally–

Chip Baker: I know we don’t have the best weed at our dispensary, but you know, that we’re providing a service right? this is what we got– 

Brian Weiss: Sometimes people prefer, the you know, either lower quality or what have you because– I mean I sometimes I smoke, you know, some of amazing quality and nothing happens to me. Then I’ll drag something that has, you know, less quality and I’ll get ripped. I get, I’ll get totally get ripped.

Chip Baker: That’s the plants there, man. That’s the plants there. You know, I guess what I just you know that harvest and dry period is so crucial and to give in that full flavor taste. Right and the smell, the aroma like it’s just, it’s so crucial. It’s getting better in Colorado, in my opinion, right.

Brian Weiss: I think it’ll get better everywhere, in time. I sort of you know, I have this thing I always say, that I sort of see that. Maybe you agree, maybe you don’t. But I sort of see the cannabis industry a little bit like the beer industry, in the sense that you have these bigger companies, you know, you got your Bud lights and your Coronas and these bigger companies that will always be there. But you know, after a while and you being also from you know, living in Colorado, all of a sudden you have microbrews and microbrews end up having a way better quality. 

And I see that in the cannabis industry I see these bigger companies that people will love and you know, whether they have good quality or not. And over the next few years, a lot of these mom and pop shops that are sort of being pushed out of the industry, I think; personally, they’re going to come back into the industry, as like this microbrew type of a company surviving, they’re going to end up surviving way harder, or way better even than these bigger companies. And you’re going to have like these Fat Tire companies, you know, for beer in a sense that for anyone who doesn’t drink beer, Fat Tire is a fantastic beer company. And so you’ll have these type of companies that I think will end up thriving a lot harder later on, but like any business, you got to weed out the good ones and the bad ones and right now in the industry, I think that as states come online, and some states, you know, either go backward or forwards that’s sort of what’s happening in my head, at least in my opinion.

Chip Baker: No, you’re absolutely right. And we see I mean, you know, we hear this term too big to fail. But that does not mean if you’re a big guy, you’re too big to fail, you have to be really, really, really, really, really, really big to not fail. And a lot of the big people are failing. I mean, this week alone in California, we had three big big people say they were gonna fail. You know, we’ve we’ve had numerous Canadian operations fail. You know, I’ve seen cash flow from all those Canadian operations now and all the U.S. operations and they suck. And people are bailing out dude, just shut down left and right, but the small guys, the medium sized guys, they’re actually holding their own–

Brian Weiss: Some of the ones that decide to go public, you know, in thoughts that, you know, they’re gonna be these huge companies. A lot of them failed in that in that regard. And then you have CEOs that started buying private planes and buses and very expensive cars. And they drained a lot of their company’s wealth as well and you know, just became too big, too quick for all the wrong reasons.

Chip Baker: Yeah, well, you know, dope dollar spend a hundred to one. You just think it’s gonna come in like no tomorrow and man fuck dude, like fights farming. Basically, it’s farming and it doesn’t matter if you’re, you know, everyone’s, no one in the cannabis industry is shielded from that quote-unquote, farming activity. If you’re an extraction maker, and it’s bad outdoor season, then you’re not going to have enough extractable material. The extractable materials can be expensive. If you’re same way with your any type of ancillary company, right, if you’re selling equipment to growers, and you know the farming sucks, like if your equipment seller in the farming sucks, usually sell more equipment, and when the farming is great, you sell less equipment.

Brian Weiss: Yeah, that’s funny, I see that now as well as in the– for my side being in, you know, an ancillary but being in the media of this industry, it’s like we Oh, and when we started, there was no B2B or not no, but very limited B2B media sources in the industry. You know, when I was growing up, I would read High Times, and I would be so excited to see like this really cool bud, with some guy wearing a bandana, you know, in the magazine, and that was exciting. But now I look, you know, coming forward, you know, now, that was a lot of cool stuff, because it’s illegal thing. So it’s really fun to read High Times. 

