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Sativa Magazine Online Issue No. 17 June 2014

JUNE 2014

Mekinsey M. Molinaro

All contents ©2014 Sativa Magazine. Sativa Magazine is published and distributed by Vanguard Click Publishing, Seattle, WA. Sativa Magazine does not condone or endorse any illegal use of any products or services advertised herein. All material is for educational purposes only. Sativa Magazine recommends consulting an attorney before considering any business decision or venture. We take no responsibility for the actions of our readers.

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Professionals needed

The days of the shady drug dealer that sells heroin and Cannabis to the same consumer are coming to an end, which will once and for all successfully break the chain of the gateway drug concept. We still have a lot of work ahead of us. The state of Washington has reduced the level of opiates a patient can take while also legalizing Cannabis. We are making progress. America speaks money. Do you want to see Cannabis legalized? Then you need to figure out how to replace the money the feds will lose when Cannabis is legalized nationwide: money made by arrests, fines and court fees. We will need to replace the jobs created by the war on drugs, such as prison guards, judges, lawyers and drug enforcement agents. We can replace those jobs with treatment centers instead of prisons, with doctors instead of prison guards, with counselors instead of police, with IT professionals that will build a system that may be more Orwellian than we like, such as a system built to monitor drug abuse. Such as a nationwide database of your health records. These types of steps are necessary to build a system that attains the balance all parties hope to see. Iâ&#x20AC;&#x2122;m connected to many professionals in the industry who believe the end is closer than we may think. A lot of that depends on you. What do you think? Will Cannabis be reclassified to a Schedule IV or Schedule V drug soon? How long do you think it will take before a Cannabis retail store opens in your state? As a professional that believes in the

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regulated, ethical sale and use of Cannabis, you could be the deciding factor. We need professionals. Sativa Magazine will begin to spotlight professionals in the Cannabis industry â&#x20AC;&#x201D; growers, processors, retailers, activists and all leaders with integrity who are the foundation of this movement. I hope you take their lead and help us build an industry that can provide jobs, health benefits, save lives and keep our kids out of prisons. Possession of Cannabis should not be a crime, and abuse of any drug is a health issue that should require the assistance of a medical professional, not a prison guard. We understand that war veterans come back from war with PTSD. What do you think happens to your child when he/she goes to prison for Cannabis and is raped/assaulted while being punished for a small amount of Cannabis? Do you think your child will come out of prison the same? Letâ&#x20AC;&#x2122;s look at this situation like the intelligent adults we are with access to infinite education. We have been lied to by our past leaders. Will you be a professional leader that helps us educate the public and change ineffective policy? Professionals needed.

Michael Carter Editor-in-Chief michael@sativamagazine.com

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JUNE 2014 COLUMNS Business Highdeas Buy low, sell high Know thy market. Go forth and prosper.

Bright Shiny Objects Mama Epps hemp oil soaps Get the winter out of your skin with these luxurious soaps.

Incredible Medibles Rhubarb streusel muffins Magic muffins from the magnificent Hippy KK.

FEATURES

CANNABIS PROFESSIONALS

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The Suits Are Coming And, no; you can’t wear the suit you got married in.

Building Amsterdam, Part Two Remember that Las Vegas was once a two-horse town. Just sayin’.

Elevating Dispensary Design Meet Megan Stone, goddess of dispensary design.

Top Ten Cannabis Professionals Because you can’t tell the players without a program.

Scientific Soil Indoors? Outdoors? With the right soil, either will work.

Progress Over History Want to advertise? Read this first!

Cannaworks Which states are the leaders in protecting small cannabusinesses?

Growing the Next Frontier A look at American Cannabis Company, Inc.

Green Table Interview Ed Rosenthal

Cannabis Portfolio T Stokes Glass, Bullet Proof Glass and Home Grown Betties.

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BUSINESS HIGHDEASâ&#x20AC;&#x192; HIPPY KK/CARTER

Buy low, sell high

Cannabis stock advisor/ analyst With more cannabusinesses going public, who better to give advice than an industry-specific advisor? A Cannabis stock advisor and/or a Cannabis stock analyst would be a great Business Highdea for those with a background in finance. Cannabis stock advisor or financial advisor and a Cannabis stock analyst can be one in the same person but more often than not, investment firms have them as two separate entities or departments. A Cannabis stock advisor would be the person an investor deals with directly, and advises on stock purchases/sales, while a Cannabis stock analyst is the one doing all the research. Small, independently owned investment firms would consolidate these two positions into one. A Cannabis stock advisor who has sufficient assets to be registered with the U.S. Security and Exchange Commission, or SEC, is known as a Registered Investment Advisor, or RIA. It is at the discretion of the Cannabis stock advisor to suggest selling, buying or trading Cannabis stock to the

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person having invested funds in such stock. Ethics play a key role and all Cannabis stock advisors are prohibited from disseminating advice known to be deceitful or fraudulent and from acting as a principal on their own accounts by buying and selling securities between themselves and a client

without prior written consent. If an investor has given prior written authorization to the Cannabis stock advisor to make such investments on their behalf, a verbal authorization is acceptable. A Cannabis stock analyst follows the movement of publicly traded

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A Cannabis stock analyst follows the movement of publicly traded stocks, analyzing market trends and other drivers that affect stock prices. stocks, analyzing market trends and other drivers that affect stock prices. They might also track the historical movement of a Cannabis stock price, with a general goal of assisting their employer or clients in buying and selling Cannabis stocks profitably. Some Cannabis stock analysts work for one employer, such as a major hedge fund, while others advise multiple clients. A Cannabis stock analyst will typically generate financial reports about market trends or individual stocks for clients or the firm for which they work. Strong mathematics and research skills are vital assets for a Cannabis stock analyst since they will be analyzing fluctuations in a stockâ&#x20AC;&#x2122;s price and researching the reasoning for such fluctuations.

International Cannabis & hemp commodity trader/broker Many items are exported from and imported into the United States. Hemp and Cannabis should be no exception. Both products, in all their various forms, should be available worldwide.

Buy low, sell high.

As an international Cannabis and hemp commodity trader or broker, everyday typical responsibilities would include: selling Cannabis and hemp products around the world, monitoring international market performance, providing investment advice and market recommendations to clients, trading on behalf of clients, liaising with transport, shipping and insurance companies, visiting international suppliers, meeting with clients, interpreting market reports, negotiating price, specification and delivery details.

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International Cannabis and hemp commodity brokering is a career that offers high levels of responsibility, good opportunities for promotion and impressive financial rewards including generous salaries and large bonuses.

