The Talking Hedge

40 Episodes

By: Josh Kincaid

Your cannabis business podcast covering cannabis products, business news, interviews, investments & events.

Cannabis' Top International Opportunities
Last Friday at 2:04 PM

It turns out there are some healthy, and growing, medical marijuana markets outside the United States and Canada—assuming you can look past the cannabis industry fan fiction.

What follows is a list of five of our top markets where revenue opportunities exist today.

Show Notes:
Top international cannabis opportunities

Josh Kincaid, Capital Markets Analyst & host of your cannabis business podcast.

Episode 739 of The Talking Hedge:

The Future of Cannabis Cafes
Last Thursday at 2:06 PM

Many marijuana businesses were just starting to open lounges and tasting rooms where their customers could enjoy the products they purchased when the coronavirus pandemic struck a year ago, forcing those plans to be put on hold.

Legal and regulatory issues also have presented hurdles in some states like Washington State where it's a class-c felony to "maintain or operate a marijuana lounge."

The future of such venues, as a result, is up in the air, raising questions about a business model that entrepreneurs hope to deploy to generate additional sales.

Show Notes:<...

Interview with Pelorus Equity Group's Rob Sechrist
Last Wednesday at 12:30 PM

The Pelorus Fund is an investment vehicle that makes real estate loans on commercial properties with cannabis-related business operators as tenants. The Fund, secured by 1st lien real estate loans, has a target yield of 15% with monthly distributions. All of The Pelorus Fund investments are conservatively underwritten and vigorously vetted.

*Top level on cannabis-use real estate bridge lending / associated difficulties/high costs
*What to know about acquisition and build-out of cannabis-use properties
*Private vs. FDIC insured banks and credit unions
*How Pelorus adds value and why borrowers choose to work with them<...

Peruvian Cannabis Pitch Deck Review
Last Tuesday at 12:47 PM

Show Notes:
Custom Cannabis Pitch Deck Package Includes:
15 slide pitch deck
Complete explanation of each slide
Created by legal and financial Subject Matter Experts in the cannabis industry.
Complete & customizable pitch deck
Hours of content explaining how to customize pitch deck for your team
3 hours of Josh Kincaid’s time
3 hours of Tom Howard’s time
Customized pitch deck for your Team in a few weeks.

Katrina Glogowski, Seattle Attorney & Angel Investor


Cannabis Tech: Utilizing Ai + ML for Higher Returns

Stay tuned for the 2nd half when we discuss the advantages of doing business in Puerto Rico! This U.S. territory is offering tax deals to American citizens that can’t be matched by any foreign country (legally). This makes Puerto Rico the only place in the world where U.S. citizens can avoid paying overburdening federal income taxes.

At C3 we recently launched a cryptocurrency fund with the following emulated results:
2019: 223.18%
2020: 421.66%
2021 YTD (as of 4/20): 426.34%

C3's annual 4-year average return tracking the S&P 500 has been 43% with at least seven-figures in as...

SPACs: Rosecliff Acquisition CEO Mike Murphy

*Rosecliff Acquisition CEO Mike Murphy joins us to discuss why chasing FOMO is a great way to lose money and what investors should be looking for in a SPAC.
*How the SEC has reacted to the saturated SPAC market.
*Lessons from other SPACs. Upcoming disruptive trends.

Show Notes:
Rosecliff Acquisition CEO Mike Murphy - There Is No SPAC Bubble

Josh Kincaid, Capital Markets Analyst & host of your cannabis business podcast.

Episode 734 of The...

Big Institutional Investors & Bigger Cannabis Deal Sizes

The graph shows total equity capital raised by private companies (green bar) as a % of total equity raises during the first 20 weeks of each year. The orange line shows the average private equity deal size.

Private companies account for less than 1/2 as much of dollars raised YTD in 2021 than they did in the same period in 2018. The credit crunch that began in the last half of 2019 has substantially eased, however the effects are still being felt in the finances of private cannabis companies, who continue to face tougher market conditions.

The large institutional capital investors...

Cannabis Multi-State Operator Interview with 4Front's CFO

Andrew was an early investor in 4Front, joining the company full time in 2014. He brings to the team a wealth of financial-management experience and business acumen having previously served as managing director of the BlackRock Small Cap Growth Fund at BlackRock Advisors LLC.

During his 11-year involvement, the $2 billion fund ranked in the top five percent of all domestic small cap growth funds. He also had past stints at MFS Investment Management and BT Alex Brown.

Since joining 4Front, he has immersed himself in every facet of the cannabis industry, from the relevant financial drivers...

