Cali Legal!!! Wtf We Do Now

I think today investors are cautious, especially when it comes to the MJ scene with the economy as it is there holding onto there money.
And investing in real venture capitals

Sure there loan sharks out there lol, or land owners that i guess you can say , not really invest but lease you land.
@ something like 60 / 40 return so in a sense raping you . or rent to own agreements with stupid unrealistic year end payments

When dealing with organized sponsored illegal grows . that is another Risk in its self .
Where as its not if but when you do not meet there Quota's and your floating down a river face down haha.

I seriously wish anyone luck that is trying to make a go out of this and if you find investors and you go on public trading .

Please let me know I"ll make my money in shares instead :)

But my gut feeling tells me there is going to be a ton of hurdles ahead for who try's ,
It will hurdle after hurdle and for many they will used up there life savings and Fail

Only way i can see someone doing it is having like 10 friends having 100k in cash then perhaps
I know big dollar investors they will not touch anything unless its up n running and can show couple years of books and right profits and no gray areas.

I think this is why people are freaking out on Monsanto and other agricultural business that have the resources and capital to just jump in and take over ..

NightsWatch said:

I think today investors are cautious, especially when it comes to the MJ scene with the economy as it is there holding onto there money.
And investing in real venture capitals

Sure there loan sharks out there lol, or land owners that i guess you can say , not really invest but lease you land.
@ something like 60 / 40 return so in a sense raping you . or rent to own agreements with stupid unrealistic year end payments

When dealing with organized sponsored illegal grows . that is another Risk in its self .
Where as its not if but when you do not meet there Quota's and your floating down a river face down haha.

I seriously wish anyone luck that is trying to make a go out of this and if you find investors and you go on public trading .

Please let me know I"ll make my money in shares instead :)

But my gut feeling tells me there is going to be a ton of hurdles ahead for who try's ,
It will hurdle after hurdle and for many they will used up there life savings and Fail

Only way i can see someone doing it is having like 10 friends having 100k in cash then perhaps
I know big dollar investors they will not touch anything unless its up n running and can show couple years of books and right profits and no gray areas.

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It's them guys that jump through all the hurdles that will be successful and not everyone has got what it takes to do this but for the 1s have the rewards are epic

Instead of being in the Radar stay small harvest your 800 pounds a year grow actual food become self sustaining do not rely on just mj as your bread n butter keep a job to maintain some tax system
And just be underground have your few clients you sell to and you can trust .
And prosper on when we look at new business 96 percent fail in the first 10 years only 4 percent last longer then 10 years.
that is crazy true numbers


Why do most businesses fail? Because they can’t pay their bills. Most entrepreneurs either are (or start out as) financially illiterate. Unless you are into financial services or accounting, most entrepreneurs don’t go into business because they love numbers. Most entrepreneurs saw an opportunity to make the world better in some way and built a company around that idea. So what do they do? They hire accountants and controllers to manage their books.

The way Profit & Loss and Income Statements are constructed, most CEOs are trained to focus on the profits or EBITA of their businesses. After all, it’s what you are taxed on and how your business is evaluated. But profits are simply a snapshot in time. They are a theory because a number of factors determine if you can actually pull the cash out of the business.

This is where the “Cash is a Fact” comes into play. Why do most businesses fail? Because they can’t pay their bills. When you run out of cash, it’s game over. None of your vendors / creditors care in the least how much profit you’re showing on your books if you can’t pay your bills. Companies don’t go out of business because they lack profits on their financial documents, they go out of business because they don’t manage their cash and can’t pay their bills.

The problem comes when you get squeezed between attempting to be a good corporate citizen to your vendors, and being raked over the coals by your slow paying clients.

Just because a person may be a good grower his accounting skills and laws etc is totally unknown .
Accountants,Lawyers will rape you its not cheap.

I am just saying what what its worth start small work your way up. dont get to greedy and most importantly stay out of the radar

I am guilty of taking something by the horn and got to big to fast in one of my business ventures

MJ can be a great second income hobby

How many people know how to put together a business plan?

Seamaiden said:

How many people know how to put together a business plan?

