Cannabis Product News - V1 N1 (Premiere Issue) by CPN

Premiere Issue Vol. 1 No. 1

Table of Contents

Premiere Issue • Vol. 1, No. 1

Features

Cannabis Strains: Real and Imaginary by Paul Lembeck

Patent Cannabis, and Trademark, Too by Tony Marshall and Jeremy Hanika

Product of Choice

Vaporizer Innovation by Chad Lott

Columns

Best Practices Cultivation: Making the Most of Your Grow Security & Technology: Monitoring Marijuana Finance: Critical Considerations When Starting a Cannabis Business Cannabusiness Solutions Edibles: The High Demand for Edibles Hemp: The Vital Role of Hemp in the Coming Age of Abundance

Departments 3 Publisher’s Message

From the Editor

Products and Services Showcase

Calendar

Ending on a High Note Success Story: Love’s Oven

On the Cover New advances in vaporizer technology have resulted in a number of improvements and new products. See Chad Lott’s article, Vaporizer Innovation, on page 12 to learn more.

Cannabis Product News | Premiere Issue

Publisher’s Message By Mike Dumke

An Apogee Business Media Publication

CannaProductNews.com Publisher Mike Dumke Mike@CannaProductNews.com Associate Publisher Dave Anderson Dave@CannaProductNews.com Editor Phil Samuelson Phil@CannaProductNews.com Art Director Brenda Cooke BCooke@CannaProductNews.com Account Executive Tony Collins TCollins@CannaProductNews.com Contributing Writers Diana Campos, Texas Jeremy Hanika, California Crystal Huish, Colorado Max Lavine, California Paul Lembeck, Colorado Chad Lott, California Karen Marker, Michigan Tony Marshall, California Brandon Pitcher, Indiana Bruce Ryan, Toronto Michael Schultheiss, California Advertising Please contact Dave Anderson Dave@CannaProductNews.com (800) 651-9392 Corporate Office Apogee Business Media, Inc. 4120 Douglas Blvd, #306-147 Granite Bay, CA 95746 Tel: (800) 651-9392 Editorial & Product Submissions Cannabis Product News P.O. Box 88421 Colorado Springs, CO 80908-8421 Tel: (800) 651-9392; Admin@CannaProductNews.com Subscription Inquiries (800) 651-9392 Cannabis Product News Volume 1, No. 1 Cannabis Product News is published by Apogee Business Media, Inc. Postmaster: Send address changes to Cannabis Product News 4120 Douglas Blvd. #306-342 Granite Bay, CA 95746 Subscriptions: There is no charge for subscriptions to qualified readers in the United States. For a subscription please visit CannaProductNews.com, email: Admin@CannaProductNews.com, mail to: Admin@CannaProductNews.com, or call (800) 651-9392. Non-qualified subscription rates: single issue: $7.00; one year: $48.00. Canada & Mexico: $55.00. All other countries: $75. For change of address please email your company name, new address and old address. Copyright © 2015 by Apogee Business Media, Inc. All rights reserved. Nothing in publication may be copied or reproduced without prior written permission of the publisher. All material is compiled from sources believed to be reliable, but published without responsibility for errors or omissions. Opinions expressed in Cannabis Product News do not reflect the opinion of the magazine’s editor, its management or its advertisers. Cannabis Product News cannot be held responsible for the opinions expressed or facts supplied by its authors.

Those who make their livings in the Cannabis industry aren’t your average businesspeople. We thrive on adaptation, change, progress, and the excitement of knowing that we’re helping shape an industry that is experiencing explosive growth—the type of rapid growth that’s unprecedented in nearly any other industry. From my entrepreneurial background, I know all too well how challenging it can be to launch a business and succeed in a dynamic, increasingly competitive environment. As I became more involved in the Cannabis industry, the need for a product-driven magazine quickly became apparent. The constant advancements in products and services across all industry categories is proof positive that business owners need help staying current. Cannabis Product News (CPN) promises to become the “go-to” magazine for Cannabis professionals. When product and service applications can provide answers for your business, you can count on us to keep you informed. This need for business solutions was instrumental in shaping the unique editorial style you will find in each issue of CPN—a style that puts products, services, and business solutions in context with applications and management of a more successful business. Our team of experienced business-publishing professionals has been hard at work, armed with the knowledge that CPN will becomes a valued resource and contribute greatly to our readers’ business sustainability and growth. Those of us at Cannabis Product News value your opinions and encourage your honest feedback. We’ll continue to adjust and refine our content to best serve your needs as we move forward in this dynamic, ever-evolving industry. Allow me and the CPN staff to welcome you to this premiere issue— the first of many issues to come. We consider it an honor and a privilege to take this journey with you.

From the Editor By Phil Samuelson The magazine you’re now reading reflects the vision and dreams of a small team of entrepreneurs and business-magazine professionals. Our background in print publishing and other lucrative ventures provided the necessary skills and experience to identify an important missing niche in the rapidly growing world of legal Cannabis periodicals. That industry niche is products. There are many Cannabis business publications out there, but none are devoted entirely to promoting Cannabis-related products and innovations— as well as the service providers who are so important and necessary for guiding business owners and driving our industry forward. Thus, Cannabis Product News (CPN) was born. This was a natural progression for me. My role as editor-in-chief of successful product-focused B2B magazines in other industries served me well during the launch of CPN. The explosion of new product releases come from an ever-increasing number of companies—and this rapid influx shows no sign of slowing down anytime soon. The products we’ll feature will span the entire industry, whether it be indoor and outdoor cultivation, processing, extracts, edibles, smoking and vaporizer accessories, or lighting—if it’s a product or service related to the Cannabis industry, we’ll feature it. Consulting service-providers fill a valuable role for both established and emerging companies and retail businesses, as well, so you can depend on us for solid information in the areas of law, financial management, real estate, marketing, and branding. The Cannabis Product News team eagerly anticipates growing with the industry and serving you, the reader, in your quest for the latest products and services information. Whether you’re a grower, manufacturer, or retailer, CPN will keep you informed about the latest product-driven business solutions and inventory to keep your businesses on solid ground. We look forward to having you joining us for the ride! CannaProductNews.com

Best Practices

Cultivation

Making the Most of Your Grow Challenge: Transitioning from a small-scale cultivator to a commercial grower to establish a lucrative business in an increasingly competitive market. Solution: Utilizing new products and procedures to maximize harvest potential and quality, while minimizing overhead expenses and time.

By Max Lavine, California

ntrepreneurial growers all over the country are seeking out ways to seize the moment—and the market—by scaling up their operations in hopes of making (rather than just saving) money by growing Cannabis. This, however, is much easier said than done. The road from hobby grower to commercial grower can be a rocky one, filled with challenges and decisions. As a professional working in the medical Cannabis industry, I meet with both aspiring and established growers on a daily basis. I recognize the difficulties individuals face when trying to take their cultivation businesses to the next level and earn a living in this competitive industry. My recommendations here are based on best practices and streamlining operations from the cultivation side. Compliance with individual state laws and regulations is outside of the parameters of this column. We’re talking about growing here—and the best way for you to produce top-quality product. Commercial growing is much different than small-scale operations. In fact, you’re taking on a whole new reality. Figuring out what that reality will mean for you will require starting with the basics: space and time.

Space Considerations

Space is always an important issue, and as you develop your cultivation skills, it will only become more critical. Indoor growers faced with limited square footage in a detached garage or shed should look for ways to maximize vertical space. The Buddha Box Vertical Grow is a highend, plug-and-play grow tent and hydro system featuring 75 plant locations arranged in three stories encircling two 600-watt HPS lights. While not all growers will be enthused by the considerable price tag, the unit is also a wealth of inspiration for the creative and crafty cultivator. Outdoor growers will want to think about the arrangement of their plants since they don’t get to control the position of the light source. Begin with basic grow concepts like employing a SCROG (Google “screen of green” for setup instructions) system as an effective and time-tested way to get your plants maximum sun or light exposure, while supporting large bud growth. Topping and training your plants in the vegetative phase produces multiple cola sites, causing the plants to take a bushier, almost hydra-like form. This shape, while

Cannabis Product News | Premiere Issue

Cannabis growers who aspire to make a name for themselves at the commercial level face a variety of decisions when it comes to best practices and procedures.

great for production, can make it difficult for light and air to penetrate the plant effectively. You can help by visiting your local gardening and/or hardware store to find yourself some trellis netting and PVC. From these materials you can build a netted frame, with the trellis netting pulled into a taught grid just over the tops of your plants. As they stretch, this support will allow the heavy branches to rest without falling as their buds swell through flowering. This simple strategy allows outdoor growers to maximize the efficiency of a plot with limited space by maximizing sun exposure and canopy density.

Timelines

Time is no less important to the aspiring grower. For indoor grows, proper scheduling is essential. Especially when working on a larger scale, separating your vegetative and flowering spaces allows you to save time and energy. Because vegetative plants require far less space and light intensity, a simple grow tent can be the first step toward creating a separate veg area in your indoor garden. Separate rooms for vegetative and flower stages are optimum for large-scale grows, but tents are useful, too. Tents, like those available from Secret Jardin, Hydrohut, Gorilla, and Growlab, allow you to utilize a light-tight, plant-ready room-within-a-room within hours. Inside this tent, you can vegetate your plants under a simple T-5 fluorescent light bank, which will save you bun-

Low-intensity lighting during the vegetative stage is one basic cost-saving measure.

dles each round compared to HID lights. This is especially advantageous because during veg, lights need to be on between 18 and 24 hours per day, so using lower-energy bulbs when possible will drastically reduce the cost of your grow. You’ll still have to flower under HIDs, but at that point they’ll only be on 12 hours at a time, creating the light conditions necessary to induce flowering. By creating this separation and managing your flowering periods correctly, you can ensure that every cash-draining hour your flowering area HID lights are on, they’re going to the best possible use. Plus, you can increase your overall yields dramatically as your harvests will be more frequent.

productive than ever in generating new techniques and products to do more with less and scale up from small grows to substantial and lucrative commercial-grow operations. It’s all in the planning and execution. n Max Lavine is a proud resident of Oakland, California. He works at the Cannabis Buyers Club of Berkeley, one of the oldest dispensaries in the state, as the Cannabis concentrates buyer and product manager. Out of the office, he is working on product development, marketing, and distribution for local concentrate companies, with the long-term goal of helping to create the world’s first fully legal market for specialty/artisan Cannabis products.