Cannabis Legalization News

Here’s what you need to know! Missouri lawyer, Dan Viets, stops by to explain new gun rights for medical marijuana patients as we cannabis legalization news with host Tom Howard.

Tom Howard~ host of Cannabis Legalization News

Josh Kincaid, Capital Markets Analyst & host of your cannabis business podcast.

Episode 727 of The Talking Hedge:
Your Cannabis Business Podcast.
​Covering cannabis products, reviews, business news, interviews, investments, events, and more.

Music Info:

Cannabis Pitch Deck Review: Accurate Cannabis Dosing

Show Notes:
Custom Cannabis Pitch Deck Package Includes:
15 slide pitch deck
Complete explanation of each slide
Created by legal and financial Subject Matter Experts in the cannabis industry.
Complete & customizable pitch deck
Hours of content explaining how to customize pitch deck for your team
3 hours of Josh Kincaid’s time
3 hours of Tom Howard’s time
Customized pitch deck for your Team in a few weeks.

Katrina Glogowski, Seattle Attorney & Angel Investor


Cannabis In Colombia - IPO Interview With Flora Growth CEO Luis Merchan

*Flora Growth is the first plant touching cannabis company to IPO via direct listing on Nasdaq.
*CEO Luis Merchan joins us to discuss Colombia's advantages of cost-effectiveness and experience with growing and exporting commodities.
*Cannabis companies are ready to go from regional players to global players. Different barriers of entry across different sectors.

95% of Flora Growth (NASDAQ:FLGC), the first plant-touching cannabis company to list as a direct IPO on Nasdaq, operations are set up in Colombia. CEO and President Luis Merchan, a veteran of retail and sales, most notably with Macy's (NYSE...

BIG Candy VS Cannabis

The Wm. Wrigley Jr. Co., owned by the candy behemoth Mars Inc., filed a lawsuit in May against five companies for selling cannabis-infused edibles that look like Skittles, Starburst and Life Savers. Although the suit focuses on intellectual property rights, the plaintiffs also argue that the copycat products could lead people, particularly children, to mistakenly ingest drugs.

A spokeswoman for Mars Inc. wrote in an email that the company is “deeply disturbed” by the products.

America is at an interesting crossroads: one where Big Candy, vilified in the wellness era as a primary source of refi...

Delta-8, CBD-friendly?

Delta-8 is a variant of the delta-9-THC cannabinoid that everyone is familiar with. Though still psychoactive, delta-8 is reportedly less potent than delta-9. This makes it attractive to consumers who want less of an edge from their high. But unlike delta-9, delta-8 is being sold in CBD-friendly channels like vape shops and specialty retailers. This appeals to consumers in states without legal adult-use cannabis sales who are still looking for psychoactive effects.

The extraction process is not “natural” even though brands claim it is “naturally derived.” As Politico's article states “The vast majority of Delta-8 products aren’t ext...

Black Cannabis (or the lack thereof) with Aaron Bossett

Washington’s weed industry is owned overwhelmingly by white people, but that shouldn’t surprise anyone who has been paying attention—the industry was designed that way.

Unlike other states with MMJ and legal marijuana, Washington’s government has never even attempted to boost diversity in cannabis with any social equity programs. Seven years after legal pot first went on sale, lawmakers and the state’s top pot regulator have yet to create a cannabis equity program. Social equity should have been a priority as an attempt to send some of the benefits of the legal cannabis industry t...

Federal Legalization Bill Introduced as Adult-Use Markets Accelerate

Two Republican congressmen in the U.S. House of Representatives have introduced a bill that would legalize marijuana federally in a manner similar to alcohol.

The measure would remove marijuana from the federal Controlled Substances Act, provide explicit banking protections for the cannabis industry, allow military veterans access to state-legal MJ programs and expand research.

The new Congress, seated in January, must start from scratch in terms of passing marijuana legislation. The House took the first step in April by passing cannabis banking reform.

More than 108 million Americans aged 21 and over, 43.2% of the...

Blind Taste-Test with a Dozen Vape Carts

Once a month the Chronic Club meets up to review a cannabis product sold somewhere in Washington State at a legal adult-use pot shop. Last month we rated GLW Durban Limes flower a 49% out of 100%.

Join Josh Kincaid of The Talking Hedge, Steve Cominski of Baked & Awake, and Miggy420 of Cannabis Legalization News as we do a blind taste-test with a dozen vape carts from the Sun Grower's Cup.

Steve Cominski, Baked and Awake

Miggy420, Editor-in-chief, Cannabis Legalization News<...