Now, they’ve been pivoting left and right, and other culture and lifestyle magazines have also been pivoting, left and Right. And High Times just announced this past week that they’re shutting down, dope magazine, culture magazine, and they’re even halting their own publication to get into the dispensary worlds. And so there’s a lot of pivoting even in this industry and for us it was, you know, we’re happy that we’re still surviving, and we’re happy that we’re actually a B2B because I see that, at least in the cannabis media site that consumers are consumers, they’re not interested in reading cannabis magazines, but business people, however, in the industry, it seems that they want to know what’s happening. They want to know what’s legal in their backyard, can I grow? Can I sell it? Where can I open this? Where can I open that? How can I invest in this? How can I invest in that? And so for us, at least we’ve seen thankfully, a growing trend at least towards the business to business side of the cannabis media.

Chip Baker: Every single aspect that a normal business needs, the cannabis business needs, and people when they think cannabis, they solely believe of grown weed or smoke it. That’s it and, man, you need everything that any other normal business needs. From accounting to H.R., to like a recycling program, and a garbage program, and like a hiring program, and a firing program. I mean, you need it all, right. And there are so many services out there that people could transfer what they’re doing currently and move into the cannabis industry.

Brian Weiss: Yeah. I it’s funny you say that cuz I talked to people in normal insurance, they’ve been selling health insurance their entire lives. And now they’re getting into cannabis. I have a friend who’s a real estate person. He’s been always doing real estate, you know, personal houses, people’s homes and stuff, now he’s getting into cannabis real estate. I know somebody else that does skincare products. And now he’s getting into white labeling CBD products, you know, and he’s just a packager. He’s not actually making the he’s just packaging. But like yeah, like you said, there’s all aspects of the industry require all aspects of other industries.

Chip Baker: Oh, it’s all just starting man. It’s all just starting. Well, man, you know we should have another episode in like a year. Okay? It’s like April 9th now, so April 9th 2020. So April 9th 2021. We’re gonna do another episode. 

Brian Weiss: I’ll be at my fancy pool then.

Chip Baker: Yeah, we’re gonna see like how these predictions that we just made came true, right. Okay. Let’s just recount what these predictions are. One is the social aspect of cannabis sales and consumption is going to change somehow.

The social aspect of cannabis sales and consumption is going to change somehow. – Chip BakerCLICK TO TWEET

Brian Weiss: Yeah, right.

Chip Baker: The big players are falling out and they’re going to continue to fall out. Which means like the smaller people from the mom and pops to just the grassroots organizations, they’re going to take over that market share. 

Brian Weiss: Absolutely. 

Chip Baker: Do we have a fourth prediction?

All Things Made in China

Brian Weiss: I do actually. Another prediction is that I think that in the vape market, a lot of the products, not the vape. It’s not the you know, the distillate or the live resin, not those products themselves, but the actual hardware– [inaudible] well, that in the hardware right now is all pretty much made in China. And I see a lot of that product, the manufacturing of the vape pens, the batteries, all that stuff, possibly switching hopefully, over more into being made in the United States. I don’t know how long [inaudible] is going to be able to buy products from China. 

Will those products still are able to be shipped into the country from what I understand already, a lot of vape companies right now are having major problems because they rely on hardware from China that they’re not getting right now. And they’re going to have to start, you know, worrying about how do we get these products? How do we get this hardware in the future? So I see a lot of overseas manufacturing of different types of products within the industry being done here in the United States. And that’ll also go back to you know, in the sense of other industries, you know, basically, you know, maybe you have like a G.M. type of plant that’s starting to make cannabis, you know, [inaudible] lighting, no extraction products–

Chip Baker: All the bulbs are made in China, right. All the lights, all the like components in China. All the electronics are made in China, right. Like some of that’s gonna change your absolutely correct–

Brian Weiss: And you’re gonna have Baker lighting soon.

Chip Baker: I’ve done that one. Lighting is a difficult one man. I’ve actually I’ve put quite a bit of effort into it. But you know, we’ve had some– On the lighting, for instance, that’s one of the hardest things because China really does make it all. So like, I’m not sure like how that’s gonna be able to change, you know, but like plastic bottles, or polymer or —

Brian Weiss: That’s like a polymer– I think maybe you know as hemp becomes more universal, you know, there’s so many things that you can do with hemp. And there are so many smart people out there that are already trying to do things with hemp, that I think they’re going to realize that there’s a lot more that you can do with the plants. And hopefully that crosses into manufacturing. And people realize that maybe that you know, I don’t know much about hemp, but I from what everything that I read about seems that everything that you can use with normal material, you can also pretty much do with hemp. So I think that there’ll be a big change in the hemp market. I think there will be more used on many different industries, not just in the cannabis industry, but you know the car making industry you know, Ford made a car out of textiles.