Outdoor Considerations

Growing outside, you don’t have control of the photoperiod, nor do you have to pay for the radiant energy that your plants require. Intrepid cultivators learned to deal with nature’s inflexible scheduling in the form of “black box” growing. By manipulating the photoperiod to induce flowering, outdoor growers in hospitable climates can get in an extra harvest if they time things just right. How? Building a simple PVC skeleton around the ready-to-flower crop and covering that skeleton with a light-proof tarp is enough to create the 12 hours of light and 12 hours of darkness necessary to induce flowering in the hands of a diligent cultivator. Using this method, outdoor growers in relatively warm Western climes have been able to veg indoors under T5 lights during the winter and start their black box crop early enough in the year that a smaller June-July harvest can ease the wait for autumn.

Conclusion

Gone are the days when developing growers could pull a few grand out of their closets every few months, despite their struggle up the learning curve. The prices of prime Cannabis aren’t getting any higher, so newer cultivators who want to make the transition to commercial projects will need to be more clever and strategic than their predecessors. If you’re ready for the challenge, however, the community of minds in the cultivation community is more

Resources Big Buddha Box Vertical Grow System SUPERCLOSET, INC.

P.O. Box 6105 Santa Rosa, CA 95406 Tel: (877) 476-9787 Fax: (415) 285-0301 http://supercloset.com/product/ grow-rooms/big-buddha-box-vertical-grow-system/

Grow Tents from Secret Jardin, Hydrohut, Gorilla, Growlab, and Oasis HYDROBUILDER.COM 312 Otterson Dr., Ste. D • Chico, CA 95928 Tel: (888) 815-9763 • Fax: (888) 582-0009 support@hydrobuilder.com

Screen of Green Growing Technique http://howtogrowmarijuana.com/ screen-of-green/

CannaProductNews.com

Best Practices

Security & Technology

Monitoring Marijuana

By Diana Campos, Texas

Challenge: Protecting the business property of licensed dispensaries, recreational shops, and other Cannabis businesses from unlawful entry. Solution: Utilizing the professional services of an established security company to ensure businesses are in compliance with all state laws and regulations.

Video surveillance cameras are an integral and required part of Cannabis business operations.

nce marijuana dispensaries got the legal go-ahead to operate as legitimate businesses in certain states, many recognized it as a golden opportunity to make some green. The new industry provided job openings for growers, extractors, and perhaps less obviously, even for security technicians. In order to operate in their respectful cities, licensed dispensary owners, as well as growers and processors, must adhere to mandatory regulations. These include especially strict security protocols which vary from state to state. As the nation’s pioneer for legalizing the recreational use of marijuana, the state of Colorado had the especially daunting task of setting up a template that would satisfy both tentative legislators and critics, as well as move what was until recently a highly lucrative black market business into a regulated market. The guidelines eventually gave textual birth to what is now 12 pages of just security regulations alone—everything from camera placement to alarm system installation. Failing to meet even a single one of these rules, such as not having a battery backup of at least four hours, can potentially shut down an entire operation.

Professional Services

Hiring security professionals is a must, but when bigname companies like ADT announced that they would not provide service for Cannabis facilities based on their illegality in the eyes of the federal governemnt, it left a gap

Cannabis Product News | Premiere Issue

in a vital part of the industry. Many privately-owed security companies rushed to fill in this gap with assurances to pass inspections, but not very many were able to deliver. Having helped state legislators write the security requirements for marijuana businesses, Denver-based Canna Security America is one of the leading Cannabis industry security companies to emerge. Originally of Envision, a security firm that set up systems for popular restaurant chains, Dan Williams and several partners are able to provide a service that other companies either refused to or could not. They also offer brand-name CCTV and smartphone remote accessibility. But their success goes beyond top brands and cool gadgets. The fact that the experienced team knows every step to take in order to meet MMED standards is a major reason the company continues to grow. They understand that the marijuana industry has unique monitoring needs due to the way it is forced to operate—with lots of cash and high-value product on hand. And considering the amount of handling involved—from growing, trimming, weighing, transporting, testing, and even displaying—Canna Security America comprehends all too well the higher risks of internal theft. To prevent such shrinkage, any marijuana or marijuana product that enters or exits any dispensary, lab, garden, or production facility is tracked from “seed to sale.” This also insures that there aren’t pounds of pot leaving dispensaries and making it across state lines—a major concern for those in opposition of the industry. But Colorado was just the start of what has quickly become a lucrative business. As of now, nine states have fully operational dispensaries. A handful of others are expected to open up shop soon, including Illinois. Each state has different security requirements, with recreational establishments mandated to have the most stringent.

Geographic Expansion

Washington, and more recently Oregon (which will sell recreational marijuana through dispensaries starting on October 1 of this year), were the next two states after Colorado to open pot shops to the general public. Of course, the best place for these dispensaries to search for security service providers is locally, and the Pacific Northwest has certainly generated its own brand of specialists. Companies like CannaGuard Security, which are adept at OMMP and

I-502 compliance, guarantee inspection approval the first time around, every time. In terms of video security, the company provides highquality video monitoring systems at the minimum camera resolution of 640 x 470 pixels, with 24-hour recordings at 10 frames per second, as obligated. For extra protection, they also offer infrared, dome, fixed lens, and pan/tilt cameras that can capture images without blind or dark spots. Video systems can be integrated with alarm systems to further protect from outside forces, as in with “crash and smash” scenarios. Whereas burglars used to be able to break in and literally smash alarm panels in order to disarm them, “crash and smash protectio tells the monitoring company every time an alarm system is armed, every time a door opens, and even which door it is” explains Barb Alderman, CannaGuard’s Marketing Director. Couple that with high-tech IP compatible equipment and it becomes absolutely impossible to exit a marijuana facility without leaving a trackable trace. Like any other successful business, the reported companies have expanded to meet the security requirements of other states outside their own. They, like the rest of the nation, have their eyes on where regulated markets will spring up next. Their eyes just happen to be constantly recording. n Diana Campos is a Texas native, and her articles have appeared in Texas Marijuana Magazine and Sativa Magazine. A cannabis enthusiast through and through, Diana spends her free time at Houston NORML events and traveling to marijuana-friendly locations both in this country and internationally.

Resources Canna Security America 4704 Harlan St. Ste. 511 Denver, CO 80212 (888) 929-4272 CannaGuard Lake Oswego, OR Tel: (884) CannaGuard (844-226-6248) www.cannaguardsecurity. com Kastle Systems www.videoguarding.com Mid Atlantic WASHINGTON, DC 6402 Arlington Blvd. Falls Church, VA 22042 Tel: (703) 528-8800 Fax: (703) 528-2103

Philadelphia PHILADELPHIA, PA 2325 Fairmount Ave. Philadelphia, PA 19130 Tel: (215) 232-3700 Fax: (215) 232-5550 Southern HOUSTON, TX 3121 Richmond Ave. Houston, TX 77098 Tel: (713) 528-2700 Fax: (713) 620-6770 DALLAS, TX 15950 North Dallas Pkwy. Suite 400 Dallas, TX 75248 Tel: (214) 638-8111 Fax: (214) 951-8165

CannaProductNews.com

Best Practices

Finance

Critical Considerations When Starting a Cannabis Business Challenge: Complying with all state laws when operating a legal Cannabis business or related ancillary business, and setting up the business to receive the maximum protection possible. Solution: Hiring a local team of professional Cannabis-friendly service providers in the areas of law, accounting, marketing, advertising, and real estate. By Crystal Huish, CPA, CGMA Count Cannabis, Colorado

hether you’re in the planning stages of starting a new Cannabis business or already opened your doors months ago, proper financial planning is essential for anyone hoping for success in this industry. Here are a few things to consider.

Cannabusiness or Ancillary Business?

Do you plan to “touch the plant,” or are you providing “ancillary” services? Don’t take this too literally. Touch the plant is a common phrase in this business, and it’s generally meant to imply that a business is selling Cannabis, be it wholesale, retail, flowers, extracts, or pastries—anyone selling Cannabis. The phrase is not intended to describe businesses that physically touch the plant, like a delivery service or testing facility, but do not sell the plant. If you are thinking of providing products or services to the Cannabis industry but are not selling Cannabis, then you are considered ancillary. Some examples include operating grow and dispensary cleaning services, creating/ selling lights for grows, and providing consulting services to Cannabis-related businesses. Ancillary services, while usually not in any violation of state or federal law, should still proceed with caution when considering doing business in the Cannabis industry. If your business or profession is licensed or registered through a state regulatory agency, check in with that agency to make sure that providing products or services to businesses in the Cannabis industry is not going to be considered a discreditable act. Even if Cannabis is legal in your state and the licensing regulatory agency has indicated your license will not be revoked if you provide products or services to the Cannabis industry, there are still considerations you should make before finalizing any transactions. The 1970 Racketeer Influenced and Corrupt Organizations (RICO) Act allows for criminal penalties and civil lawsuits to be brought against any person or business found to be aiding and abetting a

Cannabis Product News | Premiere Issue

criminal enterprise. In other words, your business could be at risk, even if you aren’t selling Cannabis, if you are involved with or the prime target of a racketeering claim. This can include landlords, accountants—the list goes on and on. Just recently, 420Intel and Marijuana News published an article about this very concern. If your business does sell Cannabis, then you should be aware of, and at least to some extent prepared for, potential legal and/or IRS scrutiny. For this reason, it is important to find an experienced lawyer and accountant in the Cannabis industry. This is critical. Even if you’re an ancillary business, it’s important to have knowledgeable representation. The main point I want to emphasize in this first installment of my financial management column is the importance of hiring a team of professionals to help manage your business.

