A new study blows any assumption that the U.S. cannabis industry as an easy business to make a profit — with 37% reporting they’re operating without one.
The survey was of 396 U.S. cannabis operators by the National Cannabis Industry Association.
Conditions were among the worst in the Golden State. Only 26% of the survey respondents said their businesses are profitable. Over half said they’re not; while 17%, like North Bay grower Mike Benziger of Glentucky Farms in Glen Ellen in Sonoma County, feeling like their businesses are breaking even. Twenty percent across the nation identify with that group.
“I think we’re in the business where it’s the toughest and the profit is the hardest to get,” he told the Business Journal. “When we became an industry driven on price rather than quality, that’s when it became tough.”
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