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i don't get it. are you saying people here are dumb/lazy or people in general are dumb/lazy?

anyways, like what was said previously someone doesn't own/operate/manage/etc their own business; tho that may be what most "medicinal growers" are doing now because of such small scale.
a big thing being overlooked is how these large companies coming in will need a network of people, and recreational in general legitimizes the cannabis industry in general. i think this will lead to a lot of opportunities in the agriculture industry, upgraded/updated current MJ companies having grown from legalization and a lot of ideas or products for MJ can now be big business instead of for a select niche.

Komoshan said:

i don't get it. are you saying people here are dumb/lazy or people in general are dumb/lazy?

anyways, like what was said previously someone doesn't own/operate/manage/etc their own business; tho that may be what most "medicinal growers" are doing now because of such small scale.
a big thing being overlooked is how these large companies coming in will need a network of people, and recreational in general legitimizes the cannabis industry in general. i think this will lead to a lot of opportunities in the agriculture industry, upgraded/updated current MJ companies having grown from legalization and a lot of ideas or products for MJ can now be big business instead of for a select niche.

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I'm sorry buddy but in no way can I relate to what she said to being dumb or lazy do u wanna clarify last time I checked not knowing how to do something is neither dumb or lazy

you know...the thing that I find amusing is that all the people that were making millions in the black market....and the Grey Market for all these years are the ones bitching and complaining.........

the ones who don't want to get their shit together to operate a legal business......the ones who haven't paid taxes in 40 years......and no property taxes don't count....

for all those with the inclination to own and operate a legitimate business above the law will thrive
anyone who is afraid that corporate is gonna take over....really has no sense of self worth or drive for success

if people are afraid that patients are not gonna get their meds......subsidize some of your crop and give freely to patients file that on your tax return
for those that are worried about the imposed 6 plant rule
either live outside of the law or learn to grow better....

all these arguments to me sound childish..."I want my cookies!!!!"...."not until your homework is done dear"........"BUT THAT IS NO FARE MOM.....THAT ISN'T HOW IT USED TO BE..........I KNOW OTHER KIDS WHO HAVE RULES....BUT...I DON'T WANT RULES!!!!!!!""""

every other aggie crop has regulations....sure you can grow at home and get special license to sell at farmers markets......but you can't grow and sell mainstream without regs

just my 2 pennies

Seamaiden said:

How many people know how to put together a business plan?

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I do... anywhere from 16 to 50 pages

GT21 said:

I do... anywhere from 16 to 50 pages

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My buisness plan are done in my head u don't need a degree to be successful just drive with a little bit of passion and the money will follow it's as simple as making it better than any 1 else can and straight away there's a market

mancdank said:

My buisness plan are done in my head u don't need a degree to be successful just drive with a little bit of passion and the money will follow it's as simple as making it better than any 1 else can and straight away there's a market

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This is true... my uncle is a millionaire and cant spell it... no im not a trust fund kid

If it was that easy wonder why the middle class is disappearing at such a rapid rate
Anyone can have a idea its making it work efficiently is a total different ball game

NightsWatch said:

If it was that easy wonder why the middle class is disappearing at such a rapid rate
Anyone can have a idea its making it work efficiently is a total different ball game

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And how will u ever know unless u step out of your comfort zone and get your hands a little dirty no 1 ever said this shit is guna be easy but it's there for the people with drive and ambition

I here you and yes i believe there just might be some business ventures looking at the whole picture as in possible services etc ..
you know the Bug man or the soil guy some consulting businesses etc .
But with laws unstable and things changing quickly one can be chasing them selfs and getting know where

More money going out then coming in then you have more dead ends then loop holes nd before you know it your going in circles

As far as i see it its still way to early to jump into this game .
Its to unstable and laws being changed non stop

And most importantly being a scheduled drug puts lots of things to a DEAD END before you even get things started .
In some cases who knows banks will not even allow you to open a business account Mt B's marijuana gardens inc etc

GT21 said:

my uncle is a millionaire

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adjusted for inflation one million was $188,000.00 back in 1973.

still a big number but not as big of a deal as it was. imo

mancdank said:

And how will u ever know unless u step out of your comfort zone and get your hands a little dirty no 1 ever said this shit is guna be easy but it's there for the people with drive and ambition

