Cannabis became legal for adult-use in California in 2016, and licensing for adult-use began in January 2018. Nearly a decade after adult-use marijuana became legal in California, two cannabis owners expressed that, between the taxes and competition, the cannabis businesses aren't the same. Last month, the Humboldt County Board of Supervisors reduced the rate of a cannabis excise tax to zero on Oct. 28, ending a lengthy debate over the law's effect on struggling growers.
Julius Adams, one of the founders of the Cannabis store Proper Wellness Center, says businesses have been good, but with constant competition from new cannabis shops, a variety of taxes and regulations, it may be discouraging to new business owners.
"Every penny is regulated and so every penny is taxed, so it really scares off a lot of people from wanting to be a part of this, you know, when especially taxes are as high as they are," said Adams.
One of the Proper Wellness distributors is cannabis farm Sol Spirit, which operates as a small farm business. Owner Judi Nelson says she's steeped in competition with big distributors, and she has to work two jobs just to stay afloat.
Read more at ABC 7
