The recent changes in cannabis laws and the legalization of cannabis in several regions of the world has created opportunities for entrepreneurs to dive into the cannabis industry. Since there are potentially significant profits, people are looking to launch businesses in the industry. Nevertheless, there is more to cannabis entrepreneurship beyond making some cash! With the potential to positively impact communities, cannabis entrepreneurship offers a great opportunity for people seeking to start a business that benefits the community.
While Asia has been the hub of cannabis civilization for several years there the continent seems to be backwards in terms of cannabis legalization. At the time of writing this article cannabis is only legal in Israel and Thailand. The remaining countries are yet to follow up on the trend. Hopefully this should change soon as more evidence on the medical use of cannabis keeps surfacing.
Note that Asia holds a good potential for the cannabis industry. Market research shows that the medical cannabis market in the Asia Pacific is valued at 3.75 billion and is expected to hit 11.49 billion by 2027. This is huge for cannabis enthusiasts and people who wish to join the cannabis industry in Asia.
Cannabis entrepreneurship can be very lucrative if you identify the right market and products. In this article we will give an a general overview of cannabis and entrepreneurship and how this can be harnessed for better profits.
The potential for cannabis to transform industries
Cannabis is embedded with the potential to transform many industries, such as healthcare, textiles, and agriculture. For instance, hemp, which is a variety of the cannabis plant, is used in the manufacturing of papers, textiles, and materials. Also, there is a well-documented medicinal property of cannabis, with studies proving that it can be helpful with conditions including epilepsy, anxiety, and chronic pain.
Starting a cannabis business that benefits your community
To start a cannabis business that will benefit your community, you need to:
1. Identify your community’s need
It is important to identify a need within your community. These needs include providing access to high-quality cannabis products and creating jobs in a space with high unemployment rates.
2. Understand the legal requirements
There are varying legal requirements for starting a cannabis business. In the Thailand, businesses must follow state and federal laws, making it needful to consult with legal professionals before starting the business.
3. Create a business plan
A good business plan is essential to the success of any cannabis business. Your business plan should include market research, financial projections, and a growth plan.
4. Build a team
A well-rounded team is crucial for navigating complex legal requirements, creating quality products, and effectively marketing the business.
5. Market your business
Though a vital aspect of any business, marketing can be challenging in the cannabis industry. Although traditional marketing channels such as Google AdWords have strict rules around cannabis-related content, other channels such as print ads, targeted digital marketing, and events can be effective.
Cannabis and Agriculture
The benefits of cannabis cultivation for farmers
Cannabis cultivation offers great opportunities for farmers to diversify their crops and increase their profits. Cannabis, unlike other crops, can grow year-round and needs less water; thus is an attractive plant for farmers in areas prone to drought.
The widespread cannabis cultivation has resulted in the development of specialized techniques for growing the plant. These techniques include optimizing soil composition and irrigation methods, high-tech automation tools, etc. The techniques, when applied, can increase yields and produce cannabis products with better quality.
Some of the possible use of cannabis in agriculture are listed below;
The use of cannabis in bioremediation
Cannabis has shown promise in bioremediation. Bioremediation is using plants to eliminate pollutants from water or soil. Cannabis’s ability to remove pollutants makes it a good option for cleaning contaminated sites like landfills.
Food supply
Cannabis seed is a superfood and has the potential of serving as food for humans and livestock. Research shows that cannabis was ranked as the third most important crop in the US based on USDA data in 2020.
Cannabis and Technology
With the increase in demand for high-quality cannabis products, there is enough room for innovation. Therefore, it is a great opportunity for companies focusing on developing technology to streamline and automate cannabis-related processes. Cannabis related technologies such as IoT monitoring devices, seed to sale compliant software, supply chain monitoring software and many more have been developed to help with cannabis cultivation, marketing, transportation and sales.
The use of technology in cannabis cultivation
Technology has played a crucial role in cannabis cultivation. While the use of advanced environmental control and lighting systems and automated irrigation systems can aid in optimizing the growth conditions for the cannabis plant, new technology is emerging to aid in detecting and preventing pests and diseases.
The development of cannabis-focused apps and software
As the cannabis industry is fast growing, so there is a need for specialized apps and software. While there is a high demand for apps that allows customers to analyze and track their cannabis use, there are opportunities for apps that can connect users with legal and quality cannabis products.
Cannabis and Retail
The emergence of cannabis dispensaries
Due to the legalization of cannabis in many countries and states, cannabis dispensaries have emerged as a legal and regulated medium for selling cannabis products. Cannabis dispensaries provide a safe and legal means for users to buy cannabis products such as cannabis edibles, flowers, and concentrates. This has ultimately created jobs and source of livelihood to several people. At the time of writing this article, there are over 4276 cannabis related shops, dispensaries and businesses in Thailand and this number is expected to increase as the country open its shores to international cannabis trades.
The need for specialized retail strategies
Due to the nature of the cannabis market, there is a need for cannabis dispensaries to have specialized retail strategies. Retail strategies must satisfy different customer segments like recreational users and novice and experienced cannabis connoisseurs while adhering to regulatory requirements.
The potential for cannabis to revitalize struggling communities
Cannabis legalization has the potential to revitalize struggling communities. The cannabis industry can create jobs and tax revenue for local governments.
Cannabis and Hospitality
The rise of cannabis tourism
Cannabis tourism originated from the fact that there are several cannabis strains/chemovars in the world and people can travel to try them out. Cannabis tourism has become a growing trend as more countries and states legalize marijuana for recreational use. During cannabis tourism, users can get to try out a favorite cannabis landrace in the country of its residence. For example, users can smoke Malawi Kush that is known for its high THCV content in Malawi.
The potential for cannabis-infused foods and beverages
Legalizing recreational cannabis has created a new market for cannabis-infused foods and beverages, as companies are exploring new methods of incorporating cannabis into their products. The global cannabis edibles market is estimated at $8.8 billion in 2022 and is expected to hit $43.6 billion with a CAGR of 22.1% in 2030.
The development of cannabis-focused hospitality businesses
Legalizing recreational cannabis has also led to the development of cannabis-focused hospitality businesses, including cannabis-friendly hotels and vacation rentals. They cater to cannabis users by providing vaporizer rentals and smoking lounges to allow users to consume cannabis in a safe and relaxing environment.
Cannabis and Healthcare
The potential for cannabis to replace traditional pharmaceuticals
There is an increasing interest in the potential of cannabis to replace traditional pharmaceuticals. For centuries, cannabis has been used to treat many medical conditions, and most people now prefer it to traditional pharmaceuticals because it is natural. It is pertinent to note that cannabis is not a one-size-fits-all remedy and may not suit everyone.
The development of new medical cannabis products
There is a growing demand for new medical cannabis products. For instance, the development of cannabis-based topicals, such as lotions and creams, can be used to treat localized pain or skin conditions.
The use of cannabis in alternative therapies
Cannabis is used in alternative therapies, including massage, yoga, and acupuncture. When incorporated into these therapies, cannabis enhances the therapeutic effects of the treatment and can help patients relax.
Conclusion
Cannabis legalization provides a range of opportunities, such as increased tax revenue for the government and the potential for new jobs, among others. Cannabis legalization opens up new opportunities; entrepreneurs who identify and capitalize on it can potentially create successful businesses.
Cannabis has the potential to benefit communities and transform industries such as manufacturing, agriculture, and healthcare by providing new treatments and products.