Protect Yourself

This industry changes every day, and it’s difficult to keep up, even in your own vocation, let alone complex practices like law, accounting, marketing, advertising, and real estate. If you’re not educated and experienced in those areas, save yourself some time and money and hire professionals. The price you pay for these services may induce sticker shock,

This industry changes every day, and it’s difficult to keep up, even in your own vocation, let alone complex practices like law, accounting, marketing, advertising, and real estate. but the price you might pay for not having professional assistance to guide you may dwarf any $5,000 legal bill. This is not a do-it-yourself industry. There are too many unknowns and too many changes occurring. And let’s not forget—Cannabis is still illegal at the federal level. Professional help is mandatory. Once you do have professionals to guide you through the unknown, have them help you establish your business in a way that will give you, as an individual, and your other stakeholders or business owners, the most protection possible, while still providing the flexibility your business needs. In most cases, I recommend businesses in the Cannabis industry set up as a C-corp to allow for the most protection. However, I have set up businesses as S-corps, or even LLCs, and that’s okay—doing so made sense for those businesses. There isn’t one right answer in this industry, or even a five-step simple blueprint for all to follow. Save yourself the headache of trying to learn all the intricacies and locate professional help, preferably a local professional who is familiar with the state laws and regulations of the state in which you do business. Stay tuned to Cannabis Product News and this column for regular information about accounting, finance, and compliance. n Crystal Huish holds a Master of Business Administration in Accounting. She is a Certified Public Accountant (CPA), Chartered Global Management Accountant (CGMA) and a member of the American Institute of Certified Public Accountants (AICPA). Crystal is an independent consultant working exclusively with the cannabis industry, nonprofit organizations, and small businesses. She has worked in the accounting field for over 14 years, with an emphasis on management accounting and auditing (industry perspective). If you have a Cannabis-related financial management question for Crystal, please email her at crystal@ countcannabisllc.com

CannaProductNews.com

Products and Services Showcase

Cash Management, Cultivation, Extraction, and Marketing Solutions t

Jane Denver, CO

Despite state legalization, marijuana remains illegal under federal law, and federally regulated banks will not serve marijuana-related companies. Consequently, even licensed dispensaries lack basic access to financial services. Today, most marijuana-related businesses exclusively accept cash for payment, creating huge safety risks and tax-collection problems. Because of this, unacceptable incidences of violence and money laundering can result from high volumes of cash in licensed marijuana-related businesses. Introducing Jane, the cash management solution for marijuana retailers. Jane is introducing a new and innovative way for businesses to manage cash by allowing consumers to perform financial transactions via self-service kiosks, mobile phones, and online. Combining expertise in software development, industrial kiosk design, marketing, finance and operations, Jane kiosks provide an array of products and services with customer support that is unmatched in the industry. Compliance: Jane promotes transparency and compliant financial relationships with customers and financial institutions. Accountability: Jane establishes checks and balances for accounting, banking, and IRS reporting. Safety: Cash will no longer be visible or accessible to potential thieves. Efficiency: No more time-consuming cash reconciliation at the end of the day—all transaction reports are automated, and every dollar is accounted for. Increased Revenue: All cash payments take place through Jane, giving employees more time for selling and order fulfillment. No more long lines at peak hours to deter buyers that are in a hurry! Security: Jane secures your data with multi-level data encryption on an ultra-secure hosting platform. Jane: Compliance you can bank on. For additional information, contact: Jane Tel: (844) 526-3420 • Email: sales@trustjane.com • www.trustjane.com

IntelliChoice Energy • Las Vegas, NV

Natural Gas Heat Pumps IntelliChoice Energy, LLC (ICE), is the exclusive distributor of the NextAire™ line of natural gas heat pumps (GHP) that come in both 8-ton and 15-ton models. Headquartered in Las Vegas, Nevada, ICE markets its product line throughout most of the country. The environmentally friendly NextAire products are multi-zone GHPs that enable users to maintain individualized temperature settings in up to 33 unique zones. These GHPs are manufactured to extremely high quality standards, with the 8- and 15-ton units manufactured by a subsidiary of Toyota Motor Corporation. The units deliver significant operating cost savings by utilizing natural gas instead of electricity as their primary energy source. As legal Cannabis continues to be the fastest-growing industry in the U.S., and an increasing number of marijuana growers move their cultivation sites to large-scale facilities where growing can be done in a controlled environment, the advantages of the NextAire natural gas heat pumps are quickly making it the standard within the marijuana industry. For additional information, contact: IntelliChoice Tel: (844) 261-0600 • Fax: (702) 815-0604 • Email: info@iceghp.com • http://iceghp.com

Cannabis Product News | Premiere Issue

Precision Extraction Royal Oak, MI

When it comes to extraction technology, nowadays, bigger is definitely better. Meeting the growing demand for large-scale production of highquality extracts, the PX40 recently was introduced by Precision Extraction Solutions. The Detroit-based manufacturer of botanical extraction systems is known for its revolutionary PX1 and PX2 extraction equipment models, affectionately referred to as “The Judge” and “Defender,” respectively. The PX40, fittingly dubbed “The Executioner,” can efficiently process up to 40 pounds of material per run, making it the world’s largest light hydrocarbon extraction system. While the PX40 is quite the processing beast, perfect for production aimed at processing in excess of 150 pounds of material per day, it also comes equipped with the most advanced and essential features. The unit includes double-jacketed, vacuum-insulated vessels to ensure efficient and effective operation. The PX40 also features fully automated temperature regulators, allowing the end user to have complete control over the extraction process. And with increased regulations, the PX40 can thankfully be configured to meet ASME, NFPA, and IFC codes. Additional information about the PX40 and other Precision Extraction Solutions products can be found at precisionextraction.com.

The Cannabis Marketing Lab

t San Luis Obispo, CA

The Cannabis Marketing Lab provides services in the areas of graphic and website design, search engine optimization, digital media strategy, content writing, email marketing, photography, and videography. The company believes in covering all the bases with its marketing strategy and will let media know your company’s latest news to set you apart from your competition—and much more. Within the rapidly growing Cannabis industry, it’s vital to do whatever you can to stand out in the crowd, and the Cannabis Marketing Lab will help ensure that you do. The Cannabis industry is growing at a rapid pace right now, with no sign of letting up. Professional marketing is essential. In order for your business to succeed and grow its client base, you need a well-planned and proven strategy. Consulting with The Cannabis Marketing Lab team could provide you with a roadmap to success. For additional information, contact: Celeste Miranda celeste@theCannabismarketinglab.com • Tel: (805) 744-2424 http://theCannabismarketinglab.com

Tell Us About Your Product or Service! Do you have a product or service you’d like to see profiled in Cannabis Product News? We want to hear about it! Please contact Editor Phil Samuelson at phil@cannaproductnews.com or mail your product description release and a hi-res image (300 dpi or higher) to: Apogee Business Media, c/o Phil Samuelson, P.O. Box 88421, Colorado Springs, CO 80908-8421.

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Feature | Product of Choice

Vaporizer Innovation

By Chad Lott, California

Growth in the extracts market and increasingly popular nonsmoking alternatives to Cannabis consumption have driven the vaporizer industry forward.

he world has seen a revolution in consumer behavior driven by the smartphone. Whether you’re an iPhone user, Android user, or some crusty curmudgeon with a rotary phone, your life is being touched by this ubiquitous technology. Keeping pace with technological innovations coming online for Cannabis businesses will be key for anyone with a desire to be successful at scale. Computer-controlled greenhouses, advanced LED lighting systems, and accurate genetic testing are all set to revolutionize this growing industry. For consumers and retail-focused entrepreneurs, the advancements in vaporizer technology are quickly becoming one of the most significant. Longtime smokers seeking healthier or stealthier methods of ingestion are adopting vaporizing in droves. New users, especially millenials, lacking artisanal stoner skills like joint rolling, bong operating, and apple-pipe carving are going straight to vaping as the devices become sexier and easier to operate. They’re here to stay, and they’re getting more popular every day.

Marketing

miVape Vaporizer by Vaporfection Known for their cutting-edge flagship desktop unit, the viVape, the time has come to welcome their highly anticipated, truly pocket-sized portable vaporizer: the miVape. Over the past year, Vaporfection has been hard at work on the design in development stages, meticulously testing the miVape and making all the final tweaks and adjustments. Now, the time has come to introduce this technically advanced, ultra-portable, uber-stylish pocket vaporizer—one that offers its users some of the cleanest and clearest vapor ever produced. For additional information, visit http://www.vapornation.com/ mivape-vaporizer.html.

Cannabis Product News | Premiere Issue

VaporNation, one of the largest retailers of vaporizers in the world, has a very well-curated selection. Their marketing director, Greg Gaston, proudly claims, “We have the largest selection at the best prices. We’re trying to blaze a trail as one of the leaders in the industry.” The lion’s share of their sales is captured through wholesaling to vape shops, tobacco shops, and dispensaries. Direct online retail accounts for about 30% of their business. Their marketing efforts include a series of well-produced videos on YouTube. Their humorous reviews and instructional content leverage the popularity of shareable media. YouTube is actually the fourth most popular search engine site and a major entry point for new users exploring Cannabis culture. Gaston says, “We want to sell product, but at the same time we recognize there’s a lot of entry-level consumers out there, and we want to provide them with the best information to educate them on what vaporizers are available and how they work.” ACCUVAPE’s director of operations, Hilary Dulany, also sees value in producing videos. Hers are designed to appeal to new users, especially women. Dulany’s background is in marketing, and running focus groups has revealed a lot about the rising number of female Cannabis users. When polled, it turns out most women are not super excited by trends like dabbing. “They hate it,” Dulaney says. “They think it’s dirty; they’re worried about lighting their hair on fire.” Using torches reminds many of smoking freebase. Stories of Richard Pryor setting himself on fire come to mind. Women also appreciate sleek design. “We believe vaporizers should look cool, work great, be affordable, and not end up in the junk drawer,” Dulaney says. Like many involved in the world of Cannabis, she has environmental concerns and hopes to keep as much plastic out of landfills as possible.

Ascent Vaporizer by DaVinci Made by DaVinci, the Ascent Vaporizer represents the latest in vaporizer technology. This unit features a digital temperature-control system that allows the user to adjust the vaporizing temperature with ease and precision. The removable glass mouthpiece makes it easy to transport and ensures the best-tasting vapor because of its all-glass pathway. The Ascent Vaporizer was made using the highest-quality components and utilizes a ceramic heating element for producing top-quality vapor. It runs on two re-chargeable and replaceable lithium ion batteries that provide two to three hours of continuous use. Its sleek, compact design will appeal to vaporists on the go, and it can be used discreetly in almost any setting. For additional information, visit http://www.vapornation.com/ ascent-vaporizer.html.

