A Look at the Growing Cannabis Industry in California
There is more cannabis sold in California that any other state. This is true even when comparing California’s medical marijuana industry with Colorado’s recreational marijuana industry. While voters in California did legalize recreational use marijuana through the passage of Proposition 64 in November 2016, it will not be legal to sell to recreational users until January 2018.
This means that for the time being, medical marijuana dispensaries are the only legal way to buy marijuana in the state. However, as discussed in a recent news article from The Daily Chronic, medical marijuana shops will largely become recreational marijuana shops, and this is why there are many more dispensaries opening up throughout the state in anticipation of the increasing market for cannabis products. This includes flowers, high-end concentrates like shatter and wax, edibles and tinctures, and even skin creams and bath beads. Much of this is because of the changing public perception and acceptance of marijuana in the past few decades. While we have seen that the majority of state residents now support legalizing marijuana, as they already did, it was not just voters that have begun to see marijuana differently. For the first time in history, New York Stock Exchange (NYSE) has approved a cannabis company to have its shares actively traded on the public market.
There is also a move to the online marketplace for marijuana. As marijuana is becoming legalized for recreational use in more states, companies are turning to an online merchant program, as well as on-demand delivery apps for smart phones. There will surely be more improvements to the delivery of marijuana, as the cannabis business has passed $5 billion in annual sales.
However, as the article mentions, there is some fear that the current presidential administration and the justice department will make things difficult once again for those in the industry, but that is a chance many seem willing to take, as there are billions of dollars at stake. There are also a lot of American jobs created, so that is an argument those in the industry are making as to why the federal government should not do a marijuana crackdown, as suggested by the president and the attorney general.
One thing you can do to minimize the risk of things going wrong is to speak with an experienced marijuana business attorney in Riverside, so you can make sure you are doing everything you can to stay out of trouble. While some are hesitant to spend any money on legal counsel with a new business, it is often much cheaper in the long run to make sure things are done right from the beginning instead of getting in trouble and then having to do anything possible to get out of trouble. There is also the chance of federal criminal charges if the attorney general does order the U.S. Drug Enforcement Administration (DEA) to start conducting raids again. This is certainly something you want to avoid. There are also many complications with respect to federal banking regulations, and you want to make sure your business is in full compliance, so you are not risking your assets being seized and your accounts being frozen.
The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 949-375-4734.
Dispensaries and the New Legal Niches of Marijuana in California, May 12, 2017, By William Smith, The Daily Chronic
More Blog Entries:
Marijuana Sobriety Tests Still Elusive, Feb. 28, 2017, Marijuana Attorney Blog