Looking at the upcoming year, are you still optimistic about the cannabis industry?
George Sadler | Co-founder and CEO | Gelato Canna Co.
“I am optimistic. It is a new industry and with that comes change and volatility. The outside money that poured into the industry was part of the rapid change. Now it’s the illicit market and government bureaucracy that have become major issues the legal market has to tackle but I think there will be an eventual positive outcome. We just need to have patience.”
Elmar Mair | CEO | Neatleaf
“Most definitely! There really is upside as cultivators are still learning so much about the plant and are open to new technologies. We are talking about a $35 billion market in the U.S. alone, growing year over year. Yes, there are pain points like banking barriers for example, but opportunities abound if you can find them and take advantage of them.”
Harrison Bard | Co-founder and CEO | Custom Cones USA
“Absolutely! Brands that were never making money will continue to fail, but those that have set up sound businesses with high-quality products will thrive. New markets like New York, New Jersey and Ohio will continue to drive growth, while some of the largest states in the country, like Florida and Texas, wait for full recreational legalization.”
Tyler Rauert | Senior counsel | Fortis Law Partners
“Yes. It looks like the industry is stabilizing through a business cycle, which is typical in most industries. Looking to 2024, I anticipate cannabis rescheduling, which will be an important step toward destigmatizing the plant further and hopefully working toward federal legalization.”
Andrew Kaye | Chief commercial officer | Sweet Leaf Madison Capital
“The news surrounding potential rescheduling is a huge reason to be optimistic in 2023. This is a biggie and can be accomplished by administrative rather than legislative action, which makes it more likely to occur. The U.S. Department of Health and Human Services has already recommended a lower schedule and the DEA is likely to concur. This will vastly improve the profits of cannabis companies which will be able to deduct selling and general and administrative expenses like every other company in the United States. The public equity markets will love it and existing and emerging cannabis operators will show much better financial results.”
Kevin Hart | Founder and CEO | Green Check
“Of course, I am. Anyone truly paying attention would be. As the chart rises, every emerging industry goes through small ebbs and flows. Good operators and businesses that serve them are still thriving. New states are going legal. SAFER and rescheduling are still very much in the mix in Washington, D.C. 2024 will be a year we look back on as a watershed moment for this industry recovering from its first real bout of adversity.”
John Yang | Co-founder and CEO | Treez
“Looking ahead to the upcoming year, our optimism for the cannabis industry remains steadfast. Anticipating potential rescheduling and the emergence of new states entering the market, we recognize that the industry as a whole confronts formidable challenges. Nevertheless, we remain hopeful about the prospects for growth and positive developments on multiple fronts.”
Arthur de Cordova | Co-founder and CEO | Ziel
“The U.S. market is stabilizing after necessary consolidation in late 2022 and early 2023. This has left only the strongest businesses standing, creating a strong foundation for 2024 and optimism that it will be a great year for the cannabis market.”
Pete Gallagher | Co-founder and CEO | Insa
“We are very optimistic about the cannabis industry in 2024. There are a number of positive catalysts on the horizon including cannabis rescheduling, legalization of adult-use cannabis in Florida and the start of adult-use cannabis sales in Ohio.”
Howard Schacter | Chief communications officer | MariMed, Inc.
“The industry has faced serious macro and micro challenges the last few years, but we can’t forget that we’re still in the early innings and the best years are still ahead of us. We’re not counting our chickens yet, but we’re cautiously optimistic that 2024 will finally see a decision about rescheduling. Most important, we’re seeing incredible momentum behind the mainstreaming of cannabis, with more states adopting legalization and polls showing stronger numbers than ever before that U.S. adults want legalization.”
Marlon Coburn | CEO | THC Design
“I remain optimistic about the cannabis industry’s prospects. Despite regulatory challenges, the market shows promising growth potential, driven by increasing legalization, product innovation and public acceptance.”
Nohtal Partansky | Founder and CEO | Sorting Robotics
“Definitely. The industry is still growing and now we finally have an actual path toward federal reform, whether it is via descheduling or regulation changes. The moment either one of those happens, the cannabis industry will rush into another boom cycle.”
Mario Naric | Founder and CEO | Motif Labs
“I am very optimistic about the cannabis industry in the coming year for many reasons, but two stand out:
1: Smaller private companies that didn’t have an opportunity to benefit from the sky-high valuations and endless capital of recent years were forced to build profitable businesses from Day 1. These small, private companies are no longer that small and are taking real market share from legacy licensed producers. This will continue in 2024, and that economy of scale will make them even more competitive.
2: Innovation is at an all-time high while consumer prices are at an all-time low, which benefits the compliant marketplace. Even while low, current retail prices are sustainable for smart operators and enticing for legacy consumers. Legal products are, in many cases, now much better than legacy products and not terrifically more expensive. We have the selection and the price to continue to take big chunks of share away from illicit market operators.”