Fleek Leaf's Gelato 33 Product Review From the SMALLEST Pot Shop In Washington State

Once a month the Chronic Club meets up to review a cannabis product sold somewhere in Washington State at a legal adult-use pot shop. Last month we rated ORGROW's Puna Orange Moon Rocks a 46% out of 100%.

Join us~ Josh Kincaid of The Talking Hedge, Steve Cominski of Baked & Awake, and Miggy420 of Cannabis Legalization News as we judge Fleek Leaf's Gelato 33 (20.63% THC) recommended by budtender Issah of Natures Sea Change Cannabis in Discovery Bay- Washington State's smallest cannabis shop.

Steve Cominski, Baked and Awake

Illegal Cannabis in the Navajo Nation

During the pandemic, migrants who lost their jobs moved to a remote city on the Navajo Nation Indian reservation in New Mexico, to do what they thought was legal agricultural work. Instead, they and the local Native community found themselves pitted against one another in a bizarre cautionary tale about the boom in cannabis production in the US, and the impact on Asian migrant laborers.

It was part of a recent, surprising expansion of Chinese-American investment into the US cannabis industry. Investors sought to recoup losses from shuttered restaurants, spas and tourism businesses by ploughing millions into...

Cannabis Corruption

Two legal stories, equally ridiculous: (1) A former mayor Massachusetts was convicted of corruption after prosecutors alleged he engaged in a bribery scheme in which he solicited payments from cannabis companies in exchange for licenses.

(2) It was ruled in Mississippi that the MMJ initiative was invalid because it didn’t meet the state’s initiative process requiring that 20% of the signatures come from each of five congressional districts.

The problem is that Mississippi went from five to four congressional districts after the 2000 Census, whether with intent, by oversight, or for some other reason, the ballot-initiative process cann...

Investing in Cannabis: Canada VS United States

Viridian Capital Advisors Chart of the Week has the top five cannabis market cap U.S. stocks (Curaleaf, Cresco, GTI, TerrAscend & Verano) versus their Canadian counterparts (Aurora, Canopy, Cronos, Sundial & Tilray) where each stock’s price equaled 100% on February 19th, the approximate top of the market. Since February 19th, the prices of the top U.S. stocks have fallen 18.7% while their Canadian counterparts have fallen 38.7%.

We believe the market action reflects several realizations:
~U.S. Federal legalization may not come as quickly or easily as many had hoped.
~The benefits of positive legislation easing banking re...

N.A. Cannabis Monthly Sales Analysis

Legal sales across the U.S. hit a record of $17.5 billion, a 46% increase from 2019. Cannabis sales last month totaled $1.6B across our 13-region report (CA, CO, NV, WA, OR, IL, MA, MI, PA, British Columbia, Alberta, Ontario, & Saskatchewan).

Colorado, which grew sales by 26% to reach $2.2 billion, and Oregon, which saw sales hit $1.1 billion, a 29% increase over 2019. Last months sales for CO & OR were $147MM and $110MM respectively.

Emerging markets like Illinois, which expanded its medical cannabis market to include adult-use sales last year, saw the largest dollar gain in 2020, rising by $784 million. IL on average...

Planet 13 Pitch Deck Review

As one of Las Vegas' top dispensaries, Planet 13 strives to provide the best quality recreational cannabis, extracts, and infused products available at competitive prices and with compassion that can only come from those who are knowledgeable in the field.

Planet 13 reported revenue in Q4 of $20.1 million. Although 22% higher year over year, it came in below analyst's estimate of $23.1MM. In the prior-year period, they recorded a net loss of $2.6 million, or $0.02 per share, with an expectation they'd break even in the fourth quarter.

PLNHF reported Q1/21 revenues of $23.8M, which were below prior estimate of $28...

Best ROI for New Cannabis Markets

Which entry point provide the best return on investment in the cannabis industry?

Is it retail, with customers stretching around the block in new markets? What about cultivation or edibles manufacturing, with products that become “must-haves” for marijuana connoisseurs? Maybe distribution, or even an ancillary company that provides packaging, security or some other type of service?

We chat about at the cannabis industry's ancillary market, location/ location/ location, cash is KING, & landscapes will inevitably change.

Show Notes:
Here’s how to get the best ROI in potential new cannabis markets

Arizona's Cannabis Sales Expectations

Arizona started the recreational cannabis legalization process with the 2020 election. With a total population of approximately 7.3M, it is the largest state in the Southwest.