Chip Baker: Honestly that textiles left this country 25 years ago and went to China and other places, China, like will it come back? I’m not sure but like hemp can help, like supply hemp cotton. I mean, we– you know, cotton was why this country was really founded really. [inaudible]produce textile–

Brian Weiss: And you know, people are building homes with hemp now. They’re doing everything so I really, I see that [inaudible] I see that becoming and it’s actually supposedly, the articles and the videos that I’ve seen is it’s a lot stronger than wood– 

Chip Baker: So man, I’m building a hemp house. That’s the future. Okay. Ask me about the hemp house January, I mean, April 9th 2021.

Brian Weiss: It’s weird saying that sometimes I feel like I’m in Total Recall–

Chip Baker: It is. Well, Brian, Hey, thanks for coming on the show, man. I really appreciate it. I’m glad we got the chat and I’m excited about what’s going on in California. I look forward to hearing more about it in the coming months and years.

Brian Weiss: Yeah, my Chip. Thank you so much for having me on. And I really enjoyed chatting with you. And, you know, during this crazy time, right now, it’s nice to have a good laugh and to talk about the industry and and talk about futures and it’s, you know, obstacles. But, you know, like you said, it’s a strong industry and it’s on the ground floor still. Most states are still trying to, you know, get there and I think after this virus clears out and hopefully this president that there’ll be opportunities for federal legalization and with federal legalization, it’s going to get the commercials and all these three letter agencies will lift their bands and there’ll be a flourishing market. So thank you. 

Chip Baker: It’s all just starting Brian, it’s all just starting right the next 20 years of cannabis, ganja, hemp, we’re gonna be incredible. I’m looking forward to seeing it.

Brian Weiss: Yeah, me too. Thank you.

Chip Baker: Great. Thanks again. Hey, it’s been The Real Dirt with Chip Baker. If you liked this episode of other or others, download them on The Real Dirt podcast on iTunes. You can also check us out on Spotify and if you want you can go to my website therealdirt.com. You can look at all the episodes we’ve got a great blog, you should join our Facebook group. Join us on Instagram, The Real Dirt podcast love you guys have a great afternoon!

Well, it’s a great episode with Brian Weiss from L.A. Cannabis News. And yeah, we have made some pretty good predictions. So talk about the Rona, we talked about what’s going to happen here in the future. It’s exciting man, you know, with every, during every real revolution, there are fortunes made and lost. And I’m not trying to sound like an asshole because this isn’t a revolution, but it is going to be a social and cultural revolution with what’s going on with the Coronavirus, and we’re going to change our attitudes on personal space social distancing. And for the good and the better. But there will be an opportunity. There always this opportunity and change, and regardless of what happens, things will change, and we’re just going to have to flow with it. 

We can be the salmon in swim upstream, and sometimes I enjoy that. But for the most part, like, you know, what’s going on internationally with the Coronavirus is absolutely going to change the way we feel about cannabis, the way we consume cannabis, and our social interactions involved with it all. So, you know, it’s going to be interesting to see it all happen and see it all unfold. I mean, for instance, it Cultivate Colorado, Cultivate OKC, we have set up a “We’ll call” scenario so people can just call us and email us and we’ll get their order together. And then when they show up at the shop, they just call and say, Hey, I’m here, I’m here with my order. We’ve got it outside. We make a little exchange, and you know; hopefully, it’s on the credit card. And you know, you don’t have to count out any money or anything, but we can do that too. Delivery is a huge part of what we’ve already done in Colorado and Oklahoma. Of course, that’s all commercial. And often, you have to have a loading dock or forklift, but not all the time. And so the delivery, it’s stepped up as well. 

The reality of it all is it’s probably better for people not to go to the store, and just call up and have people deliver it, or we’ll call scenario. So I bet we’re going to learn a lot from this. I’m not sure if my employees, the people we work with, how difficult it’s made it on them, but you know, there’s a learning curve. So if you’ve had any, like instances or something where you haven’t been able to get what you want and like, manage stressful times, like just take a deep breath, be like okay bro, and just try to re-approach it a little bit. But yeah, those are the that’s what’s going on with us. That’s how we’re actively changing. 