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Computer literacy is essential since the majority of trading is now automated and done online. To be a successful international Cannabis and hemp commodity trader, one must be extremely dedicated and have a strong background in finance. A successful international Cannabis and hemp commodity trader/broker has the potential to be hired by investment banks, other commodity brokers, financial clearinghouses and exchanges. Being an international trader would bring great satisfaction knowing that you are providing the world with such a versatile product while selling contracts in exchange for a commission. Cannabis and hemp, grown in the US of A, exported around the world. AVAILABLE URLS: WWW.CARGOHEMP.COM WWW.CANNMARKET.COM WWW.SPECULATEHEMP.COM WWW.HEMTRADECENTER.COM WWW.HEMPHAUL.COM WWW.HEMPBULK.COM S

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BRIGHT SHINY OBJECTS HIPPY KK

Product review: Mama Epps hemp oil soap Rating: 4.5 nuggs Bac k w h e n t h e gro u nd was covered with snow and the temperatures outside were still frigid, I received a box in the mail from Mama Epps. It was full of Mama Epps hemp oil soap and it couldn’t have arrived at a more appropriate time. Opening that box put me well on my way to getting rid of my wintery dry skin. But now that winter is over and the warm weather has set in, I still continue to use it. Once all my samples are gone, I’ll be placing an order for more. Hemp has thousands of uses, and Mama Epps is putting it to good use in the all-natural hemp oil soap business that she began earlier this year. All of her soaps are made with hemp oil, olive oil, scented oil and mica. Don’t know what mica is? Don’t feel bad, neither did I — but according to Mama Epps’ website: “Micas are a natural product that is mined but then the individual mica is coated with FD&C colorants, or pigments, or a combination of both to achieve the colorant. The dual-sided color is what causes

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the shimmer and sheen of micas. Mica is exactly the same stuff you see in your lipstick, eye shadow and blush.” But back to the box I received. I split the contents and shared half with my daughter and kept the other half for myself. Knowing that they would get plenty of use, I placed a bar at both my kitchen and bathroom sinks and immediately began using the soap. I have extremely dry skin, especially in the winter time, and

this product worked wonders. I don’t know how many uses it took to notice a difference but I do know that within a matter of just a couple of days, there was a noticeable improvement and my hands were less dry. Within five days of using the soap several times a day, my hands were no longer dry, but smooth and silky feeling. My daughter had equally great results. Mama Epps hemp oil soap is currently available in 11 scents:

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Mama Epps, the family, and a sampler of soaps. Photos by Mama Epps.

almond, cinnamon bun, coconut, coconut-lime, coffee, ginger, patchouli, peach, pine, pumpkin pie or vanilla. Or if you prefer something less fragrant, nonscented soaps are available. Soap sizes are .50, 1, 3 and 4 ounces and come in various shapes. I received vanilla, almond and patchouli. The patchouli was my favorite and I did not share those with my daughter. These soaps are very reasonable priced and well worth it! Every sale helps support this small business.

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Now, I don’t know much about soap or how it’s made, but I do like a good lather. In other words, I like a lot of bubbles. That is one thing the hemp oil soap lacks and the reason I knocked off half a nugg on the rating. I’m pretty sure Mama Epps and any other soap manufacturer is going to tell me that that is an additive that makes the bubbles. So with that said, this soap doesn’t need a lot of bubbles, it works perfectly well as is and deserves 5 nuggs because if Mama Epps adds an additive,

her soap wouldn’t be all natural and it needs to stay just the way it is — all-natural hemp oil soap. Ebay: https://www.etsy.com/shop/ MamaeppsHemp Website: http://www.mamaeppshemp. com/page1.php Email: mamaeppshemp@gmail.com Facebook: https://www.facebook.com/ Mamaepps S

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INCREDIBLE MEDIBLES HIPPY KK

Rhubarb Streusel Muffins For many reasons, summer is my favorite season. Mainly because I’m a heat miser and can hardly wait for all the fresh fruits and vegetables that come into season. I love walking out to my backyard and choosing what to cook up that day. We have several patches of rhubarb that never go to waste. I know, I know... so many people turn their nose up to rhubarb but let me tell you, I have turned so many people that dislike rhubarb into beggars for this recipe. I promise you, your taste buds will dance when you bite into one of these muffins. They are simply delicious! Note: Frozen rhubarb can be substituted if fresh rhubarb isn’t available. If using frozen rhubarb, measure while still frozen, then thaw completely in a colander but do not press out the liquid. Each serving contains 100 mg. THC. Yield: 18 servings Prep Time: 30 minutes Ingredients: 1/2 cup butter, softened 1 cup brown sugar, packed 1/2 cup sugar 1 teaspoon vanilla 1 egg 2 cups all-purpose flour 1.8 grams hash 1 teaspoon baking powder 1/2 teaspoon baking soda 1/8 teaspoon salt 1 cup sour cream 3 cups fresh rhubarb, chopped

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Topping: 1/2 cup brown sugar, packed 2 teaspoons ground cinnamon 2 tablespoons cold butter 1 Assemble ingredients. Preheat oven to 350°F. 2 In a large mixing bowl, cream together butter and sugars. Add egg and beat well. 3 Combine flour, hash, baking powder, baking soda and salt; add to creamed mixture alternating with sour cream. Fold in the rhubarb. 4 Fill paper-lined or greased muffin tin ¾ full. 5 For the topping: in a small bowl, mix together the brown sugar and cinnamon; cut in butter until mixture is crumbly. Sprinkle over muffin batter and bake for 22 – 25 minutes or until a toothpick comes out clean. Allow to cool for five minutes before removing from pan. 6 Serve while still warm or allow to cool completely. Either way, they’re delicious! Because the sour cream makes these treats so moist, it is best to keep them refrigerated; in doing so, the muffins will last up to seven days. That is if there’s any left over to refrigerate. They also freeze very well. Feel free to alter the topping by adding nuts to the sugar/cinnamon mixture. Occasionally I will purposely have batter left over that I pour into a small square baking dish to make a coffee-cake type dessert. If you do this, don’t forget the topping! And now, my friends, are my famous last words: DO NOT drive or operate machinery after consuming medibles. Enjoy! S

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iCannabis: The Technology Issue • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •

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MAY 2014 21

Cannabis Professionals Issue • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •

The

SUITS Are Coming.

