Winter has come, and the cold brought tighter capital markets, lower cash flow, and long cold months to follow. When looking at both the cannabis and hemp industries, the average price per pound continues to be stagnant across the country, and minor cannabinoid prices continue to drop across the board. Both trends signal an oversupply which has led to a challenging business environment. Over the last few months, several of our highly skilled and dear friends have chosen to leave the industry due to job volatility. Companies need to last more than a couple of years due to the startup nature of each organization, the challenging regulatory environment, and poorly run business operations. Over the next 18 months, we will see the most significant industry consolidation in the post-prohibition era of cannabis. The companies that are left standing will have generational wealth opportunities.
Kellen Finney, Eighth Revolution
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