I’d be interested in hearing from you on how the Coronavirus has changed, how you’ve been interacting with your cannabis business. So send me an email. Send me a private message, post on Instagram, or something. Because I am interested, we’re in a house changing for everybody. Hey, listen, in these boring times when you’re sitting at home, and you’re smoking weed, because everybody’s consuming twice as much right now, and you want something to do. Download one of the previous episodes of The Real Dirt podcast. You can get it on iTunes on Spotify. You can also go to my website, The Real Dirt podcast, therealdirt.com, and you can see all our past episodes everything. Man, if you’re interested in any cannabis products or clones or genetics, you can check out our medical dispensary in OKC bakersmedical.com. If you’re a commercial grower, we supply commercial cuttings there. And you know, like I said if you need any grow gear cultivatecolorado.comcultivateokc.com and it all starts with the dirt, so get you some growers soil. That’s right, our proprietary coco peat perlite blend we make specifically in a sophisticated state of the indoor art facility that’s all ours where we only make this one product for you, growerssoil.com. Hey, love you guys. I look forward to making another episode for you. It’s coming here in just a few days. So check us out therealdirt.com, The Real Dirt podcast, subscribe on iTunes. Love you, real dirt.

 

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Lowell Farms: A Cannabis Cafe Review

Lowell Farms: A Cannabis Cafe Review

The world’s first legal cannabis cafe is now open in the United States. Does it meet the hype?

Cannabis culture has grown exponentially since cannabis was first legalized recreationally in Colorado in 2012. With more states starting their own legal cannabis industries than ever before, the stigma surrounding cannabis is finally being broken down piece by piece.

As cannabis becomes more culturally accepted into the mainstream, so grows the cannabis consumer base, looking for a place to enjoy their cannabis. Unfortunately, a lot of states have laws on the books preventing public consumption, which means that you can only consume cannabis on private property. For a lot of people that rent, it just isn’t possible.

While some attempts at cannabis consumption businesses have popped up, they are very limited in their permissions, with all of them only allowing vaping, edibles or dabbing, with no smoking of flower allowed. That is, until now.

Lowell Farms: a Cannabis Cafe

Lowell Farms is a well known name in the California cannabis industry, with their pre-roll joint packs being found on just about every dispensary shelf in the state. But Lowell is more than that now. They are also the first company to open a legal cannabis consumption cafe in the United States.

So how does the world’s first cannabis cafe operate? Well it’s not like any dispensary or cafe you’ve ever been to, that’s for sure.

The best way to describe Lowell Farms cannabis cafe is a half restaurant, half dispensary hybrid. You can get your food and your cannabis from the same place, but not from the same people. If that sounds confusing, let me dive into the full experience for you.

The Lowell Farms Experience

It’s an incredibly simple concept, that works alright in practice. When you walk into Lowell Farms Cannabis Cafe, you wouldn’t be wrong if you mistook it for your average restaurant. It has an indoor and outdoor seating area, a bar in the middle of the dining room, and hustling and bustling waiters and waitresses.

After being seated, you’re given not one, but two menus. The first is your average food and drink menu with soft drinks, tea, coffee, small plates and lunch entrees. The second menu is the cannabis menu. This menu has your pre-rolls, joint packs, concentrates, and flower to pick from.

When your first server comes to the table, you can order tea, coffee, other drinks and food off of the first menu, just like your average dining experience. But then your second server comes, who would be described better as a walking dispensary.

The cannabis server came up and took our order just like the food server did, but because the cafe is half restaurant and half dispensary, the orders are taken and paid for (and tipped) separately, which can be a hassle especially if you decide you want seconds. The selection of cannabis products is varied, and there are a lot of options to pick from, including outdoor, greenhouse and indoor cannabis flower, hash-packed pre-rolls and more.

The food came out less than 5 minutes after we ordered it, which is great. Unfortunately, we had just rolled up our first joint, and had to let the food sit while we smoked. If there was a little more delay between servers with the cannabis coming out first followed by the food, the experience definitely wouldn’t feel so rushed.

The Products

California cannabis is world renowned, and only having tried it one other time back in 2013 I wanted to take advantage. While Lowell Farms actually allows customers to bring their own cannabis for $20, buying your cannabis there gets you a rolling tray, grinder and papers that you would otherwise need to bring yourself, so we went with buying ours there. Not just to save us the trouble of bringing our own, but to really see what kind of products they are selling.