By Kandy Krush Illustration by Josh Clappe 22

JUNE 2014

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TIME TO GET PROFESSIONAL. Whether it’s an investor from Wall Street or a top-notch marketing vice president from Microsoft,

the suits are coming to the Cannabis industry, and distribution is becoming professional. Professional business people from all over the map are joining Cannabis-related businesses. In addition to bringing their various and diverse backgrounds and expertise to the game, those who have migrated over are trying to instill a degree of professionalism to the industry. In order to compete, you may have to forgo the drug rug and sandals and put on a suit. Maybe even a necktie. Professionalism is upon us. This industry is changing rapidly. It is becoming filled with professional people who have built careers and started companies in other areas but now are jumping on the multi-million-dollar Cannabis industry bandwagon. Professionals from tech, HVAC, healthcare and manufacturing are joining this emerging billion-dollar industry. Like any other industry, the medical Cannabis industry needs everything from software and packaging to lawyers and consultants, from human resource professionals to insurance specialists and sales experts. It’s a sector bursting with opportunities for people wanting to make a difference in the future of Cannabis. According to a press release issued earlier

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this month, Nuvilex, Inc. (OTCQB: NVLX), a small international biotech firm, has hired Dr. Matthias Lohr, one of the biggest names in oncology, from the Karolinska Institute in Stockholm, Sweden. Nuvilex is headed into late-phase clinical trials with its patented technology aimed to treat advanced-stage pancreatic cancer. The new president of Growlife (ticker symbol: PHOT), Marco Hegyi, was a former Microsoft and Yahoo executive before joining Growlife’s board of directors in December. Hegyi was previously the manager of a division of Microsoft focused on program management for MS Windows and MS Office beta releases. And another former Microsoft executive, Jamen Shively, is planning on developing a chain of dispensaries and retail stores. Patrick Moen, a longtime DEA agent in Oregon, left his job combating heroin and methamphetamine trafficking to join Privateer Holding Inc., a private firm that invests in businesses tied to the legal Cannabis industry. Moen is now the managing director of compliance and senior counsel of Privateer Holdings, based in Seattle, Wash. and founded in 2010. Privateer’s investments include Leafly.com, a website that allows users to rate and review strains of Cannabis and dispensaries. Precyse, an industry leader in health information management (HIM) performance management and technology, has announced

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Cannabis Professionals Issue • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •

...Dr. Bialek is poised to advise Precyse as it works to simplify its clients’ everyday challenges by providing holistic services and technologies that transform clinical data directly into actionable information.

that Donald Bialek, M.D., has joined the Precyse Advisory Council (PAC). Dr. Bialek received his clinical training in pediatrics and anesthesia in the Harvard programs at Boston Children’s Hospital and Massachusetts General Hospital. With his industry knowledge and over 25 years of expertise, Dr. Bialek is poised to advise Precyse as it works to simplify its clients’ everyday challenges by providing holistic services and technologies that transform clinical data directly into actionable information. New York Times bestselling author Dr. Wess Roberts has accepted a position on the advisory board of Medical Cannabis Payment Solutions (OTC Bulletin Board, REFG), a leader in technological solutions for the medical Cannabis industry. Dr. Roberts is passionate about the industry, and it will certainly be interesting to watch as he helps to take this business to the next level. Criminal defense attorney Randy Collins has joined Cannabis Law Group. Cannabis Law Group represents clients for marijuana, DUI and drug charges, as well as domestic violence and custody disputes. Mr. Collins is a former prosecutor and served as a District Attorney in Riverside County before becoming a defense attorney. Dr. Collins will lead the criminaldefense team at Cannabis Law Group. Matt Cook, a former narcotics officer in

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Colorado, is now a consultant to the Cannabis industry. He was recently spotlighted on the CBS news program “60 Minutes.” His credentials include senior director of enforcement for the Colorado Department of Revenue. The professionals on the move confirm that the Cannabis industry is changing. It is a legitimate industry with many attractive opportunities. With every passing day, more and more professionals are leaving their highpaying executive positions to work in an industry that is still rather questionable and somewhat risky, yet they continue to do their part to legitimize the industry. Professionalism is bringing a whole new persona to one of the fastest growing industries in the nation. S http://finance.yahoo.com/news/nuvilex-inccell-box-treatment-130000711.html

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http://mmjbusinessdaily.com/growlife-hires-formeryahoo-microsoft-exec/ http://www.forbes.com/sites/ karstenstrauss/2013/12/30/big-marijuana-is-itthe-future/ http://online.wsj.com/news/articles/SB1000142405 2702303722104579242602996551692 http://www.businesswire.com/news/ home/20140122006561/en/Best-Selling-BusinessAuthor-Joins-Medical-Cannabis-Payment#. U218P1NOVD8

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Part 2: Seattle-dam By Diana Campos Illustration by Josh Clappe

Two years ago in November, two states in America opted to legalize recreational Cannabis. The first was Colorado, which opened the doors to its first recreational Cannabis shops at the start of this year; the second was Washington, which has as of yet to open any stores. Washington does however have medical Cannabis dispensaries that at one point totaled more than the amount of Starbucks locations in its most populous city of Seattle. This is most certainly an amazing feat considering that coffee is to Seattle what Cannabis is to Amsterdam.

Washington’s Weed The state of Washington has several things in common with the state of California, whether they like to admit it or not. More obviously, the state is located on the West Coast. More significantly, it is a state whose majority of citizens favor the use of Cannabis and who have

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been progressively pushing for legalization since before the 21st century. And, like California, the state’s cannabusinesses have faced persecutions and forced shut-downs from federal agencies that could care less about state laws. But this isn’t about the Golden State. Last month, in part one of this two-part article, we critically examined the results of Colorado’s newly permissive stance on recreational Cannabis as well as what it would take to make the state the next Amsterdam. And although Washington passed I-502 at the same time Colorado voted Amendment 64 into law, the Evergreen State still has a while to go before it gets to see this kind of green.