Testing

ACCUVAPE’s solid concentrate pen, the C.Stick, has been tested extensively. They sampled over 150 of them through Women Grow, a female Cannabis entrepreneur group, and took in all of their feedback before going to market with an improved device. They have not had a single C.Stick returned. VaporNation enjoys an excellent reputation. “We do a lot of product testing and research,” Gaston says. “We definitely kick the tires and take things for a spin. You can cut a lot of corners in this industry, and there are a lot of companies out there making poor-quality knockoffs of good products.” ACCUVAPE’s Dragon is a dry herb vaporizer and one of the most popular for private labeling. It’s also one of the most copied. Cheap Chinese knockoffs have flooded the market, stiffening competition. Dulany remains optimistic. “This is the market, this is the reality, but people are drawn to our quality,” she says. Reflecting on Chinese products, she adds, “There are over 50 factories in one province in China, and all they do is make E-cigs and vaporizers. Anyone can go to China and order 500 devices and peddle them from the back of their trunk, but there are so many factors involved.” Quality control is vital. “We test samples all the time because there are always changes in factory management that can cause major fluctuations in device reliability,” Dulany says. “You have to stay on top of it.” Dulaney and her partner, an engineer, test products developed by other parties and make improvements to create better consumer experiences. Their newest venture is a novel refillable cartridge, the vaporizer component that contains the ingestible material. Unlike many manufacturers, ACCUVAPE’s existing cartridges have a very low fail rate, somewhere in

The Vapir Rise 2.0 Ultimate by Vapir Developed by Vapir, the revolutionary Vapir Rise Vaporizer is easy to use out of the box, and it’s fully functional with both dry blends and waxy oils. There’s no need to purchase additional parts or accessories to make the unit compatible with waxy oils; it already includes everything you need. Also, the Rise 2.0 has dual functionality where the user can enjoy vapor through the traditional whip system (one to five users at a time), or they can utilize the popular balloon-bag system. Plus, users can take advantage of the precise touch-pad control system to adjust both fan speed and temperature. For additional information, visit http://www.vapornation.com/ vapir-rise-vaporizer.html.

Vaporizers continued on page 14

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Feature | Product of Choice

The K-Vape Micro-DX Vaporizer by KandyPens Building on the overwhelming success of their original K-Vape series, KandyPens newest offering, the K-Vape Micro-DX, features everything users loved about the original K-Vape, but with advanced temperature control and a smaller, more portable design. The Micro-DX is one of the smallest portable herbal vaporizer on the market. It offers true convection technology by heatig herb below the point of combustion without making contact with the heat source, resulting in a true vaporizing experience with zero combustion and no smoke. The Micro-DX can be set to 80 different temperature settings, anywhere from 350° to 430° Fahrenheit, by way of the easy to use +/- buttons and digital OLED display. For additional information, visit http://www.vapornation.com/kandypens-k-vape-micro-dx-vaporizer.html.

The Arizer Air Vaporizer by Arizer Looking to find the same success they had with the Solo, Arizer has created a brand-new portable unit. The Arizer Air features a first-rate ceramic heating element and high-quality rechargeable lithium batteries. Featuring an ultra-compact lightweight design, a rechargeable and interchangeable battery system, efficient vaporization, additional accessories, and five levels of heat settings, this is a must-have for the vaporizer enthusiast on the go. For additional information, visit http://www. vapornation.com/arizer-air-vaporizer.html.

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the 1% to 2% range. The new design addresses industrywide issues with leakage and air-chamber flow. Current refillable cartridges require a vacuum to work effectively. If you don’t pop the stopper back on within about 8 seconds, it can fail, ruining the device. The window is even shorter with runnier materials. The new cartridge will be able to handle a range of viscosities. Many concentrate companies consider the cartridges completely disposable. “I don’t like promoting disposable products,” Dulaney says. “I have a friend who sends me pictures of E-cig batteries she finds on the beach. It’s terrible.” This type of innovation isn’t as enticing as, say, a new titanium handheld vaporizer design, but it’s the sort of thing that can dramatically shift an industry. Cannabis companies have a unique opportunity to come online with better solutions for the environment. If the industry seeks to appeal to the millennial demographic, green design will be a major differentiator. ACCUVAPE’s cartridges will be a good solution for new and established players in the concentrate industry hoping to draw a conscious consumer. Though ACCUVAPE is probably a little more active on the development side, VaporNation is also heavily involved with designers. “We work with a lot of engineers who come to us and ask good questions about what we want to see and what users are responding to,” Gaston says. There’s always room for something truly innovative and new, but reliability is perennially in style. “User ability and functionality are number one,” Gaston says. “We don’t carry any products that would give us a bad name. Second is marketing and brand exposure.” Awareness of brand is very important because the vaporizer industry is extremely oversaturated. As legalization spreads, the same will hold true for Cannabis. “It’s important to understand how to get the word out about your product when there are 20 other guys doing the exact same thing,” Gaston says. He points to Kandypens as an example. Their device looks identical to several other brands, but they are crushing sales. Gaston has a lot of admiration for them. “As a marketing director, I have to really admire how much they’ve grown their brand in such a short time,” he says. “I enjoy working with them, and their products are fantastic.”

go.pen Plus by O.penVAPE The go.pen Plus is a load-your-own-concentrate portable vaporizer pen. It comes with two ceramic wax atomizers, an oil tank, a dabber dish, a retractable charger, a dabber tool, and three silicone mouthpiece covers. Available in five different colors, the go.pen Plus also comes with a new, more-powerful 4.2-volt battery that offers a 25% stronger hit than the original go.pen and a two-second longer puff. The on/off locking feature means the user won’t vape his or her pocket or purse, and, like all O.penVAPE pens, it comes with a lifetime warranty on the battery. Replacement atomizers are available. The go.pen Plus is not intended for use with dry herbs. It’s a load-yourown-concentrate vaporizer pen and does not work in conjunction with pre-filled O.penVAPE cartridges. This product is intended for use with essential oils and herbal extracts in states where the sale and consumption of such oils and extracts are legal. For additional information, visit www.openvape.com.

Gaston admits to having some personal favorites when it comes to vapes. “I really like the Arizer Air and the Ascent by Davinci,” he says. “Both have solid functionality and all the bells and whistles people like.” Gaston also likes the Vapir Rise. It’s a desktop vaporizer you can use with whips (basically a length of tube with a mouthpiece, sort of like a futuristic hookah) or a balloon bag. It’s essentially a more affordable option to the enduringly popular Volcano by Storz & Bickel. For at-home use, the Volcano is the reigning champion of most “best of” lists. It’s a forced-air vaporizer, which means there’s an internal fan that pushes the vapor upward. The Volcano captures the vapor in a balloon bag. Once inflated, it can be enjoyed and passed around much like a joint.

Looking to the Future

Industry trends indicate that the biggest market growth will be in portable vaporizers like the Pax. This vaporizer is, in many ways, the brand to chase. Engineered by Stanford graduates based in San Francisco, it was designed to be stylish, discreet, and appeal to tech-savvy users, just like the iPhone. Their newest version, the Pax 2, is an absolute joy to use. Delta 9 is another company with an interesting product. Unlike the other companies mentioned, Delta 9 also produces high-quality Cannabis

O.penVAPE Fill Kit After nearly a year of tweaks and adjustments to get it perfect, the O.penVAPE FIY Kit is now in stock and available for purchase. The O.penVAPE product development team spent countless hours re-engineering and testing all components of this vape pen fill kit to ensure that it would provide the most efficient and consistent method for mixing, filling and vaping the user’s personal oil formulations. For the first time in history, consumers have the opportunity to create their own workable oil solution to load into their O.penVAPE portable vaporizer. With convenient features that make it easy to fill empty cartridges, store kit contents, and keep track of the O.penVAPE FIY Kit, it’s the perfect accessory for the connoisseur who likes to dabble in a little oil mixing. The FIY Kit does not come with pre-filled cartridges. Instead, the customer gets all the necessary components to produce an oil for its use. For additional information, visit www.openvape.com.

Vaporizers continued on page 16

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Feature | Product of Choice

The Atlas by Vuber Technologies The Atlas by Vuber Technologies is an efficient vaporizer best used to vaporize wax and oil-based essential oil extracts. The Atlas features a dual ceramic core wrapped in titanium coils. This heating core optimizes the taste and quality of the vapor being consumed while providing an efficient and long-lasting usage cycle. By utilizing dual heating core technology, the most viscous materials can be vaporized efficiently and effectively. By taking a quality-first design approach, Vuber has set a goal to provide the best-quality vaporization technology at the most affordable price. The Atlas consistently meets the expectations of connoisseurs while retailing at a price point that is affordable to all. The Atlas comes in a carrying case that includes an additional heating core, utility dab tool, silicone container, silicone suction cup, and USB charger in addition to the Atlas Atomizer top and 900 mAh battery. For additional information, visit http://vubervaporizers.com.

ACCUVAPE C.Stick ACCUVAPE offers “Medium-Specific” (dry herb, oil, solid concentrate) portable vaporizers at competitive prices, with lifetime warranties on the most vital parts of each unit. ACCUVAPE has built systems that make its products easy to sell, with easy-to-process warranties, leaving retailers and their customers extremely satisfied. ACCUVAPE believes in providing the best solution for each medium. Therefore, each unit ACCUVAPE sells is designed to do one thing, and do it very well. Compact, conservative, and affordable, ACCUVAPE vaporizers are meant to be simple in operation, with the least amount of moveable or breakable parts, which provides the best result for end users. They are easy to use, effective, and enjoyable. While small in size, the new C.Stick packs a big punch, with up to a 12-second draw. The oversized chamber is made of high-grade ceramic and titanium components, which make the extra-large atomizer extremely powerful and effective. Replacement parts for all ACCUVAPE models are available in-store and online. For additional information, visit http://accuvape. net.

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concentrates. The company took first place for “Best Vaporizer” for its Delta Vape at the 2015 High Times Cannabis Cup. The Delta Vape is an industrial-chic pen-style vaporizer with reloadable cartridges. It’s about as simple to operate as it gets and requires very little upkeep. For those looking for a new taste experience, Delta 9 offers seven different flavors of Cannabis, including Apple OG, Natural, Peach OG, Pineapple Express, Strawberry AK, Vanilla OG, and Wake & Bake.

