Take Caution When Investing In An Unstable Industry
There are industry projections that indicate the market for cannabinoid-based medicinal consumption will skyrocket beyond the $50 billion mark annually. Don’t dump your stocks just yet cowboy, this hear is the wild west of the moderns age, the Gold Rush era for marijuana. Research thoroughly before you go dumping your life savings into something so potentially risky!!. The reality is nobody’s money is safe until the Feds wake up and realize they can get a piece of this monster industry. Between the marijuana and the CBD oil industry there is more opportunity than ever before!
Let’s just assume the Feds wake up and start legalizing this stuff so they can get their “other hand” in on the drug trade. Is it really possible that this industry could exceed the 50 billion mark annually? I would say so, think about how much money the alcohol industry rakes in every year on the drinkers of America. Cannabinoids on the other hand aren’t strictly for recreational tom-foolery, no sir! Marijuana has medicinal value as well. There have been studies that found cannabinoids could have potential treatment benefits for disease including cancer, chronic pain, epilepsy, glaucoma, anxiety, panic attacks, sciatica, arthritis, and more. However, most of these ailments can be treated with CBD Oils that are legal in all states and backed by the Federal Government.
There Is Excitement in The Air
The good folks pushing the Cannabis industry forward are more than ecstatic about the potential of this gem being legalized through the federal government. They are vocal, and they are finding amazing success. So what does success bring? It brings investors out the wood-work!!
The growing excitment is bringing in a drove of new investors ready to dump money on the table like dump trucks. Again though, these guys need to remain cautious about the possibility that the Federal government could swoop in at anytime and grab a piece of that pie like a bully. When we talk about a bullish market, we don’t mean bullies, we mean it like wall street means it.
Take Colorado for example, they were quick to legalize marijuana and lead the charge for recreational use here in the United States. Weed stocks got hot like torched bong bowls. I believe they called it the Colorado contact high. When other states followed and stocks blew through the roof like they did in Colorado. There are dispensaries in Colorado that have seen profits that parallel that of a fortune 500 company. There is a Colorado dispensary that we contacted to confirm this statistic, and while they were unable to confirm that those numbers were accurate, neither of could deny the possibility that some dispensary in Colorado has achieved that level of success.
There is no denying that there are some promising projections for the marijuana industry, however as a conservative investor I a m hesitant to invest much into the business. Most of these cannabis companies are too small, which increases the risk as they have little to no financial backing. Until they attract enterprise-sized investors we can assume that serious investors won’t be dumping millions into these pint sized companies.
The Federal Tax Issue Businesses Face
There are hurdles that the guys running these business are facing. The weed business is going to have a challenge when it comes to Federal taxes. We still don’t know how that will play out, however we do know the Feds will be there to stick there bloody fingers into the tip jar and take what they so valiantly defy. This could be a potential issue that investors are clueless too. Who knows how the feds are gonna tax this stuff.
I’m not saying don’t invest, I’m just saying be cautious and read the fine print before dumping a ton of capital into something that is currently so unstable even Warren Buffet couldn’t predict the outcome. There are safer alternatives if you want to get your feet wet in the business without diving all in your first time around. There are companies like https://cbdoilsvape.com/ that sell cannabinoid oils that are legal in all states and even the Feds are in on it. CBD Oils lack the compound that causes people to get high, yet still provides some of the medical benefits that legal marijuana does without being illegal.
Come back soon for more on the recreational and medical marijuana industry as it applies to investors and young entrepreneurs.