I-502 In November of 2012, Initiative 502 – or I-502 – was voted into law. This initiative decriminalizes the use and production of

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Cannabis for recreational purposes in the state of Washington. Basically, anyone over the age of 21 — resident or not — is legally allowed to purchase and possess the following: • One ounce of dried “usable” marijuana • 16 ounces of marijuana-infused product in solid form such as edibles • 72 ounces of marijuana-infused product in liquid form such as oils and tinctures • paraphernalia The bill is itself is split into five parts. Part one gives authorization to the Washington State Liquor Control Board to regulate and tax marijuana. It makes sense that the remainder of the initiative resembles some of the rules laid out for liquor. Part two provides definitions of related terms used throughout the bill and serves to officially state that Washington’s government considers marijuana to be any part of the cannabis plant “with a THC concentration greater than 0.3 percent on a dry weight basis”. Part three establishes three occupations for those seeking work in retail marijuana: marijuana producer, marijuana processor, or marijuana retailer. Any one individual may hold both a producer’s license and a processor’s license at the same time but a marijuana retailer’s license may not be held simultaneously with any other marijuana license. This sections sets license application fees at $250 and renewal fees at $1000 apiece. Part three continues to establish a license system that copies the state’s three-tier system for hard alcohol. This system says that producers may sell only to wholesale distributors. Distributors may then sell the product to retailers and only these retailers are allowed to sell to consumers. Therefore producers cannot sell to

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retailers or consumers and wholesale distributors cannot sell to the public. This part also prohibits advertising, smoking anywhere in public, and conducting any kind of recreational marijuana business within 1,000 feet of a school, playground, or any other center with children. Part four establishes where taxes from retail marijuana will go: 55 percent to healthcare, 25 percent to drug abuse treatment and education, one percent to marijuana research at two Washington universities, and the rest to a general fund for the state. Later sections in this part prohibit driving under the influence of marijuana, very much like alcohol-related DUIs. Similar to a breathalyzer, those suspected of being high while driving will be subject to a blood analysis. The idea is to limit delta-9 THC levels to 5 nanograms per milliliter of blood (5 ng/mL). Part five serves to sum up corrections and revisions to the rest of the bill.

fter the bill passed (56 percent), its pro-Cannabis influence resounded around the world. Media in nearby Oregon called for similar legislation and officials in the more distant country of Mexico announced reconsideration of Cannabis legalization. Washington itself saw several counties drop misdemeanor cases of Cannabis possession. The Washington State Liquor Control Board then had until December 1, 2013 to come up with official regulations to be followed in accordance with I-502. Licenses were supposed to be issued in the same month. It has been half a year and the WSLCB is still processing applications. Not much actual action has happened in Washington as far as its recreational Cannabis industry,

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but if it’s anything like Washington’s crawling implementation of its medical industry, it may be quite a while before Washington is in business. Initiative Measure No. 502 is inarguably a progressive step forward in America’s road to Cannabis legalization, but when will it actually come into play in the state of Washington? And is it enough to make Seattle the next Amsterdam?

Smoking in Seattle — A brief history The state of Washington saw the same type of Cannabis criminalization that the rest of the nation, and even parts of the rest of the world (due to international treaties) faced when the War on Drugs swung into full force. Washington, and Seattle in particular, is notably known for accommodating an alternative culture — one that has seemingly mellowed out from being constantly surrounded by water, whether it is the almost constant rain falling from the sky or the bodies of water crisscrossing through or around each city. It makes sense that such a culture would sometimes prefer to get as high as the Space Needle, or at least use a joint to take the edge off that last cup of afternoon coffee. In Seattle, the year 1991 brought with it the Washington Hemp Expo. Now known as Seattle Hempfest, the event draws in more than a hundred thousand visitors each year in August. Part music festival, part political rally, Hempfest was able to grow in popularity with events like “Bong-a-thon” and speakers like Cannabis activist Jack Herer. The festivals thriving numbers, however, also meant heat, so in 1994 and again in 2006 its organizers had to fight to keep their permit. In 1998, Washington legalized medical Cannabis on paper, but it wasn’t until nearly a

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decade later that dispensaries were allowed to open and operate in the state. This was due to state legislators trying to slow down the rulemaking process in an effort to deter the legality of Cannabis. Also to blame was the tension between contradictory state and federal laws on the subject. 2006 gave the interpretation of a green light to allow part of the “Green Rush” to swoop in through Washington. Just a few years later, hundreds of operating dispensaries were given notification from federal agencies to shut down. The reasoning given was that the locations were too close to places that were vaguely considered to be highly visited by minors. It is not illogical to fear that state legislators will try the same tactics with recreational Cannabis. There is hope that at least the federal government won’t pose as much of a threat this time around. In the fall of 2013, the U.S. Department of Justice elected not to sue or persecute legal Cannabis in both Washington and Colorado. Whether this will hold true in the long run remains to be seen. Recreational Cannabis stores in Washington have as of now been delayed until July of this year, more than a year and a half since legalization was approved. Applicants who have undoubtedly put in a lot of money and effort into starting their own cannabusiness in or around the Emerald City are losing opportunities to make back the money they have invested, let alone turn a profit, make revenue for the state off taxes on their products, or make Cannabis available to the long-awaiting public.

Uruguay: The Social Experiment Amsterdam may have seniority when it comes

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to tolerance of recreational Cannabis, but just one month before Colorado legalized it, Uruguay became the first country in history to officially legalize the market for Cannabis. The country has, since the 1970s, purchased brick weed and other narcotics from neighboring Paraguay. Since then, decades of drug use has been mostly tolerated. Uruguay’s placement on the coast of the South Atlantic Ocean has made it a prime location for drug traffickers to import and export their goods. This knowledge may have shaped tolerance of use in the country, but until just recently the production and distribution have been penalized with fines and jail time. President Jose Mujica, otherwise known as Pepe, has stated that his purpose for legalization is to competitively force the monopolistic business out of the hands of drug traffickers. His reasoning may be the same as those of other pro-Cannabis legislators, but his methods are certainly different. Rather than existing in a grey state of tolerance like Holland or allowing citizens to turn the market into privately-owned businesses like America, the government of Uruguay is regulating the market themselves. Thoughts on the South American country’s brand new law varies: the elderly and previously persecuted worry about having to register as users of a drug that has been persecuted for so long, the youth embrace their new freedom to smoke and even grow the herb, and the rest of the world critically studies the effects of legal Cannabis on Uruguay as a society as though through a microscope. Here’s how Uruguay’s legalization will work: Any citizen aged 18 or older will have one of three options after they have registered as marijuana users with the federal government. The first option is purchasing up to a

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maximum of 40 grams a month at less than a dollar per gram from licensed pharmacies; it is unclear who will be growing the Cannabis sold at the pharmacies. The second option is to grow your own weed, six plants at a time. The third option is to join a club that, depending on size, can grow up to 99 plants at a time. At the start of this new law, Mujica granted a 180day amnesty period for those who are already growing to register any current plants. The country has created the Institute for Regulation and Control of Cannabis to regulate the system as well as provide information on Cannabis.

nce again restrictions include no advertising or smoking within enclosed public spaces. Unlike other parts of the world where Cannabis is at least semi-legal, Uruguay will not be serving up smoke to non-citizens. That’s right — absolutely no tourists will be able to legally purchase Cannabis in Uruguay. In recent interviews, President Mujica insists that full-scale legalization will be a slow process. Restrictions that are heavier on this product when compared to any other product are expected to be lifted little by little as the results come in. He sees the legalization in his own country as an experiment. Whether theirs becomes an example of what will work or what will not is yet to be seen.

