In 1996, California was the first state to legalize medical marijuana in the United States. Today, more than half of the rest of the states have followed suit.
But, marijuana still remains illegal on a federal scale making many people wary of investing. Fortunately, after twenty-five years of state-wide legal cannabis laws, many people feel like it’s finally time for them to inject their cash into this burgeoning industry.
If you’re ready to join the revolution and become a cannabis investor yourself, you’re in good company. Read on to learn how to cash in on the green rush.
1. Join a Cannabis Investor Society
Joining a society like the National Institute for Cannabis Investors is a great way to meet other people that share your enthusiasm for the cannabis industry. You can use your connections with the society to find out about emerging opportunities for investments long before they hit the market.
You’ll also be able to ask your new friends for advice on your investments. With the right circle, you will have a heads up and be able to make wiser decisions regarding the businesses that you choose to invest in.
2. Invest in Packaging and Materials Companies
When you invest in a cannabis company, your money could be potentially seized by the federal government.
Investing in the plant itself isn’t the only way to make money off cannabis. You can also invest in the packaging and materials companies that supply the brands. That way, even if the federal government were to crack down on cannabis, you would still be able to maintain your investment.
3. Buy Cannabis Stocks
Cannabis stocks are the most simple way to get started with an investment. All you have to do is go online and conduct some research to find out about what new stocks are coming on the market and how existing stocks are performing.
There is not a huge difference in investing in cannabis vs. investing in stock shares of any other company. Just make sure that you choose a company that you are confident in and who chooses to do business in as legal a way as possible.
4. Invest in a Dispensary
A dispensary is a business that sells marijuana in a local community. You can purchase partial ownership of a dispensary by investing in one that is already open or going through the permit process to open your own dispensary.
Before you make that decision, consider how much information you have about the cannabis growing and selling process and decide how much energy you want to dedicate to your craft.
In order to get a permit to sell marijuana, you will have to pay a lot of money and jump through a lot of hoops. You have to be dedicated to your end goal in order to make it out the other side of the process.
5. Invest in a Growery
Another way to invest your money in cannabis is by growing or purchasing part of a growery. If you want to have control over the quality of the products you sell and you are a cannabis connoisseur, this may be the business for you.
To get started, you should review the laws in your state and find out what it takes to get a license. You may be able to get a permit to have a couple of small plants in your house before you’re ready to move to a full-scale operation where you’re profitable.
6. Read Into Drugmakers Using Cannabis
Many drug companies are investing in the creation of medications that use parts of the cannabis plant. You can do research to find out about the most promising studies and then invest in those companies if you want to profit off of the drug.
Just make sure that you choose a pharmaceutical company that shares your values. You don’t want to help prop up a business that doesn’t treat its customers fairly.
7. Don’t Forget About Real Estate
If you choose the right slot game and have a bunch of money to invest, why not consider real estate? There are lots of plots of land available right now that would be great for growing marijuana. Why not buy some land in one of the most promising areas to legalize soon and hold onto it for a while?
Over time, your land will grow in value if the state chooses to pass or expand its cannabis legalization laws.
8. Invest in a Marijuana Breathalyzer Company
There are several companies that are competing to come up with a reasonable and affordable way to breathalyze someone for marijuana. That way, in states where cannabis is legal, they can set a standard for legal intoxication.
If you want to be ahead of the curve, then invest in one of these breathalyzer companies on the cusp of making a great discovery.
9. Invest in ETFs
An ETF is an exchange-traded fund. That means it’s a basket of investments that are bundled together for trading. There are many ETFs available that have cannabis-related stocks.
An ETF gives you an easy way to diversify your stock portfolio which is an essential part of any good investment strategy.
More Advice and News
Now that you know how to become a great cannabis investor, you’re ready to start making your first purchases.
Start by investing in a few stocks and diversify your portfolio by putting your money in lots of different industries like pharmaceutical companies, fertilizer companies, real estate, dispensaries, and groweries.
For more helpful advice and the latest scoop, check out our other posts today.