Customer Service

With strong competition between what are all more-or-less good products, customer service is becoming a competitive advantage. “Making yourself available to your customer base is extremely important,” Gaston says. “Even if you’re the most seasoned vaporizer veteran, if you get a new product, you might have some questions about it.” Dulany is also a strong believer in accessibility and customer service. If you call ACCUVAPE between 9 a.m. and 9 p.m., you’ll get to speak to a real person, ready to answer any of your questions. “People are often shocked when I pick up,” Dulaney says with a laugh. “Like they weren’t expecting to get a human.” She believes it’s especially important to give new users the attention they need. The last thing you want is for a bunch of entry-level consumers having a bad experience and going out with a negative opinion of your brand. In the digital age, word of mouth travels fast, and reputations can be difficult to repair. Concentrate companies might be inclined to skimp on the devices

used to deliver their product, but this is dangerous, especially in a highly competitive market. If the device fails or leaks all over a customer’s clothing, you will take the blame, not the Alibaba.com factory this person ordered from. “Our business model addresses all the major complaints customers have with most fly-by-night vaporizer companies,” Dulany says. “We have excellent customer service; we offer unprecedented warranties and unmatched quality.” ACCUVAPE’s warranty is, indeed, impressive. If one of their devices breaks, they’ll send you a new one. They aim to have a “no-hassles” operation.

Moving Forward

Predicting which vaporizer will capture the biggest market share in the end is difficult. Think of cars. Everybody who drives has different needs, different budgets, and different lifestyle considerations. Some vape users need to be discreet, and some don’t. Some people like waxes and oils, while others prefer the natural flower. No matter what individual preferences are, as long as good functionality and quality are there, a demand will exist. While some people may still be unwilling to invest in what’s essentially a very advanced bong due to social stigma, people try Cannabis for the first time every day. Many will start with a vaporizer. Increasingly, this will become a branded experience, and if those who manufacture and sell vaporizers want brand loyalty, they need to make and stock a range of top models. To quote the poet Maya Angelou, “…people will never forget how you made them feel.” And, if anything, this industry is about making people feel good. n Chad Fred Lott is a business writer with a particular interest in the economics, science, and culture of Cannabis. He holds a bachelor’s degree in Rhetoric from the University of California, Berkeley, and has spent the last 10 years working on brand content and marketing strategy for the natural foods industry. Much of his time is spent in the San Francisco Bay Area supervising his two dogs, Nikki and JJ.

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Photo: James Fenczik

Cannabis Strains: Real and Imaginary Confusion sometimes surrounds the Cannabis industry’s ultimate product. Discover what goes into producing some of today’s favorite strains. By Paul Lembeck, Colorado

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Haze, Northern Lights, Skunk #1, Blueberry, New York Sour Diesel, OG Kush, Chem Dawg… Today, the flowers of these legendary strains and their famous descendants are found in labeled dispensary jars next to a dizzying array of other “strains.” Cannabis professionals, including budtenders, should have a basic understanding of what constitutes a Cannabis strain and what goes into breeding one before naming it—but many do not. Let’s look at what makes a strain and compare how the classics were created with how breeding is trending in several directions today. What is a strain exactly? In mainstream horticulture, the term cultivar (a combination of the words cultivated and variety) would be used to describe a Cannabis strain. In this context, a Cannabis strain is a lineage of plants descended from specific parents that are selected for favorable traits and that, when bred to each other, produce offspring that are very similar in appearance and other qualities. This similarity is what Cannabis breeders refer to as “stable” when describing their projects. Multi-generational stability is a crucial goal in creating strains; one-generation stability is the goal when creating a hybrid. That confusion between the two terms, and the labeling seen in some stores alluding to mixed indica/sativa phenotypes as “hybrids,” lies at of the root of the currently chaotic strain-naming situation.

Plant Breeding Basics

Let’s quickly review what plant breeding entails. Plant breeding is selectively manipulating gene frequencies in populations—increasing desired and decreasing undesired inheritable traits. This can be done on a very small scale between a few plants, or with acres of plants cross-pollinating. Hemp breeders work with very large numbers of plants, while medical Cannabis-breeding endeavors tend to work with a few plants. Hemp and resin-strain medicinal breeders create both hybrids and strains—but very differently. To visualize how manipulating gene frequencies by breeding works, imagine two glasses of colored liquid, one blue and the other yellow. The blue liquid is one stable population—a uniformly blue “strain” analog. The yellow liquid is a different genetically stable “strain.” Mix the two together completely—the equivalent of allowing a yellow and blue population to interbreed freely—and the resulting product is colored green. The colors are analogous to two genetic makeups—or genotypes—that have combined equally, resulting in a uniform first-generation hybrid. Imagine now that when the green liquid is stirred up and

left to settle, it suddenly differentiates into a large number of very differently colored yellow, blue, and green globules. The many different colors represent phenotypes and illustrate what happens on a genetic level when a hybrid is left to pollinate itself. Selecting one of those resulting phenotypes—a turquoise one, perhaps—and combining it with a similarly colored one would be the beginning of making a strain, or inbred line. Once repeated mating consistently results in the settled products being a similar shade of turquoise, it has become stable. If the turquoise color cannot be matched successfully with another, or is otherwise so immediately desirable that the grower wants to multiply it, the desired phenotype could be divided into many duplicate pieces—the equivalent of making clones. Interestingly, if the original green mixture were allowed to mix and settle repeatedly without interference or artificial selection, it would eventually shift its dominant shade until it stabilizes to suit its environment. This new overall color is analogous to what would be called a landrace—a naturalized strain adapting to its changing environment. Achieving desired breeding results with plants of the genus Cannabis is approached by two different methods that vary by scale and focus; the basic concepts are the same. Largescale Cannabis breeding—think industrial hemp—involves the physical separation and maintenance of large open-pollinated cultivar populations, which are used for specialty crops and also to breed with other cultivars of dissimilar but complementary genetics to make vigorous hybrids. This is agricultural-scale plant breeding, just like any other wind-pollinated crop. Cannabis breeding for the medical and recreational market is not based on normal agricultural selection constraints concerning industrial-scale farming: harvesting, storage, and processing of the final crop. The most important traits that are selected for in medical Cannabis are based on the flowers: cannabinoid content, terpene profile, cerebral and physical effects, density, and calyx-to-leaf ratio. These are the focal points of the modern marijuana breeder’s goals, not uniform seed size and oil content, pathogen resistance, even maturation, etc. Therefore, medicinal Cannabis breeding is actually a form of floriculture, and the breeding methods are modified from agricultural open-pollination to very selective pollination and intensive inbreeding practices widely used in developing specialty flower crops, such as roses. The end result of these breeding projects is often a clone, a single plant exhibiting such desirable traits that cuttings or tissue culture techniques are used to propagate it for greater yields of consistent qualities. Other breeding efforts strive to make predictably elite phenotypes available in seed form.

Above) One of the first U. S. Cannabis strains developed for the recreational market of the 1970s was the legendary Haze. Below) The Blueberry strain was created by well-known Cannabis breeder DJ Short. It can be found in the lineage of other potent strains such as Bubbleberry and Blue Dream.

Legendary Genetics

One of the first United States Cannabis strains developed for the recreational market of the 1970s was the legendary Haze. Haze was created in California by crossing Colombian, Mexican, Thai, and South Indian imported Cannabis strains over a period of several years by Santa Cruz-area growers (the Haze brothers) outdoors and in greenhouses to extend the season required for this long-flowering strain. Some seeds of Haze found their way to the Netherlands, where they were used in other breeding programs. Neville Schoenmakers performed the most notable breeding work with Haze during the Dutch era, and his resulting Neville’s Haze—a cross between Haze and Northern Lights backcrossed repeatedly to Haze—is widely used in breeding Strains continued on page 20

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Feature

White Widow gave rise to numerous well-known strains in the “White Line,” including Great White Shark and White Rhino. Photo: Chris Seaton

today. Most Haze crosses use Neville’s Haze as the parent. The common characteristics of Haze still exist in these lines today—the benchmark of a stable strain—while continuing to evolve in different directions, an inevitability due to the inherent nature of Cannabis to maintain genetic diversity. Northern Lights came from a similar storied history to most of the earliest strains. The most common account is that a man living on an island near Seattle bred a pure Afghan line that produced 11 select phenotypes. These 11 types made their way to the Netherlands where Mr. Shoenmakers and other Dutch breeders worked with them. Although all of the original Northern Lights family plants were pure Afghan genotypes, Thai has made it into some of the lines. Northern Lights is one the most successful strains of all time, winning Cannabis Cups year after year during the early Dutch Coffee Shop days. Northern Lights is still being line-bred and crossed with other strains today, a tribute to its outstanding properties and general combining ability with other strains. On the other side of the Atlantic, another breeding project took place between Afghan broad-leaf and equatorial Colombian thin-leaf genetics. In California’s Bay Area, a group of breeders worked with Afghan and imported

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North and South American strains. One project involved a cross between Colombian Gold and Afghani that was unstable. Though the project was scrapped, a special plant was reserved by a member of the breeding crew. This plant was the beginning of Skunk #1. Because the plants resulting from this individual were variable and difficult to finish at the latitude they were growing in, they were crossed with a more northern sativa from Mexico—the legendary Acapulco Gold—with the prototypical Skunk, and the stabilized result was Skunk #1. This project was notable because established breeding practices used in agriculture were being applied during this time. Some strains are iconic, as are some of their creators; DJ Short certainly fits that bill. No other Cannabis breeder has been as transparent and self-documented as Mr. Short, and his writings on Cannabis breeding—and the cerebral effects he breeds for—are timeless classic reads. His writings are detailed explanations of his meticulous record-keeping method and the specific procedures used to create his best-known creations: Blueberry and Flo. Short stresses the importance of choosing parent plants from stable populations of first-generation (f1) hybrids made between stable strains as parental stock. Plant breeding is a

The Role of Clones in Breeding and Naming The use of clones in mainstream horticulture is very common. Most ornamental plants sold at nurseries have labels with the common name and a more specific clonal name, for example: Rose “Peace.” Often these plants are vegetative clones more commonly known as cuttings. “Clone-only” in Cannabis breeding means there are no seeds available, only elite female phenotypes propagated by taking cuts. Clones can be induced to make male flowers by subjecting a plant to stress or applying chemical/hormonal sprays. The resulting pollen can be used to make seeds, which are predominantly female and—by their very method of genesis—instantly inbred. These can be bred to great effect by crossing with a genetically distant strain for hybrid vigor. They can also stunt growth if used with a very similar mate, a phenomenon known as inbreeding depression.

