One of the important things to consider when looking into owning a business is the future viability and longevity of your product and the prospectus of your particular market. To put it simply, the data being collected in the experiment of legalizing recreational Marijuana is the foundation for determining whether or not Dispensary Ownership would be a sound investment.
The good news is that positive signs are popping up everywhere. Proving that GREEN is literally the new GOLD, just recently The New Yorker published an article on Canadian mining companies diversifying their investments into medical Marijuana. This trend is largely because the smaller companies cannot compete with the less stringent environmental regulations on companies in China. “The Papuan Precious Metals Corp.’s stock price rose from two cents to fourteen cents after it announced plans to consider agricultural projects and then hired a marijuana consultant. This month, Papuan agreed to acquire the assets of a pot dispensary in Colorado, where marijuana is now legal for anyone who is twenty-one or older. Other junior companies are experimenting with growing mediums and fertilizers, or looking to provide equipment to growers. ‘The reason you’re seeing the junior mining companies going to medical marijuana is because there is no money in mining,’ Greg Downey, the C.F.O. of Papuan, said. ‘We look to where the money is going.’”
A similar article in The Huffington Post cites that this growth is occuring so rapidly, some are concerned with the development of an investment bubble, although it is more likely this is a trend that is here to stay. “Interest in the budding industry has been heating up since April 1, when Health Canada turned the sale of medical marijuana over to a handful of commercial producers. The industry is expected to be worth some $1.3 billion over the next decade. There are more than 600 applicants waiting in the wings to become licensed producers, but the government recently released an analysis of the industry using an estimate of 50 companies over the next decade, which could be an indication that it plans to cap the number of licences it plans to hand out.”
Another sign that cultural trends are going to continue to prove an investment in the Marijuana industry is a wise maneuver, and one that has gotten the most publicity lately, is the data showing crime has gone down since the start of legal sales of recreational Marijuana in Colorado.
One of the most basic things to understand about statistics is that it is very difficult to prove a relationship between variables. Meaning, just because the data shows that crime has gone down since marijuana sales have been legalized for recreational use, doesn’t mean we can prove that the reduced crime is BECAUSE of the legalization of recreational marijuana. Nonetheless, the numbers themselves are factual, and at the very least it doesn’t provide evidence to the nay-sayers of legalization who try to perpetuate the brainwashing concept that somehow you could conclude that legalization of Marijuana would lead to an increase in crime rates.
These trends are very encouraging of those looking into becoming Dispensary Owners and Business professionals in the Marijuana industry. Also undeniable are the tax dollars that have been generated and the direct improvement in funding for schools that all current and future Marijuana Dispensary Owners can be proud of.
Marijuana revenue is trending up
The state sold nearly $19 million worth of recreational pot in March, up from $14 million in January and February. For all three months, Denver County made up about half that revenue.
Violent and property crimes are down in Denver
The Denver Police Department’s crime data shows that violent crime from January through April dropped by 5.6 percent compared to the same time period last year, and robberies in particular fell by 4.8 percent.
The Young Turks give a nice 5 minute run down of the data and what it means.
“Three months into Colorado’s historic legal recreational marijuana sales, crime hasn’t gone up in Denver, according to recent data released by the city.
Overall property crime in the first two months of 2014 fell by 14.6 percent in Denver compared to the same period of 2013. There wasn’t as dramatic of a shift in overall violent crime rates for the same period, but they were still down by 2.4 percent.
The data stands in contrast to statements made in 2012, before Amendment 64 passed legalizing marijuana for recreational sale and use, when members of the law enforcement community warned of dire and “harmful” consequences because of legalization.”* Desi Doyen (Green News Report), John Iadarola (TYT University), Dave Rubin (The Rubin Report) and Michael Shure break it down.”
*Read more here from Matt Ferner – The Huffington Post
I heard on the news that Oregon and Alaska are the next state to legalize Marijuana. I don’t use or smoke but I’m interested to know or have information to do a business legally. Any information is I get is highly appreciated. Thank you south.