I don't know if it's all that easy and simple. They can't seem to get financing or much of any cooperation from banks, including being able to open business accounts for these types of businesses. Banks see them as too risky on many levels - especially since the Feds still see pot as illegal.
The short term investment could be good. Marijuana is very popular at the time and can be very lucrative. I cannot see it sustaining itself for the long term.
Totally agree. I don't think it's possible at this point. Maybe later in the future when there's less stigma attached to marijuana
I don't know if there will ever be less stigma about marijuana. If on one side it's pretty clear that it has obvious advantages speaking in medical terms, as a recreational drug it's nothing more than that, a drug.
I would say whenever recreational marijuana and medical marijuana become fully legalized in the United States, that is when you should make your move. It will have less of a negative connotation involved with it and it will be more lucrative all around.
That is the main issue. On the federal level, marijuana is still illegal no matter what, so the laws are definitely tricky and hard to manage whenever it comes to putting your money in the pot industry.
It's simple. I've worked in production greenhouse work and I've seen the same thing happen over and over. Everyone is going to start growing marijuana in belief that such a valuable crop will make them rich (as it becomes legal). Since weed grows like a weed. Production will skyrocket past demand. Big corporations will be able to grow a much more efficient crop and will be able to out produce the small guys while charging a fraction of the price. Most of the small operations are a joke and they invest way too much money to keep the business running until they finally go bankrupt.
I saw one of the growers in Colorado complaining on tv a couple of weeks ago about the sudden oversupply having him now on the verge of bankruptcy.
I would say that this is not the best stock to invest in. Due to the fact that it is still illegal amongst the feds, you could get yourself into trouble. Also, not all states have recreational marijuana legalized, which means that the business would be to hospitals and dispensers that only sell to patients.