Querkle resulted from a Purple Urkle x Space Queen cross. It’s known for its beautiful coloration, potency, and grape/lime flavor. Photo: Chris Seaton

numbers game, and Short had access to relatively large numbers of individuals from which he could take selections. To stress the importance of working with large numbers, consider this: If a breeder were tracking just six inheritable traits that have different alleles for those traits (heterozygous), 729 resulting genotypes are possible, and the breeder would need to grow a minimum of 4,096 different plants in the f2 generation to have a chance of all of them occurring. With the steady decline in outdoor growing and a surge toward indoor growing, the ability to perform breeding work with large numbers of plants has decreased accordingly. Two strains that are very closely related, New York Sour Diesel and Chem Dawg, had been sourced from indoor grow projects. The two

Naming is tricky. Should we be using the strain name or a clone name when describing different phenotypes and clones? One regrettable trend that is emerging in Cannabis cultivation is for a warehouse grower to grow out seeds of a strain—Super Lemon Haze, for example—and select a choice phenotype to clone. The grower decides to call his clone “Lemon Zest,” and labels the jar in the shop accordingly. This makes a confusing situation even worse. Perhaps a naming standard that reflects the parentage of the clone would help. One way that practice could look is this: Cannabis Super Lemon Haze “Lemon Zest”™ … thereby acknowledging the original genotype while protecting the grower’s own elite creation with a trademarked name.

Strains continued on page 22

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Feature Cannabis strains are inbred, interbred, and backcrossed repeatedly in breeder grows. The same genetics can be reshuffled multiple times with varying results.

are descended from a population of plants from the West Coast of the U.S. A pound of what was called “Dog Bud” by the sellers was distributed at a Grateful Dead show, and one of the buyers got 13 seeds in a bag. Those seeds eventually made what was to become New York Sour Diesel and Chem Dawg. Both have a sharply distinct taste and aroma, with a great high. One artifact of the indoor growing boom was the decline of seeds as a genetics source, and Chem Dawg “D” is only seen as clones of the original plant. Male plants are a liability in an indoor grow, used only to make more crosses, and Chem Dawg and Sour Diesel are seen as clone-only usually—though they have been treated at times to make feminized pollen, and feminized seeds are available. As female breeding plants, the clones have been used many times. There is no better example of strain-naming confusion than OG Kush. The original version(s) were undoubtedly related, but today the Kush moniker is applied to a dizzying array of “strains,” many of which likely have no real link to the original concept of OG Kush.

Strain Names and Marketing

Cannabis strains are inbred, interbred, and backcrossed repeatedly in breeder grows. The same genetics can be reshuffled multiple times with varying results. I can safely say that almost every flower variety in a Cannabis shop shares common and recent ancestors with those inside jars on the same shelf. Yet they’re different from each other in subtle or not-so-subtle ways, and those can be classified into general and understandable families—just as styles of beer fall into different categories. All true Haze-heavy plants, whether elite clones plucked from a breeding project or meticulously maintained pure lines, should have the Haze aroma, taste, and effect. The same is true for the Chem/Diesel family. If a flower smells and tastes like Chem Dawg or Sour Diesel, then that’s the category where it belongs—not simply because it has the words “Chem,” “Dawg,” “Sour,” or “Diesel” in its name. The descriptor “Sour” shouldn’t have more weight in the explanation of the strain than its actual

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aroma and taste. Indicas and sativas, regardless of their different taxonomy, can be—and usually are—thoroughly intertwined in many of the flowers available today. With breeding, it’s entirely possible to get a plant that combines a sativa plant structure with an indica chemo-type. There is not as clear a distinction today as when there were many landrace indicas and sativas to compare. It might be helpful to think of different clones or true strains as a specific brewery’s stouts, lagers, and ales; they have varying ratios of hops and malt, just as Cannabis has varying chemical compositions that are distinguishable enough to classify certain strains together. With the advent of legalized medical and recreational Cannabis in many states, new “strains” are seen every day. This can pose challenges for aspiring Cannabis professionals. What’s the best way of providing useful and accurate information to customers without overwhelming them or confusing them with lingo when new flower varieties appear in stores? Cannabis professionals, including those in the retail sector, may want to consider the perspective of their customers when making “strain” descriptions and recommendations. Instead of a rambling explanation like “This is a really new strain our grower just made called ‘McTasty’ that’s a triple backcross sativa-indica hybrid outcrossed with a local Sour OG, so it’s possibly related to Sour Diesel—sure smells and tastes like it,” they may want to opt for this easy-to-understand alternative: “This flower is a new Diesel type, with its own subtleties, as well. If you prefer the effects of Diesel crosses, this is an excellent one to consider.” As a Cannabis professional, it’s important you understand the logistics involved in producing Cannabis strains, breeding specifics, and naming conventions—as having that knowledge will help you better meet your customers’ needs and expectations without adding confusion to the mix. n Paul Lembeck is the industrial hemp breeder at Global Heritage Seed Company. Paul is an enthusiastic Cannabis cultivator, breeder, and researcher who finds the genus very fun and gratifying to work with and write about.

Feature

Patent Cannabis, and Trademark, Too By Tony Marshall and Jeremy Hanika, California

Yes, that’s right. The United States Federal

Government is issuing patents and trademarks for Cannabis products and services, with a few exceptions. While it’s one thing to say that it can be done, this article will help you identify and take the necessary steps to protect your Cannabis intellectual property.

Step 1: Identify Intellectual Property

As patent and trademark attorneys specializing in Cannabis technology, our first move is typically to help our clients identify which assets can be protected. Cannabis business assets generally fall into four broad categories: brands, inventions, business strategies, and artistic expressions. Trademarks. Brands are usually expressed in words, logos, and other identifying characteristics of your product, service, or packaging. While words, images, and slogans are typically trademarked, other characteristics, such as the shape, color, texture, smell, or taste of your product, service, or packaging, can also be trademarked. Patents. Inventions, such as newly crossed and purified strains, devices used to cultivate and consume Cannabis, mobile applications, extracts, extraction processes, treatments, designs, and other uses, can all be patented as long as they are novel, non-obvious, and have not been disclosed to the public more than one year ago. Trade Secrets. While some business strategies are patentable, they often are best kept as a trade secret, as are customer lists, recipes, and the formulas and techniques used to grow specific strains. Copyrights. Algorithms are also patentable; however, the code that drives Web applications is copyrightable, along with phrases, sounds, and other works of art.

Step 2: Registering Federal and State Trademarks

Selecting the correct government agency to file for a trademark is fairly straightforward and begins by asking yourself if you are selling marihuana or hemp. Hemp. Hemp refers to products containing less than 0.3% THC by dry weight and can receive federal trademark registration. Under the Controlled Substances Act (CSA), hemp products containing fibers, seeds, and oils can be trademarked, while CBD-type strains cannot, as of now. The Charlotte’s Web Medical Access Act of 2015, which is pending congressional approval, would remove hemp

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from the CSA entirely. This bill would create a national market for hemp-type strains, rather than just their fibers, seeds, and oils. Marihuana. Marihuana is a term of art contained in the CSA that is used to differentiate Cannabis products that contain greater than 0.3% THC. These THC-type strains cannot be federally trademarked since there is no U.S.-sanctioned national market for marihuana. Nevertheless, broad geographical protection can be obtained by registering your trademark in states where, at the very least, the use of medicinal Cannabis is authorized. Common Law Trademarks. Use of a brand or logo in commerce grants a Cannabis business owner common law trademark status, without the expense of registering your mark with the federal or state government. Nonetheless, registration of a trademark offers quite a bit more protection than a common law trademark. For instance, common law trademarks protect your brand only in the limited geographical territory where you do business. If you want to expand into other regions, you could be blocked by someone who is using your same mark in a different part of the state. The broad geographical protection of a state or federal trademark is always preferred and will be useful in attracting investors.

Step 3: Patenting Inventions

Public Disclosure. If you have an invention you would like to protect, you need to establish when you first showed your invention to the public. It could have been at a Cannabis Cup, convention, or conference; it could have been featured in an article or advertisement that was posted online or printed in a magazine. If you did make such a disclosure, you have one year to file, or you may be barred from obtaining a U.S. patent. Internationally, public disclosures may prevent you from obtaining a patent in most countries. Provisional Patent Applications. A provisional application provides Cannabis inventors an early filing date for their invention; however, it does not become a “real” patent unless a non-provisional patent application is filed within one year. This one-year period enables Cannabis in-

cooperation agreements, and non-disclosure agreements. Access to these documents should be restricted to only those individuals who are furthering the business’s purposes. Disclosures to parties outside the company, such as venture capitalists, investors, and business partners, must be preceded by a non-disclosure agreement. Damages. Any dissemination of trade secrets to persons outside the company without authorization may result in damages for trade secret misappropriation. All employees of a business should sign confidentiality agreements that safeguard trade secrets, regardless of their employment status.

Step 5: Copyrighting Software Applications

ventors time to perfect their invention or test its commercial viability without incurring the expense of filing and prosecuting a non-provisional patent application. In addition, provisional applications provide inventors the right to mark their products “patent pending.” This mark provides notice to potential infringers of a product’s patent status, which will be useful if the inventor files a patent infringement lawsuit. Non-Provisional Patent Applications. There are three types of non-provisional patent applications: utility, plant, or design applications. After filing a utility, plant, or design patent application, the United States Patent and Trademark Office (USPTO) will review the application, conduct a prior art search, and either allow the application or issue an office action. This process is called examination and can take a number of years. Once granted, patent protection lasts 20 years for utility and plant patents and 15 years for design from filing date of the application. International Patents. The United States is not the only Cannabis marketplace available. Canada and Spain are just two examples of countries with burgeoning Cannabis industries. If you have international aspirations, you should consider filing a Patent Cooperation Treaty (PCT) patent application. A PCT application allows an inventor to file one patent application in multiple countries, cheap and easy.

