The cannabis industry is tough, competitive, and unpredictable, but you don’t have to navigate it alone. The sooner you take proactive legal steps, the stronger and more resilient your business will be. Before spending tens to hundreds of thousands of dollars in legal fees, it’s critical cannabis accounting to assess your likelihood of success and, more importantly, your likelihood of actually collecting if you win.
Frequently Asked Questions About This Report
- Think of it as building the engine that will power your financial operations for years to come.
- BGM CPA, LLC is a licensed independent CPA firm that provides attest services to its clients, and BGM Group, LLC and its subsidiary entities provide advisory, and business consulting services to their clients.
- The U.S. cannabis retail sales are expected to grow from $28.8 billion in 2023 to $87 billion by 2035, according to the published analysis.
- “This report should pave the way for conversations with financial institutions to develop more informed lending partnerships with the cannabis industry,” Dotan Y. Melech, CEO and co-founder of CTrust, said.
- But financial institutions have to be willing to enter that market to get their piece of that pie.
- The majority of Republicans say Zelensky was at fault for the spat, but one accused the president of “embracing Putin”.
The cannabis industry is more litigious than ever, but legal disputes don’t have to be inevitable. With the right legal strategies, risk management, and proactive planning, you can significantly reduce your exposure to costly litigation and protect your business from unnecessary legal battles. Many cannabis companies, especially in their early stages, fail to retain experienced business lawyers. This results in contracts that are vague, incomplete, unenforceable, or heavily one-sided. When disputes inevitably arise, these contracts offer no clear guidance, leaving both parties to fight it out in court.
- For Cannabis businesses already operating on thin margins due to 280E restrictions, these penalties can mean the difference between survival and closure.
- Let’s take a look at some of the numbers reported by prominent cannabis companies like Cronos Group (CRON), Tilray (TLRY), Aurora Cannabis (ACB), and Canopy Growth (CGC) to see if there’s a clear winner.
- Based on source, the marijuana segment led the market with the largest revenue share of 86.91% in 2023 and is anticipated to register at the fastest CAGR of 13.1% over the forecast period.
- Rather, these non-GAAP measures are provided as a supplement to corresponding U.S.
Federal Cannabis Legalization and Regulatory Landscape
- In 2024, cannabis consumption declined among 12th graders, with 25.8% reporting cannabis use in the past 12 months.
- Work with an experienced cannabis business lawyer to draft clear, comprehensive, and enforceable contracts.
- Marijuana flower, or “bud,” is a widely popular consumable product in the world market.
- Whitney revealed at last week’s Benzinga Cannabis Capital Conference in Chicago that total retail sales for the cannabis industry are expected to reach approximately $32 billion in 2024, with the potential to double within the next few years.
- Although the Senate Banking Committee, recently called to end debanking practices against cannabis businesses, which would allow them to work with traditional banks, experts believe the current Senate is unlikely to pass any significant cannabis reform.
- Year-over-year, these young adults’ percentage share of total cannabis sales has grown by 11.3%.
Cronos also obtained majority control of the board of directors of Cronos GrowCo and began consolidating Cronos GrowCo’s results from July 1, 2024. Prior to this date, the Company’s investment in Cronos GrowCo consisted of an investment accounted for under the equity method and loans receivable from Cronos GrowCo.
REPORT COVERAGE
Although the Senate Banking Committee, recently called to end debanking practices against cannabis businesses, which would allow them to work with traditional banks, experts believe the current Senate is unlikely to pass any significant cannabis reform. Flowhub is the leading cannabis software company providing compliance, point of sale (POS), payments, inventory management, analytics, and Accounting For Architects easy integrations. The approval of cannabis drugs for treating various conditions is driving the growth.
The PEACE NATURALS® brand launched new strains including GG4, Key Limez Punch, Pink Sherb, Tangie Kush, Citra Diesel, Tahoe OG Kush and GMO Lite, providing consumers with additional variety and choice. In Q4 2024, PEACE NATURALS® was the number one flower brand in Israel with 24% market share and PEACE NATURALS® cannabis oils are the fourth most popular brand in Israel with 9% market share. In 2024 our proprietary genetics breeding program continued to provide our portfolio with winning cultivars that allow us to launch differentiated products across markets and maintain a number one position in the flower category. In 2024, we introduced Spinach Grindz™, a milled flower offering utilizing our Citrus Crush and Cookie Dough strains, designed for convenient use in joints or vaporizers. In Q4 2024, the Spinach® brand maintained its position as the number one flower brand in Canada, with 5.7% market share.
However, the European nation made significant progress in June 2024 when voters overwhelmingly approved a pair of ballots that allow Slovenian adults to grow cannabis plants at home. Germans over 18 can legally cultivate up to 3 personal plants for private consumption. The BDSA report also shows planning for purchases differs based on how much consumers spend. Shoppers in the top 25th percentile of per-visit-spending do more online research before replenishing (42% report checking dispensary menus). The contractions of the cannabis industry created a realignment in the sector following the industry’s early explosive success. According normal balance to projections from Statista, total revenue from cannabis is expected to reach $45.3 billion in 2025.