Jeremy Zachary | CEO | Zen Cannabis
“Very much so. I think 2024 will be the Great Extinction event, leaving in its ashes businesses that are healthy and sustainable. There are so many companies scrambling for cash flow that continue to lower prices to survive, which only perpetuates their downward spiral. Additionally, I think we’re seeing the beginning of “legal cannabis” being born out of the hemp sector. Given the 2018 hemp laws that allow 0.3% THC by volume, this essentially creates a pocket for legal cannabis throughout the United States. For example, in California we’re maxed out at 10 milligrams THC per serving; however, in the hemp space, our same 6-gram gummy can contain up to 18 milligrams THC per serving. The path of resistance is much lower in the hemp market and its flexibility to ship domestically gives it a boost the traditional licensed cannabis market has yet to enjoy.”
Jaclyn Moore | Co-founder and CEO | Big Island Grown
“We are very optimistic that the federal government has finally officially recognized cannabis as legitimate medicine. I am hopefully optimistic that the state of Hawaii will acknowledge the action of the federal government and make the necessary changes to allow access to plant medicine for all adults.”
Jerry P. Griffin | VP | Baymedica
“If by ‘cannabis industry’ we are talking about the regulated industry that exists within the 38 states (and Washington, D.C.), I remain optimistic contingent on a few things happening. The first being that the cannabis industry chooses to embrace the rest of the cannabis sector which includes adult-use hemp, hemp health and wellness, industrial hemp, pharma and biotech. Regulated cannabis needs to choose to participate in these new and emerging opportunities rather than fighting them. The second thing that needs to happen is a focus on product development that folds in a larger portion of the addressable market with products. We’re already seeing some of the smartest brands in the industry get on board with precisely dosed products, leveraging rare and minor cannabinoids, that target specific need states. A majority of current products, like flower, provide inconsistent experiences that most can’t tolerate in their overscheduled lives. They need products where they get the exact experience or relief they’re looking for every time. Not to mention, these products are easy to replicate from market to market which is key in terms of brand building. Lastly, the industry needs to be more inclusive. I hear far too much belittling banter that keeps potentially new customers from engaging and keeps talented workers out just because they don’t consume enough or they didn’t start their cannabis careers in the legacy market.”
Jack Grover | Founder and CEO | Grove Bags
“As an entrepreneur in the cannabis industry, my enthusiasm for the upcoming year is bolstered by the anticipated developments in safe banking and further talk about some sort of federal legalization. These advancements present a transformative landscape for the industry. Most notably, I believe safe banking advancements are a game changer as it promises to resolve many financial challenges such as access to traditional banking services, loans, investment and fundraising opportunities. To build a brick-and-mortar retail business without traditional banking products is insane. Market growth and stability, I believe, is also tangible now even with regulatory changes on the distant horizon. This will continue to inevitably draw more investment and entrepreneurs. Lastly, global market opportunities as we continue to march forward albeit unevenly, but nevertheless forward, in our global plant-based medicine revolution. These developments offer the potential for increased growth, innovation and stability, reinforcing my optimism for the industry in the upcoming year.”
Alex Boone | Managing director | Botani
“I am. It has been a challenging year but ultimately, those challenges will make the industry stronger as a result. Every emerging industry must overcome bumps in the road, and cannabis is no different. If our orders from Q4 are any indication of what’s ahead for 2024, we are optimistic.”
Ali Garawi | CEO | Muha Meds
“Yes we’re optimistic, holding our ground and pushing through the blood bath has been key. A lot of the bad players causing all types of unsustainable market realities due to their lack of ethics are being weeded out; the operators who can’t pay their bills and bounce from one vendor to the other are also being weeded out. We’re headed toward a more stable industry in the upcoming year for the operators that have managed to maintain their position.”
Katie Enright | Founder | Lavinia
“Oh, without a doubt! The cannabis industry is our playground, and at my company, we’re excited for what’s in store. With an increasing number of states embracing legalization and joining the party, we’re witnessing a landscape ripe for growth and innovation.”
Kenny Morrison | Founder | CQ
“My optimism stems from the fact that the definition of ‘cannabis industry’ continues to be challenged and evolve. The industry is no longer defined by just the regulated dispensary channel, with all of its drawbacks and overregulation that thwart the true normalization we wish to see for cannabis. You can’t normalize cannabis with an abnormal set of rules and tax rates that inadvertently support and prop up illicit operators more than the licensed ones. The hemp experiment, while far from perfect, has made progress on many fronts while jaded and pessimistic MJ operators have accepted an untenable or uninspired regulatory regime. The hemp channel now leads the way on challenging the status quo.”
Tyler Williams | CEO | ASI Food Safety
“We audited and certified a record number of cannabis companies this past year, so I’m feeling hopeful that we’ll see fewer cannabis products recalled in 2024 as a result. This is a huge step in the right direction, even though this was mostly driven by updated regulations mandating third-party audits. With every product recall, we sacrifice consumer trust, so if this year is completely recall-free, I’m hopeful that it will lead to an incredibly profitable year for cannabis license holders.”