The AZ cannabis per capita spend estimate is $76.18. One interesting group of potential consumers are tourists. The reverse effect of AZ residents not having to travel to neighboring CA, NV, and CO for recreational cannabis may be a factor, but the same case can be made with any state legalizing recreational cannabis. With the per capita assumptions, and AZ 21+ population, the top line sales forecast for AZ is $406M for the first...

Pennsylvania's Cannabis Sales Expectations

As the 5th most populated state in the US, we would expect an adult-use market to grow rapidly in Pennsylvania. With potential adult-use legalization on the horizon, we took a look at their medical cannabis market to see what we could learn about this unique state.

In the last 12 months, Pennsylvania medical cannabis sales totaled $910M. Year over year January growth in the Pennsylvania medical cannabis market was 146%, or 2.5 times as high as last year.

Medical cannabis sales have grown steadily in the past 13 months, starting at $40M in January 2020 and ending at close to $98...

BIG Tobacco Eyeing the Cannabis Industry

Multinational tobacco company Philip Morris International reportedly is analyzing the marijuana industry for its market possibilities in pharmaceutical and consumer plays with a focus on smoke-free products.

Philip Morris hasn’t ventured specifically into the cannabis space, unlike British American Tobacco and Altria Group which have both taken stakes in marijuana companies. Philip Morris invested $20 million five years ago into Israeli company Syqe Medical to develope an inhaler that allows medical marijuana and other therapeutic products to be delivered in precise doses.

Philip Morris indicated that it is looking at potential market opportunities of cannabis we...

New Jersey's Cannabis Sales Expectations

New Jersey is likely to be the largest recreational cannabis market on the East Coast. With a total population of approximately 8.8M, it is the most densely populated of all US states. It is also closely bordered by the NYC metro area to the northeast and the Philadelphia metro area to the west. Until New York and Pennsylvania legalize recreational cannabis, some cross-border shopping is assumed in the below projection.

The NJ 21+ population was summed with 10% of both Pennsylvania and New York's 21+ population (to account for cross-border shopping) for an adjusted eligible population of 9.0M. Applying the...

New York's Cost for an Adult-Use Cannabis Market

New York's cannabis cultivation projections consider the use of varying cultivation environments including indoor under lights, greenhouse, and outdoor in soil and applied average yield figures to projected overall demand.

Viridian utilized $300 per sq ft in their analysis which does not include the cost of real estate. This is higher than the levels we found in other markets and reflects their belief that New York will be a costly construction environment.

Their conclusions suggest cumulative spending of $250 million over the next two years ramping up to approximately $475 million annually through 2027.

Approximately $2 billion of...

Mexico's Cannabis Legalization Update

Mexico’s proposal to legalize cannabis has hit a snag in the Senate, where a revised version of the bill is under consideration. The economic potential is enormous, we are talking about generating more than $22 billion dollars in less than four years because there is an opening to all areas, from the medicinal part, the recreational part, and even the industry.

2028 opens a national cannabis market with a value of two billion dollars, with 67% from the medical branch and 33% recreational, according to a report by Endeavor Mexico. Mexico, considered the second-largest producer in the world with up to...

Tilt Holdings President Gary Santo on the Talking Hedge podcast

Gary Santo, President of TILT Holdings, has experience leading lean, high-performance teams including Specialty-Pharma. Gary has held a variety of senior-level positions, most recently Columbia Care, a leading multi-state operator in the cannabis industry.

TILT is a combination of leading cannabis companies that deliver products and services to businesses operating in the cannabis industry. Through a portfolio of companies providing technology, hardware, cultivation and production, TILT services brands and cannabis retailers across 35 states in the U.S., as well as Canada, Israel, Mexico, South America and the European Union.

Gary Santo, President, TILT...

Cannabis Investment Deal Flow Update

Show Notes:
Viridian Cannabis Deal Tracker

Josh Kincaid, Capital Markets Analyst & host of your cannabis business podcast.

Episode 705 of The Talking Hedge:
Your Cannabis Business Podcast.
​Covering cannabis products, reviews, business news, interviews, investments, events, and more.

Music Info:
Song: Beat | Keep On | 2020
Artist: Milochromatic Beats
Song: Dark Trap Beats Hard Rap Instrumental | Gang | 2018
Artist: LuxrayBeats

Hemp News, Weed Ne...

Canadian Cannabis Retail Interview

Cannabis Xpress' founder Chris Jones' strategy for Canadian Cannabis stores involve small, convenient locations, initially targeting smaller local markets with less competition from existing stores.

At least 545 cannabis stores are currently licensed for business in Ontario, although Jones estimates that perhaps 60% of those stores are actually open. The province is now licensing as many as 120 new stores per month.