Building Seattle-dam Part One of this article touched on what needed to happen in Colorado to turn it into a better version of Amsterdam. These suggestions, including establishing public smokehouses and easing up on overly restrictive rules, also apply to Washington. Seattle, however, already has a similar ambiance to Dutch cities: coffee shops (albeit ones that actually sell what their names imply) abound in the area, working in harmony

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I don’t believe Americans are willing to give up yet another major business opportunity nor will they stop competing to have the best and most potent Cannabis available.

with the colder weather. Heck, they even have their own fields of tulips which grow in the nearby Skagit Valley. The most vital step at this moment for the state, however, is to get the ball rolling despite any attempts to hold it in place. Unfortunately, unlike residents of Colorado or Uruguay, Washingtonians who wish to use recreational Cannabis do not have the option of growing their own. On the plus side, outdoors growing of up to six plants is allowed as an option for citizens who use it medicinally. When discussing the handling of a natural product, it seems only natural that the plant be allowed to grow, well, naturally. Building a better Amsterdam would be treating the plant like it is — in fact — a plant. Washington’s choice to treat Cannabis like hard alcohol, on the other hand, brings a suggestion to mind. Washington, like Colorado, allows for non-residents to travel to their states and purchase Cannabis and Cannabis-infused products. Washington — also like Colorado — does not allow visitors to leave their states with these products, thus prohibiting visitors from bringing Cannabis home with them. This rule is understandable because it helps in the context of eliminating drug traffickers — which is what every proCannabis territory from Amsterdam to Uruguay considers the most important reason for Cannabis legalization — but combine this with the fact that no one is allowed to smoke Cannabis in predesignated public spots and it’s easy to see why neither state has reached Amsterdam’s status of a smoker’s paradise. Noted, this suggestion is easier made than

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done considering that nationwide legalization is absolutely necessary for Cannabis to legally cross state lines. Recreational cannabusinesses would go farther, both financially and legitimately, if one could bring back a bag of top-shelf Strawberry Cough from New York the same way they can bring back a bottle of wine from California’s vineyards or a bag of coffee beans from the original Starbucks at Seattle’s Pike Place Market. Speaking of commodities, Uruguay’s set price of about 87 cents for one gram of Cannabis doesn’t seem to make much business sense. Assuming Uruguay’s government plans to be the sole manufacturer (in this case, the only grower) who can legally sell Cannabis, the country will essentially be creating a monopoly and undermining the product’s actual value. Even if the government decides to share the market with licensed farmers, the growers would cut corners in order to meet both the demand and the low set price, resulting in lower quality bud. I don’t believe Americans are willing to give up yet another major business opportunity nor will they stop competing to have the best and most potent Cannabis available. At this point in time, user registration with government on any level — such as in the case of Uruguay’s legalization — does not seem like a good idea. This post-911 nation simply does not value privacy as a priority and with Cannabis still illegal in the eyes of the federal government, too many businesses and individuals would be risking overly harsh penalties if they were to have to hand over their identities in exchange for a bag of grass. S

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MEGAN STONE:

JUNE 2014

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ELEVATING DISPENSARY DESIGN By Kandy Krush Looking back over the past year and the changes that have taken place in our industry, it has been a whirlwind ride on the Cannabis rollercoaster. Many movers and shakers have stood out in the crowd as Cannabis professionals. Some are rising above the crowd at the cutting edge of this industry as top professionals who have spent time helping to connect people to Cannabis. This month we are featuring Megan Stone. Megan is the owner and founder of The High Road Design Studio. She is an interior designer specializing in the design needs of businesses in the Cannabis industry. The High Road’s mission is focused on elevating the Cannabis industry through professional interior design. Megan’s background in the building, hospitality, and medical Cannabis industries allows her to create efficient and impressive spaces for her clients, satisfying their needs and elevating their businesses and brands to new levels of success. Her experience as the General Manager of Orange County’s Patient Care (OCPC) two Orange County, Calif. dispensary locations

Left: Megan Stone. Photo by Shanon Lado Photography

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provided her the opportunity to witness firsthand the important role that proper interior design and branding can play in growing a successful Cannabis-related business and attracting loyal patients and customers. Her daily experience in dispensaries, interacting with patients, vendors, and employees, taught her what patients want and need in their dispensary experience, how to operate an efficient Cannabis retail business, and how to capture the potential of this industry by leveraging the retail experience as a way to promote a model of professionalism, legitimacy, and sustainability. Increases in sales, patient loyalty, referral business, and community acceptance are enjoyed when professional interior design is utilized in Cannabis retail spaces. Megan was born in Scottsbluff, Neb. and raised in the small farm town of Fairmont, Minn. From a young age, Megan had an interest and passion for architecture and design. Whether she was rearranging furniture or rearranging her bicycle routes to go past the large, beautiful homes in her town, there was always a natural attraction to good design in her soul. After graduating from high school, Megan earned her Bachelors of Science degree in marketing

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Before (pictures on left) and after (pictures on right) of, clockwise, Minerva Dispensary sales area; entrance, and reception area.

at the University of Minnesota’s Carlson School of Management. Upon earning her degree, she accepted a territory sales job with a high-end window and door manufacturer in Palm Springs, Calif. Megan immediately fell in love with Palm Springs and its abundance of great design and architecture. The change of environment and culture caused Megan to realize her true passion lay not only in business, but also in interior design. She knew that creating unforgettable spaces that made an emotional and psychological impact on those who experience them would be the way she left

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her mark on the world. To pursue her new career goals, Megan migrated to Orange County, Calif., to enroll in school at the Interior Designers Institute in Newport Beach, Calif. While going through the interior design program there, she began working as a budtender at a new dispensary, Orange County’s Patient Care, in Santa Ana. Being a part of the medical marijuana industry was something Megan had never considered before and she quickly learned how expansive the industry is and how quickly one can develop a passion for providing safe access to

