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In the current economy, financial incentives alone are sufficiently enticing to make many people consider a career change. Though the initial cost of indoor lamps, wiring, fertilizer, soil and fans can add up, start-up costs pale in comparison with most small businesses. Depending on the size of the operation, growers can spend several hundred to several thousand dollars to create suitable conditions for healthy plants. Once operational, however, it costs as little as a couple hundred dollars per pound of premium product.
Do the math, and you'll see how fast the investment can pay for itself. Imagine that a single plant yields one to two pounds of dry buds, and each pound can be split into 16 ounces or 128 eighths. A pound sells for $1,500 to $3,500, and an eighth goes for $20 to $50, depending on the area, origin and quality. (Sellers net more money for "kind bud" or "chronic," slang for higher quality marijuana.) A single plant can be worth thousands of dollars. There are few enterprises that promise such a high profit margin for so little work. That’s not to say there isn’t an art and science to growing high quality, healthy plants. But, all things considered, entry points into the field may be easier than into many others. For the unemployed or underemployed, one can send out only so many unanswered resumes before the notion of becoming a “potrepreneur” begins to look attractive. Even to the highly employable and skilled, getting in on the new boom is an alluring prospect. Somedude (who preferred to remain anonymous) is one such businessman who saw the writing on the market wall. Somedude is a tech engineer and consultant, massage therapy student, husband and father. He is also a student who is about half-way through the 13-week horticulture course at Oaksterdam University. “Until last August it [cannabis] really wasn’t a big part of my life,” Somedude said. He began to trade massages for marijuana, then started to see the changing landscape of the cannabis industry. “It’s cool to understand how to do this legally." His last assignment at Oaksterdam? Design a cannabis grow room. The knowledge and skills he gained in Oakland have given him, and many others, hands-on experience. Somedude is already exploring his business options. Immediately after the horticulture course, he said he intends to enroll in the follow-up course, which focuses on the business-side of the cannabis industry. “The economy is not turning around fast enough, so I'm looking at a path to a state-legit medical canna-biz opportunity," he said. "I'm complying with the state attorney general's--soon to be governor's--guidelines.” In addition to economics, more personal factors motivated Somedude to enroll at Oaksterdam. A close family member who has multiple sclerosis uses a combination of massage, creams and medical cannabis to treat symptoms. (Recent medical research has confirmed the medical value of cannabis for multiple sclerosis patients, finding it likely to help protect from further nerve damage.) Somedude also referenced a neighbor--“a soccer mom with two kids”--who has struggled with two bouts of cancer, and only recently came to see medical marijuana as possible therapy. “There’s a certain amount of trust-building needed in order to see cannabis as a different way of therapy,” Somedude said, adding that he believes many others could benefit in the same way. “I was seeing how much cannabis helps relieve pain when coupled with massage and other healing modalities. I’m wishing to learn new, healthy ways to help others in pain.” Somedude is already setting things up for his business, cultivating plants, drawing up business plans, talking with lawyers and learning as much as he can about the changing landscape. He has considered running his business as a “scheduled delivery system,” where he would drop off medical cannabis weekly at his clients' homes. He has also considered the possibility of a dispensary collective. But costs would be much higher than for an independent entrepreneur. In addition to the above costs, business owners must add on employee insurance and payroll taxes, property insurance (more below), security, retail space and advertising, among other expenses. For Somedude, location may decide what type of business model he adopts. He said that where he lives, in Silicon Valley, is one of the more restrictive regions. “For example, you can’t have edibles," he said. "Everyone’s in jail or been chased out.” Somedude spoke glowingly of Oaksterdam University and the people he has met in the program. He said he has seen underground gangs trying to go legit, grandfathers and grandmas going into business, and many others with smaller ambitions who want to find new skills to pay rent. “The networking there has been worth it by itself,” said Somedude. “Everybody is dedicated and passionate, not just a bunch of college stoner flakes. Oaksterdam is a whole industry unto itself.” http://www.420magazine.com/forums/in...alks-life.html |
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