The pricing of each product seemed to vary on whether it was indoor or outdoor, in addition to brand name. Upon asking our budtender/server how the prices were structured, we were told that the prices are set according to what the cafe pays their vendors to get it all. If that’s the case, Lowell Farms must be paying a pretty penny for their product.

We will dive into the costs of the Lowell Farms Cannabis Cafe experience soon, but for now let’s dive into the actual product. We decided to keep it simple on our visit, and only bought an eighth of flower. Out of the 20-30 flower options on the menu, only the first two were not indoor-grown, and they were also the cheapest. Other than that, the prices slowly rose as you went down the menu, with the “exotic” strains being the most expensive at the bottom. We went with a middle of the road Zkittles eighth, grown indoors.

As much as I hate to say it for the price we paid, I have seen Colorado outdoor that looked better than this cannabis. That’s not to say it didn’t look good, smoke well, taste good and get the job done, but I just wasn’t impressed with the look. Machine trimmed, compact nugs with not much trichome shine on the outside, and a sweet and mild fruit smell when you cracked the bud open. Throughout our time there we rolled up four joints, and had about a gram and half left by the time we decided to head out.

That’s really it. You get some food, you get some cannabis, and you enjoy. We weren’t rushed out the door with our leftover cannabis once we were done eating, but we did feel a little odd sticking around 30 minutes after we finished our meal to keep smoking, especially knowing that servers are trying to hustle as many tables as possible. But like I said, had we had more time before the food arrived to enjoy our cannabis, it probably wouldn’t have been an issue.

Now let’s get down to the biggest pitfall of Lowell Farms Cannabis Cafe – the price.

The Price of a Good Time

Can you really put a price on a good time? At Lowell Farms Cannabis Cafe, the answer is yes and then some.

I get it. This is the first cannabis cafe in the history of the United States, there’s a lot of demand, and it’s in Los Angeles which is an expensive city. It should be no surprise that a cafe that advertises itself as a luxury cannabis lifestyle experience charges a premium for it. But let’s put it all in perspective.

In our time at Lowell Farms Cannabis Cafe, we purchased one eighth of flower and one pre-roll with some hash in it. Our total was over $100. Throw in the $24 for the meal we split, and you’re looking at an expensive experience just to smoke in peace and have a snack. When an eighth of cannabis costs $55 without any tax, you expect a certain quality, and frankly the flower we got from Lowell Farms did not meet that standard for me.

Is Lowell Farms Cannabis Cafe Worth It?

As a one-time experience to check out the only cannabis cafe in the country? Yes, it is worth it.

Being in a public space with a hundred other people, all just relaxing, smoking and enjoying good food is a real sight to see. It makes me so excited for the future cannabis cafes that are bound to start popping up across the country, and competitive market is going to drive down the prices for these places over time.

But for Lowell Farms Cannabis Cafe, there are still a lot of adjustments to be made before it’s a real accessible, enjoyable experience for your average cannabis consumer. The cannabis is insanely over-priced, and it all comes pre-packed. Our flower had been sitting in its jar since July 2019, and we went to Lowells in Mid-November.

In a realistic Lowell Farms Cannabis Cafe experience, the cheapest flower you’ll find will still be over $60 with tax (and that’s the outdoor), the concentrates will be over $70 (without tax) for half a gram, and the pre-rolls come small. But for a once in a lifetime experience that you can’t find anywhere else in the country, Lowell Farms Cannabis Cafe is worth a visit.

Los Angeles cannabis permit problems

Los Angeles cannabis permit problems

California had the right idea when they legalized cannabis in 2017. But with incredible delays, lack of resources and a surplus of entrepreneurs hoping to make a name for themselves in the industry, the state and cities like Los Angeles are struggling.

Over four million people live in the city of Los Angeles. It’s no surprise then, that the inhabitants would try to work in the new legal system. But it hasn’t been as simple, or profitable, as originally projected.

California is the biggest state in the country, as well as the largest supplier of cannabis. When the state legalized, it virtually leveled the main supplier in the state; the private market.

Unprepared, Understaffed, Overwhelmed

While strict requirements, exorbitant application fees and an originally-one-man advisory board made the legal industry all but unattainable for smaller growers and farms in the state, the process was made much simpler for retailers. Medical retailers, that is.