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“Our passion lies in elevating the Cannabis industry by being a thought-leader and the go-to experts for brilliant design and innovative, sought-after patient/customer experiences.” the long-prohibited medicine. While working for OCPC, she designed and led the remodeling of their showroom. By the summer of 2012, she was promoted to general manager. The coming weeks would bring the opening of a second location, which involved an overnight makeover followed by months of renovation. As her presence at the store was now fulltime, she was able to implement displays and merchandising techniques that helped the dispensary grow and have many record-setting sales days. As the dispensary’s reach grew, the business developed a reputation for being the nicest, most professional, and best-run shop in Orange County. Patients admired the display and arrangement of products, and often mentioned how they felt “safe,” and “like they weren’t doing anything wrong.” They also very frequently said, “This is the only shop around like this and that is why I come back.” The importance of design for Cannabusinesses only continued to make itself known to Megan. As the nation, for the first time, had more people in favor of legalizing marijuana than were against it, when two states voted to legalize adult marijuana use in 2012, and when 19 states had passed medical marijuana laws, things felt hopeful. But as the stereotypes and misinformation seemed to continue on in step with these gains, Megan realized she had a role to play in elevating the industry she loved and believed in. After seeing how positively her design knowledge had impacted OCPC’s patients and their perceptions of and experiences with Cannabis, she knew this was

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something that more businesses — and patients — could benefit from. “There is a wealth of knowledge about the importance and benefits of design in other wellestablished industries such as restaurants, health care, hospitality, retail, education, and business. Design directly impacts function, efficiency, profitability, safety, employee productivity, customer loyalty, brand sustainability, and consumer spending. This is not new news to those who have studied and worked in the design fields, but translating this information to be relevant and useful to the specific needs of Cannabusinesses is something no one before The High Road Design Studio has done. Our passion lies in elevating the Cannabis industry by being a thought-leader and the go-to experts for brilliant design and innovative, sought-after patient/customer experiences.” In addition to the Cannabis world, The High Road Design Studio services clients in the residential, restaurant, retail, and health and beauty industries, designing functional spaces that create connection, excitement, and pride in the minds of their owners and guests. Megan is active in the Arizona North Chapter of the American Society of Interior Designers. When she isn’t immersed in her client’s projects or the latest efforts of the Cannabis industry, she enjoys being active outdoors, traveling, cooking, and keeping up with friends and family. For more information about Megan and her cannabusiness check out the website www. thrdesignstudio.com or call (760)641-4998. S

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Booth Make spaces are your r eserva ﬁlling up tion n ow!

The Nation’s largest legal cannabis convention and lifestyle expo. Ever! If you’re serious about Cannabis as a business, for medicine or recreation, CannaCon is the most important event for you to attend in 2014. As the ﬁrst event of its kind, CannaCon connects manufacturers to vendors, vendors to buyers and connects the entire cannabis industry to the public. CannaCon is the only place you can see 1000’s of goods and services representing the state-of-the-art in cultivation supplies, lighting technology, and control systems to maximize yields in your grow room. CannaCon Seminars will connect you with the information you need to succeed in the Green Rush. CannaCon has assembled the Who’s Who of the Cannabis world to oﬀer

Connect Producers Processors Retailers Printing/Packaging Professional Services Business Seminars

lessons in canna-business operation, grow techniques, the latest information about cannabis as medicine, and the facts of legalization. The weekend becomes a celebration of Cannabis as a lifestyle where CannaCon connects your company to the consumer and connects all of us to the freedoms we’ve fought so hard to regain. Book your sponsorship or booth space today at CannaCon.org. Or call 206-941-0951 to speak to a representative.

Cultivate Lighting Irrigation Processing Greenhouse Supplies Growing Seminars Processing Seminars

Celebrate Sign up today

Booths Will Sell Out! To book your sponsorship and reserve your booth go to:

CannaCon.org

Cannabis Lifestyle Expo Celebrity Appearances Music Festival After Parties Cannabis Bus Tours

JUNE 2014

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By Kandy Krush Illustration by Emily Cain We turned to you, our readers, and asked you who you think are the movers and shakers of the professional Cannabis industry. Here’s a list of your Top 10 Cannabis Professionals: CASPER LEITCH Casper Leitch got involved in the Hemp Movement in 1990 and launched the cable TV series TIME 4 HEMP on Jan. 5, 1991. It was the first TV series in the history of broadcasting to concentrate rigorously on the subject of Cannabis, giving Casper the dubious honor of being The Father Of Marijuana Television. ED ROSENTHAL Ed Rosenthal is a California horticulturist, writer, publisher, and Cannabis grower known for his advocacy for the legalization of Cannabis usage. Rosenthal has been active in promoting and developing policies of civil regulation for medicinal Cannabis. With the enactment of California’s pioneering Proposition 215 in 1996, which authorizes medicinal use of marijuana, he worked with the state and local governments to

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carry out the legal transfer of pharmaceuticalgrade marijuana to patients with a doctor’s recommendation to use Cannabis. JORGE CERVANTES Jorge Cervantes is a pseudonym for George Van Patten, a horticulturist and writer specializing in indoor, outdoor, and greenhouse Cannabis cultivation. His books, articles, photographs and instructional DVDs have been sold worldwide as guides to horticultural techniques to the high-yield closet, basement, backyard, and guerrilla gardens. NEVIL MARTIN SCHOENMAKERS Nevil Schoenmakers is an Australian-born Cannabis breeder known for founding in the 1980s, the first Cannabis seedbank in the Netherlands called ‘The Seed Bank of Holland,’ the first seed company to advertise directly to the public in High Times magazine. DR. LESTER GRINSPOON Dr. Lester Grinspoon is associate professor emeritus of Psychiatry at Harvard Medical School.

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Grinspoon is widely known as the author or co-author of several Cannabis/psychedelicrelated books. The first two titles were published during the 1970s, when it appeared Cannabis was well along its path to nationwide decriminalization in the United States. Marijuana: The Forbidden Medicine published in 1993, identifies a variety of ailments for which Cannabis ingestion may be helpful. FRED GARDNER Fred Gardner is an American political organizer and writer best known for his resistance to the Vietnam War and his writings about the medical marijuana movement in the United States. Gardner got his bachelor’s degree from Harvard in 1963. He has been an editor at Scientific American, a private detective, a songwriter, an author, and a freelance journalist. JUSTIN HARTFIELD Justin Hartfield is the co-founder of Ghost Group, a venture capital firm based in Newport Beach, Calif. Hartfield resides on the boards of both the NORML and the Marijuana Policy Project’s boards of directors. He contributed over $100,000 to the Measure F campaign, which advocates for an open market system for Cannabis sales. GRETA CARTER Greta Carter is an industry leader and presenter appearing on network, regional and local news outlets. Her keen understanding of finance ultimately contributed to Carter owning multiple Cannabis-related businesses, including the Cannabis Training Institute, and The Hope Clinics in Seattle, Snohomish, Tacoma, and Lynnwood, Wash. Carter is well known for her expertise in Cannabis healthcare, education and business. She helped to organize Americans for Safe Access chapters throughout the State of Washington. In 2011, Carter initiated and assisted to make the Seattle