With so much competition, Jones believes it’s unlikely a given store can attract enough customers to justify a large retail footprint.

The Cannabis XPress Brampton location measures only 353 square feet in total, including th...

Crossing The Idaho Border For Tax-Free Cannabis

Ontario, Oregon- birthplace of the tater tot & a weekend destination for residents of Boise Idaho who make about 1,600 "unique trips" to Ontario every day, for tax-free shopping at the big-box stores but mostly for cannabis, which is completely prohibited in Idaho.

Ontario is just one of dozens of border communities around the country that have been transformed into marijuana boom towns thanks to the country's patchwork quilt of cannabis laws (like New Mexico & Texas!).

Ontario had $92 million in cannabis sales in 2020, or $2,857 for every resident in the county. Portland sold only $378 for every...

Cannabis (Equipment) Import Issues

A Washington state-based cannabis and hemp equipment manufacturer is suing the U.S. Customs and Border Protection for blocking its shipments.

The company claimed Customs agents seized equipment (again) needed to build a cannabis trimming machine. They sued (again) in district court.

Show Notes:
Federal judge boots marijuana trimming firm’s case against US Border Patrol

Katrina Glogowski, Seattle Attorney & Angel Investor

Josh Kincaid, Capital Markets Analyst & host of your cannabis business podcast.

4/20 Cannabis Sales Data

4/20 has been the single biggest day of sales each and every year since the recreational cannabis market began. For example, sales on 4/20 last year were nearly double that of the average sales on the previous four Mondays. Purchasing cannabis is clearly one of the most integral parts of the 4/20 celebration to many cannabis consumers in recreational markets.

The holiday this year will be the second 4/20 during a pandemic, which allows us to use last year’s trends to predict similarities and differences to previous years. Looking at previous 4/20s, we find that average daily sales during the we...

Chronic Club's Cannabis Product Review: Moon Rocks

Once a month the Chronic Club meets up to review a cannabis product sold somewhere in Washington State at a legal adult-use pot shop.

Join Josh Kincaid of The Talking Hedge, Michael Schroeder of The Aging Ent, and Miggy420 of Cannabis Legalization News as we judge ORGROW's Puna Orange Moon Rocks (36.5% THC, 11.42% CBD) recommended by budtender Wesley of Natures Recreational Center in Tacoma, WA.

For this 4/20 episode, we also review Durban Lime (26% THCA) from Growing Like a Weed (GLW). Last month we rated AgroCouture's live resin 52%.

Michael Schroeder, The Aging Ent<...

Does Federal Legalization Begin on 4/20?

Senate Majority Leader Chuck Schumer’s home state of New York legalized cannabis use for adults, after years of failed efforts. More than 40% of Americans now live in states that have embraced full legalization.

President Joe Biden has been a conspicuous outlier among Democrats when it comes to supporting marijuana legalization. But Schumer said Biden’s reticence won’t deter the Senate from taking aggressive action to loosen federal restrictions.

Schumer pointed to the decade-long experiment with state legalization as evidence that the worst fears of what would happen were overblown. “The legalization of states worked o...

The SAFE Banking Act Passes The House

The U.S. House of Representatives approved a bill to protect banks that service state-legal marijuana businesses from being penalized by federal regulators.

The vote marks the fourth time the House has approved the Secure and Fair Enforcement (SAFE) Banking Act. Lawmakers passed it as a standalone bill in 2019 and then twice more as part of coronavirus relief legislation.

But this time around, advocates and industry stakeholders are feeling confident that the bill’s path will not end in the House. With Democrats now in control of both chambers and the White House, there are hi...

Real Estate Investing With Dave Seymour

Dave was the star host of A&E’s hit TV show “Flipping Boston” which was rated the #1 reality TV series for" keeping it real" and the highest rating ever for the A&E network at the time of airing.

Dave Seymour is an investor with over a decade of experience in real estate and capital management.

He launched his career, from being a firefighter and paramedic to rapidly becoming one of the Nation’s top real estate investors. Within his first few years, he transacted millions of dollars of real estate and is now recogniz...

Midwest Dispensary Investment Pitch Deck

Our 7 tips to a successful investment pitch deck looks at Greenlight, who comes to the MMJ market with nearly a decade of cannabis experience spanning several states where medical cannabis sales are already legal. Their executive team comes from Acres Cannabis.

Greenlight recognizes that new markets will have difficulties when it comes to sourcing quality product for their patients. This means in addition to their dispensaries, they also supply the products they are consuming. By producing their own products, they control every aspect of the quality from planting the seeds to harvesting, to packaging, all the way...