In Los Angeles, priority was given to owners of retail medical dispensaries in the application process. Since they already had the location, the storefront and the brand, all that was needed was a transition to the new regulatory requirements for recreational cannabis.

Second in line for application review came those that legally supplied the medical cannabis to the dispensaries in Los Angeles. It makes sense because once the retail locations are transitioned to recreational, they can continue to use the same growers and suppliers, maintaining their business relationships in the new, legal industry, with minimal delay. At least, that’s how it went on paper.

In reality, the situation isn’t going so smoothly. In February of 2018, the city gave out about 180 temporary permits to allow medical dispensaries to operate recreationally. For the growers and suppliers, the same was to be done by April. Those temporary permits weren’t issued until the end of August.

This shouldn’t be surprising considering the total lack of manpower the Department of Cannabis Regulation had then and now. The directory board of the department started with just one member. Now, over a year since legalization, there are only 13 members on the board. Now imagine those 13 people handling every single application process for the hundreds of retailers, growers and processors.

The picture starts to become pretty clear. As if the city didn’t have enough on its plate, it also included a social equity program in its local laws, aimed at helping repair some of the damage done by the war on drugs.

Los Angeles Social Equity Program

This is where the state of California and the city of Los Angeles could have set a great precedent for new and current legal industries. The city established a social equity program that would give priority to those most negatively affected by the drug war prior to legalization.

People of color in the city were disproportionately arrested for small drug crimes involving cannabis compared to their white counterparts, despite statistical data showing no difference in cannabis use between the two groups. This group and other minority groups negatively impacted by the drug war were meant to be some of the first allowed into the new, legal industry.

Unfortunately that isn’t how it has worked out for Los Angeles. While the social equity program gave priority to these minority groups, the Department of Cannabis Regulation gave higher priority to already-established medical retailers, growers and processors. And with the — to put it mildly — severe lag of the application process, these groups still haven’t had one single approval.

Mind you these are people who do not currently have a business, and want to open one in the recreational market. Many leapt for storefront dispensary locations, despite the low availability. Los Angeles put a cap on how many storefronts can be opened in a neighborhood, in addition to strict requirements for location (e.g. can’t be near schools, other dispensaries, public parks), greatly limiting the options for would-be entrepreneurs.

When it comes to timeframes, the city hasn’t been shy on the issue either;

“Bringing cannabis above ground is an incredibly complex process, and L.A. is doing it on an unprecedented scale,” Alex Comisar, a spokesman for Mayor Eric Garcetti, said in a statement. “Our goal is to do this the right way, not the quick way or the easy way — and we’ve always been very clear about that.”

It’s a rough road ahead

Los Angeles is way behind schedule. It’s a fact. And the local government isn’t doing much to speed up the process. The Department of Cannabis Regulation currently sits at 13 members. Multiple additional position have been filed, but due to the slow city hiring process, anyone new has yet to be hired.

The head of the city council Herb Wesson insists that everything will basically sort itself out. Even with reports of many potential entrepreneurs leaving the city to open up shop elsewhere, Wesson isn’t fazed. “I have no time for folks that want to go somewhere else. Let ’em.”

Instead, as months have passed, industry groups and consultants have complained that many cannabis entrepreneurs are stuck paying steep prices for multiyear leases, after landlords hiked prices on eligible storefronts. 

“You had a lot of people who followed the city’s guidance and signed leases,” paying upwards of $10,000 a month in rent, said Larry Mondragon, vice president of zoning and entitlements for Craig Fry & Associates, a consulting firm helping cannabis businesses. “People are holding onto leases, paying exorbitant checks, not even knowing when they’re able to turn in applications to the city.”

Equity applicants are supposed to get a helping hand from the city through “business, licensing and compliance assistance.” But more than a year after recreational cannabis sales became legal, there are no city programs providing such aid.

So far, the only funding the city has approved for social equity is $250,000 for a fee deferral program. Department officials say they now are seeking more than $4 million for the program, hoping to roll out support services, such as business development training, no sooner than July.

Los Angeles needs to step up. California needs to step up. There are a lot of problems in the state with little to no solutions. Something needs to be done at the city level to change that. How, and even if that will be done, is still unknown.