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Medical Marijuana Ordinance. She has written political and legal articles to support industry stakeholders and she founded the Coalition for Cannabis Standards and Ethics. KENNETH SOMMERVILLE Dr. Kenneth Sommerville is a board-certified neurologist with a significant record of achievement, including 23 years of experience in the pharmaceutical industry. Sommerville has been appointed to the position of VP, Clinical Science for GW Pharmaceuticals. This position will support U.S. medical affairs and regulatory activities related to epilepsy programs focusing on discovering, developing, and commercializing novel therapeutics from its proprietary cannabinoid product platform. THURLOW WEED Thurlow “TL” Weed has been a Cannabis activist for almost seven years. He has been doing Cannabis radio for five of those years. He started the M2j Media Group, LLC in 2009 and he is now the President/CEO of No Excuses Entertainment Inc. and North Washington Endeavors Inc. Combined, these companies own 23 websites with Cannabis-driven content. S

http://www.denverpost.com/ci_23058748/ somewhat-mysterious-player-shakes-upmarijuana-influence-game

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http://time4hemp.com/time-4-hemp-live/ http://time4hemp.com/entrepotneur-show-2/ http://www.wikipedia.com https://mmjbusinessdaily.com/money/ http://www.cannabistraininginstitute.com/ http://www.abqjournal.com/386033/news/potsupplies-and-advice.html http://minervacanna.com/about-us/news

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MAY 2014

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SOIL CHEMISTRY: It’s more than dirt A SOILS PRIMER

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By Read Spear Photo Treatments by Andy Rostar

If you grow in soil, learning the principles of soil chemistry is like flipping on a light in a darkened room. You owe it to yourself to learn the contents of this chapter. (Even if you do not grow in soil, it’s still interesting.) Your job as a grower will become much easier once you have this knowledge. Soils is composed of three structural elements: sand, silt and clay. These are defined as follows: Sand: rock (mineral) particle between 2.0 mm and 0.05 mm in diameter Silt: rock (mineral) particle between 0.05 mm and 0.002 mm in diameter Clay: rock (mineral) particle less than 0.002 mm in diameter The soil that is made up of these particles is named according to the predominating percentages of each. The extreme points on the USDA soil texture triangle are bad. We’re shooting for the loam area. I recently encountered a confused grower on an Internet forum. He was trying to grow his

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Cannabis in buckets of sand. According to his reasoning, he could add all the nutrient he needed and could easily flush whenever he wanted to. As you may have guessed, his results were less than amazing. So, why does this approach fail? The problem this grower ran into is that particles of sand are big as far as plants and nutrients are concerned. Sand is big, smooth and not very “sticky” to ionic nutrients. Recall that nutrients are only useable to plants when they are in their inorganic form. What does that mean? Well, to be organic — chemically organic, that is — a molecule must have a carbon ring attached to it. It’s that simple. Organic compounds are carbon-containing; inorganic compounds are not. End of discussion. We are setting politics aside — this is what a chemist will tell you. Plants do not use organic compounds; they use inorganic compounds in ionic form. An ion is a molecule or atom that does not have an equal number of protons (+) and electrons (–). Because their electrons and protons are not balanced, ions carry an electrical charge.

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All of the nutrients a plant needs must be in this ionic form or they cannot be used because they cannot be exchanged via active transport. Moreover, each ionic mineral has either a positive or negative charge. (If it has a positive charge it is called a cation; if it has a negative charge it is called an anion.) The charges on both the ions and the soil particles keep them stuck together like magnets and prevent the nutrition from washing away. The mineral ions adhere to, or are adsorbed onto, the soil particles. When lots of ionic minerals are adsorbed by the soil, it makes for lots of useable plant nutrition.

Sand: rock (mineral) particle between 2.0 mm and 0.05 mm in diameter

Silt: rock (mineral) particle between 0.05 mm and 0.002 mm in diameter

THE TWO COMPONENTS THAT MAKE SOIL CHEMICALLY ACTIVE Sand, because of its large size, has a low surface-to-volume ratio and therefore a low electrical charge. Silt is smaller and has a better surface-to-volume ratio and therefore it has a higher charge. Clay is the smallest, with particles so small that you need a microscope to see them. It has a high surface-to-volume ratio, and therefore a high charge. Think of it this way: volume “dilutes” the charge; the smaller the particle, the more “concentrated” the charge. This electrical charge allows mineral nutrient ions to stick to the constituent soil particles. Look at the soil texture triangle. You can see that, based on the percentage of sand, silt and clay, a given volume of soil may have a greater or lesser charge than another. The amount of total electrical charge in a given volume of soil is called the soil’s Cation exchange capacity, or CEC for short. The more sand in a given

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Clay: rock (mineral) particle less than 0.002 mm in diameter

sample, the lower its CEC will be; conversely, the more clay in the sample, the higher its CEC will be. Also, larger amounts of organic matter, or humus, in the sample will result in a greater CEC. Humus and clay are the two sources of chemical activity in soil. This is because they are the smallest particles in soil. Now before you run off to the compost pile and mix in a bunch of leaf mulch, you should understand a

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few things about organic matter. The kind of organic matter you want in your soil is not last year’s garden waste. You want the tiny particles that are the result of years of bacterial, fungal and physical breakdown of such waste — the particles so tiny that they neither float nor sink in solution. These are called colloids. Both clay and humus particles are often small enough to remain in colloidal suspension — they have the highest chemical activity and give your soil its CEC.

Let’s take Ca++ as an example. Since calcium has a double charge to it, it can bind to twice as many soil particle sites as can H+, which has just the one cation. So although the soil’s CEC is the same, it can only hold half as many Ca++ cations as it can H+. Also, because Ca++ is 40 times heavier than H+ (but the soil can only hold half as many), the total weight of Ca++ held by 100 g of soil with a CEC of one is 20 mg to H+’s one mg; hence, the MEQ is 20 for Calcium and one for Hydrogen.

CATION EXCHANGE CAPACITY

What about anions? I’m glad you asked. After all, plants also need anions (such as nitrate, phosphorus, sulfur, boron, chlorine and molybdenum). Anions are a bit of a problem. They are not easily adsorbed onto soil particles and therefore tend to wash away. Most soils do not have an anion exchange capacity. Plants must get these anions by chance encounter as they tumble and bounce through the soil and eventually contact a root hair. Only rarely does a soil have an AEC, or anion exchange capacity.

