Episode 14: Challenges and Opportunity in the Emerging Cannabis Industry

The emerging cannabis industry is ripe with opportunity. With much excitement, companies must learn the many intricacies involved in operating a “cannabusiness”. Phyllis Vena (CFA) and MBA graduate of Tuck School of Business at Dartmouth, is an analyst with Privateer Holdings, a private equity firm that strategically invests in the legal medical cannabis field. Phyllis and I sat down to discuss the many challenges, and opportunities ahead in the growing industry.
Phyllis explains the differences that the cannabis industry sees from West Coast to East Coast, and the challenges that a fragmented market creates. For many fans of the crop, profitability seems inevitable. However, Phyllis describes how a tax law, 280e causes stress and difficulties in turning a profit.
In all, the industry shares many of the same challenges that well established industries face with added nuances. Listen to the full episode now to learn more about the industry and where Phyllis sees opportunity.
Companies Privateer Holdings Owns
Tilray: a leading provider of medical cannabis in Canada
Marley Natural: is a cannabis brand based on the life and legacy of Bob Marley
Leafly: Cannabis review website, the “Yelp” for dispensaries
Vertical Integration
Consumer Packaged Good (CPG)
280e: Tax law that only allows businesses to write off Cost of Goods Sold (COGS). And unable to write off other expenses like rent, insurance, wages.

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