Algorithms v. Code. While algorithms that are executed by software applications can be patented, the code itself can only be copyrighted. However, you don’t have to register your work to get copyright protection. The moment your code becomes fixed in a tangible medium, copyright protection applies for the life of the author, plus 70 years. Copyright Infringement. Registering a copyright within three months of publication maximizes the damages you can collect in an infringement suit. Once registered, you can file your lawsuit without any delay. Owners of a registered copyright may seek actual damages in an infringement lawsuit, as well as statutory damages if the court determines that the infringement was willful. Step 6: Generating Income from Your Cannabis Technology Monetizing. Once you have trademarked your brand, patented you inventions, protected your business sensitive content with trade secrets, and copyrighted your code, you will be ready to monetize your intellectual property. This Patent continued on page 26

Step 4: Protecting Trade Secrets

Trade Secrets. Intellectual property that cannot, or should not, be protected with patents and trademarks can be protected as trade secrets. In the Cannabis industry, strain-specific growth formulas, recipes, and customer information are often best preserved as trade secrets. If properly protected, a trade secret may last indefinitely. Marking Documents. Under trade secret law, documents containing trade secrets should be marked as “controlled,” “confidential,” and “trade secret” and identified as confidential information in employment agreements, CannaProductNews.com

Feature can occur in five general ways: commercial use, business valuation, licensing, buy/sale, and enforcement. Commercial Use. If you intend to make, use, and sell your products or services, trademark certificates, patent grants, and trade secrets are key assets to establish, promote, and differentiate your business in the increasingly competitive Cannabis marketplace. Business Valuation. Intellectual property is a business asset. If properly protected, intellectual property assets can increase the perceived or actual value of your business. As the value of your business increases, so does your ability to attract funding from investors. Licensing. Some inventors are better innovators than entrepreneurs. For these individuals, the best course of action might be to license their technology. Licensing provides flexibility to trademark and patent holders, enabling them to generate money from their intellectual property without starting a business. A license can be exclusive or non-exclusive, and limited in geography and purpose. Buy/Sale. Ownership rights to intellectual property are transferable. Patents, trademarks, trade secrets, and copyrights can all be bought and sold. For instance, Cannabis Sativa, Inc. recently purchased a pending patent application for a medicinal plant strain. Enforcement. If a competitor is making, using, or selling your products, services, or brand without your permission and refuses to stop, you must file an infringement lawsuit to prevent the loss of your rights. If you are successful in your lawsuit, you will be able to recover actual damages and, possibly, statutory damages.

Disclaimer These materials are provided for informational purposes only and shall not be construed as legal advice and do not establish the basis of an attorney-client relationship. Please be aware that possessing, using, distributing, transporting, and selling marijuana-type Cannabis are all federal crimes, and the information we provide is not intended to assist you in violating federal law nor will they in any way assist you in complying with federal law. Hanika|Marshall LLP (H|M) advises that you consult an intellectual property attorney about your particular patent, trademark, and trade secret needs, as each case requires particular attention to details that cannot be conveyed in this publication. n

Tony Marshall is a founding partner of H|M and has prosecuted patents in the biotech, pharmaceutical, and mechanical arts since 2005. He has experience licensing and transferring technologies and managing global intellectual property portfolios. He has worked in biomedical laboratories performing scientific research in the fields of infectious disease, immunology, cancer, and cardiovascular disease. Tony obtained a Juris Doctorate degree from the University of San Francisco, a Master of Science degree in Microbiology and Immunology from Cornell University, and a Bachelor of Science degree in Biological Sciences from the University of California, Santa Barbara. Prior to founding H|M, Jeremy Hanika examined biomedical device and method patent applications for the United States Patent and Trademark Office. Prior to patent law, Jeremy worked as a litigator and organized Cannabis cooperatives in San Diego, California. Jeremy received his Juris Doctorate degree from New England Law in Boston, Massachusetts. After completing a Bachelor of Arts degree in Economics from Western Washington University, he served in the Peace Corps. Jeremy received a Bachelor of Science degree in Biology from the University of New Mexico and formerly served as public defender and criminal prosecutor.

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Cannabusiness Solutions

Edibles

The High Demand for Edibles

By Karen Marker, Michigan

Obstacle: State variances with edibles packaging and THC-content requirements in one of the fastest-growing segments of the Cannabis industry. Outcome: Compliance with all state regulations, stringent testing of THC content, and conservative brand packaging that does not appeal to children. Cannabis-infused candy bars are popular with recreational and medicinal Cannabis users alike. Although there are state variances regarding packaging requirements, the information provided for edibles should include product name, manufacturer, ingredients (as well as the type of infusion used and the amount of THC the product contains), amount of active THC per piece (if more than one) and package total, recommended dosage, and cautions like “Do not drive or operate machinery after consuming” and “Keep out of reach of children and pets.”

eginning with California’s medicinal marijuana legalization some 19 years ago, followed by the subsequent passage of recreational laws in other states, the popularity and use of edible marijuana products has skyrocketed. The edibles market is one of the fastest-growing segments in the Cannabis industry, making tasty Cannabis-infused foods and beverages a hot commodity that are in high demand. With this popularity has come change. There’s no doubt that edibles today are being made quite different than they were in the 1970s, ’80s, and ’90s, and along with changing production methods has come a wide array of edible products to choose from and the ability to easily access them. While the incredible growth in the edibles segment of the industry may have surprised some people, the reasons for edibles popularity are obvious. Many people prefer edibles over other forms of Cannabis because they have an aversion to smoking. Edibles are inconspicuous, and, as such, allow the consumer to simply enjoy or medicate without anyone’s knowledge. Other people can’t smoke for medical reasons, which makes edibles a safe alternative for consuming Cannabis. If asked when edibles became so popular, one would really have to give the question great thought. Not being able to pinpoint an exact date, a rough estimate would be over the past

five to eight years. One thing is for sure, though: Edibles are nationally relevant as they go hand-in-hand with all other Cannabis-related products and can be found in dispensaries and retail stores across the country in the states that have medical- or recreational-use laws.

State-to-State Variance

If you visit a medical marijuana dispensary in Colorado, you’ll notice there’s no ceiling regarding the amount of active THC allowed in edibles. However, if you visit a licensed recreational marijuana retail store in the Centennial State, you’ll notice a maximum cap of 10 milligrams of THC per dose. Public safety concerns spawned new rules for Colorado Cannabis, and new laws regarding edibles are bound to continue across the country in the future. As well as being one of the fastest-growing segments in the Cannabis industry, the edibles market has also proven to be one of the most problematic from a legal standpoint. Because of the attraction children have to candy and sweets—the core of the edibles market—packaging laws are important. As well as requiring packaging that doesn’t appeal to children, the THC level of package contents also varies. Using Colorado’s edibles laws again as an example, edibles sold by a dispensaries can have three 50-milligram THC cookies per package (each cookie is considered one serving); whereas, edibles sold

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in a recreational retail store cannot have more than ten 10-milligram THC servings per package. Regardless of the state, if there’s recreational or medicinal legalization, one thing should be the same: package requirements. Every label should have the following: product name, manufacturer, ingredients (as well as the type of infusion used and the amount of THC the product contains), amount of active THC per piece (if more than one) and package total, recommended dosage, and cautions like “Do not drive or operate machinery after consuming” and “Keep out of reach of children and pets.” If it’s a label for a medical state, “For medical use only” should be clearly stated as well as being within compliance of such states’ medical marijuana act/program. Some states, and even individual counties, have gone as far as stating that edible labels cannot be colorful or attract children in any way. Nor can they mimic storebought items. An example of state variances regarding edible requirements would be Sacramento, California, versus Ann Arbor, Michigan. Both are medical states, yet they have completely different edible requirements. Sacramento does not allow edibles that require refrigeration or hot-holding (see www. canorml.org/prop/EdibleCannabisRegulations.pdf). Baked products, such as brownies, cookies, and cakes, are okay if they’re labeled correctly in an opaque package with all of the

A large portion of the Cannabis edibles market consists of baked goods like dosage-sized cakes and pastries.

previously mentioned information. Michigan, however, has absolutely no specific guidelines regarding edibles or the packaging thereof!

Removing the Stigma

The stigma that hovers over edibles, which labels them as a dangerous way to consume Cannabis, must end. In order for this to occur, it’s imperative to educate the public. Newbies aren’t going to know there’s a significant difference between ingesting and inhaling Cannabis. When Cannabis is consumed by eating an edible, its Delta-9-tetrahydrocannabinol (or Delta-9-THC) travels through the stomach into the liver, where it is converted into 11-Hydroxy-THC. According

to The United Patient’s Group, it’s believed that 11-Hydroxy-THC is nine to 10 times more psychoactive than Delta-9-THC. When consuming edibles, it is important to start out with a small dose and allow at least 60 to 90 minutes to pass for the effects to begin to kick in. Then, if needed, increase the dosage accordingly. The effect of edibles lasts four to six hours, but up to eight hours is possible. Once people know their tolerance levels, they can determine dosage much better, but it’s always best to be safe by starting out with a small dose. The popularity of edibles is only going to gain momentum. Earlier this year, The Los Angeles Times reported

that edibles made up 40% of Colorado’s generated income from retail stores sales, with 2,850,733 individual edible units sold in 2014. Now that’s a lot of dough! We need consistency in order to legitimize the edibles industry. Proper education needs to be made readily available so people understand that edibles are not only popular, but also are a safe alternative to self-medicating—or for consuming simply for pure enjoyment. n At the young age of 10, Karen Marker witnessed firsthand the medicinal benefits of Cannabis when her mother was diagnosed with stage-four cancer. Although Karen’s mother ultimately succumbed to cancer less than a year later, Cannabis was able to ease her pain and give her the strength to visit with her entire family in her hometown one last time before passing. Although Karen is not a consumer of Cannabis, she plays an active role within the Cannabis industry. She works tirelessly to help end Cannabis prohibition, and also gains gratification from helping to relieve the pain of medical patients through her medibles company based in Michigan.