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the middle class is dissapearing because they pay all the taxes comparable to their income
although the rich pay over 90% of federal tax
the middle class pay a disproportionate amount to their income
as well as they are the ones forced into things like obama care which mandates you pay insurance at an incredible rate which pays for the poors insurance
while the rich pay for themselves....outside the market
as well jobs for the middle class have disappeared to 3rd world countries because of lower corporate taxes as well as zero carbon immisions tax and the fact that there is no regulation on minimum wage or labor laws of any kind

that guy or gal whom used to work for Ford making $20.00 an hour plus bennies and health insurance
is now out of a job
while someone in Mexico is being paid $10.00 a day with no bennies or health insurance

wanna bring back the middle class
use you wallett

that is why this country is being segregated between the rich and poor more and more
as the middle class is pushed further down the totum pole so to speak

Wisher619 said:

the middle class is dissapearing because they pay all the taxes comparable to their income
although the rich pay over 90% of federal tax
the middle class pay a disproportionate amount to their income
as well as they are the ones forced into things like obama care which mandates you pay insurance at an incredible rate which pays for the poors insurance
while the rich pay for themselves....outside the market
as well jobs for the middle class have disappeared to 3rd world countries because of lower corporate taxes as well as zero carbon immisions tax and the fact that there is no regulation on minimum wage or labor laws of any kind

that guy or gal whom used to work for Ford making $20.00 an hour plus bennies and health insurance
is now out of a job
while someone in Mexico is being paid $10.00 a day with no bennies or health insurance

wanna bring back the middle class
use you wallett

that is why this country is being segregated between the rich and poor more and more
as the middle class is pushed further down the totum pole so to speak

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And this is just the start of the failing process again and why only 4 percent of new business succeed
Problem is were not able to hold back save lets really think about Save money ?? shit i am even to blame taking money out of my corporate account for personal use be it anything from unexpected expenses or just upgrading my home
There is only so much you can Write off so it becomes a company personal loan
and you have one year to pay it back out of your own pocket

My down fall i never did and guess what another 30,000 added to my personal income
POW now i am fucked so i know take more money out of my company pay the taxes off
But realizing i am in the rears and chasing the true bill
the start of the down ward spiral to bankruptcy

Now i hate to say it as it is but that is how it usually will start
And i am sure some can relate what its like chasing bills, you never catch up.

Life is to short to take high risks that will never go away but follow you to your grave or ruin what little credit you may have left ..

I am not here to change your mind or thinking its your life.
Do what you think is best
I just ask please just do not jump off the bridge before you have all your P's and Q's in order

NightsWatch said:

And this is just the start of the failing process again and why only 4 percent of new business succeed
Problem is were not able to hold back save lets really think about Save money ?? shit i am even to blame taking money out of my corporate account for personal use be it anything from unexpected expenses or just upgrading my home
There is only so much you can Write off so it becomes a company personal loan
and you have one year to pay it back out of your own pocket

My down fall i never did and guess what another 30,000 added to my personal income
POW now i am fucked so i know take more money out of my company pay the taxes off
But realizing i am in the rears and chasing the true bill
the start of the down ward spiral to bankruptcy

Now i hate to say it as it is but that is how it usually will start
And i am sure some can relate what its like chasing bills, you never catch up.

Life is to short to take high risks that will never go away but follow you to your grave or ruin what little credit you may have left ..

I am not here to change your mind or thinking its your life.
Do what you think is best
I just ask please just do not jump off the bridge before you have all your P's and Q's in order

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I also believe another problem is the tax system

if you make 80k a year your bring home is about 50
if you make 250k
after taxes your take home is about 80k

so what is the incentive to make more

until you make over 1mil a year....can you really say you are semi livin the dream

Wisher619 said:

I also believe another problem is the tax system

if you make 80k a year your bring home is about 50
if you make 250k
after taxes your take home is about 80k

so what is the incentive to make more

until you make over 1mil a year....can you really say you are semi livin the dream

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People think owning a company is how to make it rich
The problem with that no matter how much money you make 96 percent of the people will spend that money and only 4 percent will utilize that money and invest
I for one am at fault more money you make the more you spend on toys and shit

owning a company only benefits people that invest in company assets which become taxable benefits and tight offs etc to a point