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Cannabusiness Solutions

Hemp

The Vital Role of Hemp in the Coming Age of Abundance Obstacle: Constraints preventing the utilization of a superior, environmentally friendly, cost-effective, sustainable industrial product (hemp). Outcome: State and federal legislation and public awareness that will reintroduce hemp as one of our country’s most important commercial crops. By Brandon Pitcher, Indiana Hemp Circle Industries

Bruce Ryan, Toronto CannaSystems

eter Diamandis has a radical idea. The coming age will be one of abundance—not for the few, but for the many, the bottom three billion people on earth. He focuses on the disruptive technologies rolling across our planet. The ancient practices of limitations and scarcity-thinking are giving way to a new paradigm that is transforming every segment of human civilization. In this department, we will cover numerous areas of innovation within agriculture, industry, and the inputs for a bio-based economy, and how they are being transformed by a disruptive crop: Cannabis—specifically industrial hemp. This one crop has multiple uses: food, clothing, fuel, shelter, health—all from the same farmland. But to start the series, let’s dig a little deeper into the thinking behind our work before jumping into the opportunities within Cannabis. Some people are quite concerned. What does it mean when wages, manufacturing, and jobs become “devalued?” How is anyone going to work for a living? Actually, this is the wrong question. The real questions become: “What will our planet look like when robotics, driven by information systems, can produce everything we need? Will classical working jobs be necessary?” Perhaps the role of humans will evolve into providing creativity in the form of music, writing, design, art, dance,

poetry, singing, gardening, sculpture, crafts, and painting. Very much like what Gene Roddenberry envisioned in a “Star Trek” civilization. Michio Kaku postulates that we are on the verge of becoming a “Type One” civilization, one where all our energy needs come from harnessing the sun, wind, and tides. New techniques to use our “waste” can generate abundance, real wealth, in terms of designing a sustainable circular economy. Judging from the creative innovations being designed by young people, the rEvolution is just beginning.

The Blue Economy

Hemp Circle Industries Founder and the primary author of this column, Brandon Pitcher, recently introduced co-author, Bruce Ryan, to the work of Gunter Pauli of www. theblueeconomy.org. A real eye-opener for Bruce, this boots-on-the-ground approach to building sustainable solutions from the “bottom up” for humanity is absolutely brilliant thinking! Instead of entering into high-competition mode with global commodity pricing, most of the innovative solutions involve transforming waste into revenue. One of the more startling projects was making paper out of stone—literally using mining-dust waste to create a product out of mine tailings that is 100% recyclable. This maintains woodland diversity and eliminates clear-cutting tactics for monoculture pulp and paper forests. Another project uses the waste from orange groves to produce household cleaners from the rinds and using seeds in high-protein bread. The oranges from the grove are turned into freshly squeezed juice for local hotels and resorts. Rather than driving the local economy into poverty with the lowest possible price, the circular economy creates jobs, value, and revenue in the local region. This works from rural farms to big cities.

Cannabis in the Circular Economy

As a building material, hemp fiber can be used in many ways. A variety of products such as bricks, fiberboard, and roofing tiles can be made from this sustainable and environmentally friendly product.

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Cannabis has great potential in the “blue” circular economy. This concept goes beyond “green” incentives that often contribute to higher costs for green solutions—compared to the hidden subsidies and environmental costs of petrochemical products. The growing of food, clothing, and shelter can help people create a sustainable, organic, net-zero carbon economy.

Cannabis Business Events October October 12-14 National Cannabis Summit Sheraton 1550 Court Pl. • Denver, CO 80202 http://www.nationalcannabissummit.com October 27-28 Southwest Cannabis Conference and Expo Phoenix Convention Center 100 North 3rd St. • Phoenix, AZ 85004 http://www.nationalcannabischamberofcommerce. com/events/details/southwest-cannabis-conferenceexpo-nccc-the-phoenix-az-convention-center-24

Industrial hemp has the potential to become a very valuable cash crop.

Hemp has many uses. Consider the following: • The seed grain is a valuable source of food. All of the essential protein, carbohydrates, minerals, vitamins, and EFAs, including GLA, are present in a perfect ratio. • Oil pressed from the seed, in addition to being food, replaces diesel fuel as a net zero-carbon fuel source. • Fiber taken from the stalk of the plant is strong, durable, waterproof, and antibacterial. Cotton, in comparison, requires four times as much water, pesticides, fertilizers, and herbicides. • The core (hurd) material is 70% cellulose. This is used to make “hempcrete” to replace concrete construction in many applications. Fireproof, strong, and ecological, hempcrete absorbs tons of CO2 from the atmosphere. • This core material is also used to make paper, household products, ethanol, and cellophane. • The dust waste created during processing is used to make biogas, which can offset natural gas. Considering that hemp as an agricultural crop can produce high-quality products from one circular-economy source means its legalization and use will be a small revolution. The leftover leaf material can also be used for medicine, animal fodder, or simply be returned to the soil as compost. Clearly, Cannabis—in this instance, industrial hemp—has myriad uses and potential as a source for products. Furthermore, hemp has other beneficial uses, such as restoration of farmland. Cannabis captures carbon directly from the atmosphere. The extensive root system sequesters up to 35% of the entire biomass in the soil, keeping it for decades. As CO2 is pulled from the air, all of the products created keep the carbon for the life of the products. A house built of hempcrete is “carbon neutral/negative” and keeps the carbon for hundreds of years. This is a solution for long-term sustainability. Any farmer worldwide can be part of this circular economy, growing wealth, literally, from the ground up…from the poorest nations to industrialized countries. Many things are happening in the world of hemp today. In future installments of this column, members of our product-development team will discuss projects in which we have some involvement—including a hemp sports car body, an innovative building material, alternative uses of hemp biomass (think fungi!) and more! n

November November 11-13 Marijuana Business Conference and Expo Rio Hotel and Casino 3700 West Flamingo Rd. • Las Vegas, NV 89103 https://mjbizconference.com

December December 12-13 Emerald Cup Sonoma County Fairgrounds Santa Rosa, CA 95404 http://theemeraldcup.com/lineup

February 2016 February 13-14 International Cannabis Business Conference Hyatt Regency San Francisco 5 Embarcadero Ctr. • San Francisco, CA 94111 http://www.internationalcbc.com February 18-20 CANNACON Seattle, WA http://cannacon.org

As founder of Hemp Circle Industries (hempcircleindustries.com) in early 2015, Brandon Pitcher works to bring this re-emerging plant to the forefront of industry and value-added job creation. He considers hemp vital to sustainability and industrial productivity and the premier plant for a circular and bio-based economy. Brandon is an active board member of the Indiana Hemp Industries Alliance (INHIA), a not-for-profit group dedicated to raising awareness and education about industrial hemp. He is also vice president of the Indiana Renewable Energy Association. Bruce Ryan, founder of CannaSystems (CannaSystems.ca), is a relentless advocate of Cannabis since 1999 and the publisher of Never Plead Guilty. Among the founders of the Canadian Hemp Trade Alliance in 2003, his mission is to advance the Cannabis sector by working with innovators around the world.

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Ending on a High Note By Michael Schultheiss, California

Success Story: Love’s Oven

or Cannabis bakery Love’s The bakery is currently deOven, high-quality products and veloping a vegan line of products over-compliance with industry with infused coconut oil instead regulations are the keys to success. of infused butter, scheduled to be The Denver-based wholesale supplireleased within the next month or er offers a variety of infused medical so. and recreational edibles, which are Moore’s own background is sold through dispensaries and nearly in health insurance. She joined 200 retail locations across the state the company when it was a small of Colorado. startup serving medical customers According to CEO Peggy Moore, only, before Colorado’s legalization Love’s Oven employs 27 people, of recreational Cannabis. At that including five classically trained pastime, Love’s Oven was run out of a try chefs. Her sons Josh and Walter A fresh batch of Cannabis-infused cookies cools in small kitchen. The founder, a friend Nettles and her younger sister Teresa the kitchen of Love’s Oven in Denver, Colorado. The of Moore’s, sold her the company Walz help her run the company as company introduces two or three tasty new products in early 2013. each month. directors. Recreational legalization Love’s Oven offers a variety of changed the entire industry landhigh-quality edibles in both the medical and recreational scape precipitously. Moore says that in 2013, Love’s Oven sectors. Their product line includes an assortment of cooktook in about $50,000 in sales. In January of 2014 alone, ies, crackers, caramels, turtle brownies, and baklava cookie they took in the same amount. bites. Moore says her best advice for fellow Cannabis “Edibles offer a different quality of high,” Moore entrepreneurs is to be sure to understand the rules and says, when asked about the advantages of edibles over regulations governing the industry. She explains that Love’s other methods of using Cannabis. She points out that with Oven operates within the framework of the law by being smoking, the effects pass relatively quickly. By contrast, a over-compliant. A case in point are the individual safety 5-milligram bite of an infused edible can produce effects warnings Love’s Oven prints on the packaging of every item that might last for five hours. “It’s like having a glass of they sell. This is purely a Love’s Oven policy, not something wine,” Moore says. required by state law. “It’s not mandated, but we do it to For Moore, another point in favor of edibles is that they keep children safe,” Moore explains. do not suffer from the stigma attached to smoking. All Love’s Oven products are sold with three layers of Quality is king at Love’s Oven. If edibles are like wine, packaging, including a child-safety container with a clear Love’s Oven aspires to give its customers a particularly fine warning label. vintage. Their pastry chefs are trained professionals, and Love’s Oven also takes an active role in policy-making. their baked goods are top of the line. They also offer variety The company works closely with Colorado’s Marijuana with regard to Cannabis, using sativa, indica, and hybrid Enforcement Division, providing feedback and input to strains in their products. help shape the regulatory landscape. They also operate in Asked about the differences between the medical and accordance with the regulations governing food-producrecreational products, Moore explains that Colorado’s tion businesses in general, strictly adhering to food safety regulations limit the latter to 10-milligram servings, though guidelines. This, too, is an important part of adhering to the 10 of these can be individually packaged within a larger regulatory framework. childproof container. The future looks promising for Love’s Oven, as the “Medical patients are usually regular,” Moore says. She recreational market continues to grow in Colorado. Their explains that they need more THC because their bodies beproduct line is constantly evolving, innovating to respond to come accustomed to it. Under Colorado law, Love’s Oven customer tastes. Moore says that the wholesale bakery is also has more leeway to infuse products meant for medical use. looking to expand into other states, and even into foreign The creative process of generating new products is an countries, though they are not ready to release details. n ongoing process at Love’s Oven. Moore explains that the Michael Schultheiss is a freelance copywriter, blogger, and acwholesale bakery releases two to three new products a ademic writer with wide-ranging experience in many business, month, either to add to their product line or to replace an consumer and academic subjects. His personal research interests underperforming item. The pastry chefs, other employees, include the life sciences, health, fitness, history, and political and customers have all provided ideas for new items. science.

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