So lets figure it out @ a corporate level company brings in 120,000
with 35 percent corporate tax and usually they add 4 percent to that so lets round it to 39 percent tax its bit high but you can surely bet your going to be in the 37 percent area

So 44,400 in corporate tax that leaves you 75,000 @ .37 percent Tax
now you pay your self 50,000 @ 25 percent tax bracket you dished out 12,500 in tax to bring home 37,500

You just payed 56,9 thousand in taxes

which leaves company assets after paying you out 25 k

25k in your business account
then you have to also account for state tax and federal tax i think ??? then you also have to pay WCB @ 1.25 per 100 dollars if you made 50,000 do the math

then corporate insurance you know someone chokes or dies from your product liabilities etc ..
then operating costs accountants, lawyers bef before you really know it one could easily say .
For what its worth fuck it
Only benefits of owning a business is believing your in control. after all your the Boss

NightsWatch said:

People think owning a company is how to make it rich
The problem with that no matter how much money you make 96 percent of the people will spend that money and only 4 percent will utilize that money and invest
I for one am at fault more money you make the more you spend on toys and shit

owning a company only benefits people that invest in company assets which become taxable benefits and tight offs etc to a point

So lets figure it out @ a corporate level company brings in 120,000
with 35 percent corporate tax and usually they add 4 percent to that so lets round it to 39 percent tax its bit high but you can surely bet your going to be in the 37 percent area

So 44,400 in corporate tax that leaves you 75,000 @ .37 percent Tax
now you pay your self 50,000 @ 25 percent tax bracket you dished out 12,500 in tax to bring home 37,500

You just payed 56,9 thousand in taxes

which leaves company assets after paying you out 25 k

25k in your business account
then you have to also account for state tax and federal tax i think ??? then you also have to pay WCB @ 1.25 per 100 dollars if you made 50,000 do the math

then corporate insurance you know someone chokes or dies from your product liabilities etc ..
then operating costs accountants, lawyers bef before you really know it one could easily say .
For what its worth fuck it
Only benefits of owning a business is believing your in control. after all your the Boss

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I agree with you completely
like I said .....what is the incentive to make more
there is a certain threshold you have to break in ordernto live comfortably .....meaning you are either poor and living on credit or just poor
taxes basically make the middle class poor

mancdank said:

I'm sorry buddy but in no way can I relate to what she said to being dumb or lazy do u wanna clarify last time I checked not knowing how to do something is neither dumb or lazy

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Seamaiden said:

How many people know how to put together a business plan?

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Komoshan said:

i don't get it. are you saying people here are dumb/lazy or people in general are dumb/lazy?

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the question was so broad that i assumed it was a statement; it just seemed like most anyone somewhat serious about starting a business would at least know how to make a business plan (not necessily have one laid out).
so asking people if they know one of the basics of starting a business seems satirical in the environment based around it (this thread-cannabis now as business in CA, possibility of competing). . i thought it was saying are any of you actually serious.
or on the flipside since a lot of people have this knowledge start going into action?
if talking of people in general then maybe its saying since so many people have this knowledge, anyone, meaning big players will come along and take advantage of businesses in the cannabis industry since it has opened up so much.
I was confused by it as well and just assumed it wasnt meant as a sincere question but could of had a number of different meanings depending on the target.
if a real question are you asking about a number for people reading this, or on the forum, or in world, or cannabis growers, or entrepreneurs, or pro legal? either way i think the percentage is pretty high, maybe your point was its higher among non-cannabis growers? tho i seriously doubt that.
sry was just a quick blurb in the beginning before saying what i was trying to say. wasn't expecting to come back to describe with a lame and dense crappy explanation from someone knowing zero of psychology behind miscommunication about that blurb.
didnt' mean to write that much.... oopsie.sry.f


edit: also side fact a ton of super huge companies pay around 5%- negative5% tax. most all companies pay way less than you ever will. i'm sure this will come into play with the industry.
i feel like that's why medical was so good even tho it made no sense, best way to create a grassroots movement where supply and demand come from the people... to bad theres no reason for that for anyone except the people who actually use the herb.
dang rambled again