Cation exchange capacity is a measure of how many H ions can be held in 100 grams of soil. The clay and humus particles in the soil are generally negatively charged and they therefore adsorb cations. When the plant needs to absorb a cation, it secretes an H+ cation (recall the process of active transport), which the soil particle attracts (because it is negatively charged) and in exchange releases a cation of useful nutrient. The clay (or humus) particle readily takes on the H because it is a lower molecular weight than the cation it is giving up (NH4+ for example). The number of times 100 grams of soil can make such exchanges for H is referred to as its cation exchange capacity. Specifically, for every milligram of H+ that each 100 grams of soil can trade out, the soil’s CEC is increased by one. CEC 1 = 1 mg of H+ adsorbing potential of 100 grams of soil. Since there are other cations to account for (in addition to H+), another way to look at CEC is through milligram equivalence, or “MEQ.”

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If this sounds unlikely to occur, consider the amount of root surface area a plant has. It sounds crazy, but this has been measured. A botanist by the name of H.J. Dittmer calculated the surface area of a typical winter rye plant (much smaller than a typical Cannabis plant) back in 1937. Crazy bastard sat there and counted the roots by category and added surface area. In his article in the American Journal of Botany, he found: “The 13,815,672 roots had a surface area of 2,554.09 square feet… Living root hairs on this plant numbered 14,335,568,288 and had a total surface area of 4,321.31 square feet. The root

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hair surface combined with that of the roots gave a total of 6,875.4 square feet.” How big is that? Taiz, Lincoln and Eduardo Zeiger (Plant Physiology, Fifth Edition) points out that it’s about the size of a basketball court. But they’re wrong: It’s enough to completely cover one and a half NBA regulation-sized basketball courts, or fall just short of a FIFA soccer pitch!

SOIL PH Your soil is conspiring against you in an attempt to become acidic, and the longer it is in use, the more dramatic this tendency becomes. The more organic matter your soil has, the lower its pH will be. This is because as organic matter decomposes, it releases carbon dioxide, which then reacts with water to create carbonic acid (H2CO3) in the soil. Similarly, as minerals decompose, high concentrations of aluminum are released in forms that create acidic conditions. Add to this the use of fertilizers (which are generally acidic because of their reliance on ammonium) plus the plant itself (which tends to acidify soil during nutrient uptake by taking up more cations than anions), and you have a situation that is precarious at best and that requires your continual vigilance. Ideally, when growing Cannabis, you want to keep your soil’s pH in the 5.7 to 6.5 range. Do this by periodically adding dolomitic lime. When growing outside, things are even more challenging because you must account for rain, which is always slightly acidic (owing to CO2 in the atmosphere that gets dissolved in the rain). This is true even when we don’t account for the phenomenon known as “acid rain,” which is cause by industrial sulfur and nitrogen emissions. Rainwater pH typically tests at about 5.7. And because anions do not adsorb onto soil particles as strongly as cations, they get washed away by rain and watering. This

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washing away of anions predisposes your soil to acidification even further.

TIGHT OR LOOSE: THE CALCIUM-TOMAGNESIUM RATIO The balance of calcium and magnesium determines how “tight” the soil is. These two cations make up the bulk of bound nutrient in the colloidal component of your soil (clay and humus). Calcium has a large ionic radius, meaning it holds colloids at a distance and flocculates (opens) soil, whereas Magnesium has a small ionic radius and holds its colloids close and therefore coagulates (closes or tightens) soil. The measure of a soil’s tightness can be determined by a soils test where Ca and Mg are calculated on a MEQ/100 g basis then the level of Ca is divided by the level of Mg to give a numerical index such that: <2 = tight, sticky (or hard, if dry) soil 5–7 = just right soil >10 = too loose soil. It is the ratio that matters here, not the total level of each component cation. If you have ever walked through a muddy field and had soil build up on the bottoms of your shoes, you know what a high Mg-to-Ca soil is. Sand, silt and clay make up soil structure, while the organic component humus, along with the clay, is responsible for the soil’s CEC. Starting with a good initial mix and then maintaining proper soil pH is the key to growing healthy plants in soil. Now that you know what’s going on in the root zone, you can more easily identify the problems when things go wrong. A fun way to bullshit your friends is by putting a pinch of soil in your mouth and then saying, “Yep, thought so.” and then walking off. S

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Growing in Soil? Hereâ&#x20AC;&#x2122;s a head start.

Find out more at: www.scientificsoils.com

Progress

OVER HISTORY By Hippy KK Illustration by Andy Rostar

lthough 99 years seems like a long time, significant progress has been made within the Cannabis industry since the first state passed Marijuana Prohibition laws back in 1915. It took 81 years from the time prohibition started for California to become the first state to legalize the use of medical Cannabis in 1996. It’s about time the hovering grey cloud lets loose with some sunshine. With the Better Business Bureau (BBB) already listing cannabusinesses, it brings us great hope that the U.S. Small Business Administration (SBA) will soon open their doors to offer their expertise to all ganjapreneurs.

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SBA Whether the business is just a mere thought, in the start-up process or well-established, the SBA offers helpful tools and support for small business owners — but not if that business is knowingly affiliated with Cannabis. Established in 1953, the SBA aids entrepreneurs in building and growing their business by offering helpful how-to links and advice, loan programs, grants and everything in between that a small business owner might need assistance with, including everything from how to register the business to running it successfully. While so many entities turn a blind eye and shun away from the Cannabis industry and those associated with it, it’s hard to say whether the SBA will advise on cannabusinesses. Being a ganjapreneur and a small business owner of both a cannabusiness and a non-affiliated business, I would like to believe that one day they will, especially since I utilize their services frequently. Unfortunately, it’s highly doubtful it’ll happen without Cannabis being reclassified and completely legal on a federal level. Because the SBA is a government entity and is funded by federal funding, without federal legalization, the SBA is basically forced to keep their doors closed to the Cannabis industry and those seeking to enter into it.

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Although the SBA recognizes that small businesses are critical to the economic growth and building America’s future, due to federal restrictions, the SBA is not allowed to participate in assisting or funding a known cannabusiness. In time, I do believe the SBA will renegotiate their policies and standards by welcoming those that wish to enter into the Cannabis industry, enabling them to utilize their tools, or obtain a federal grant for funding their cannabusiness. But until that time comes, the opportunity is available for a wellestablished, financially supportive individual or company to form a similar organization specifically for the Cannabis industry. Like the SBA, this new entity created by a person(s) or Cannabis-friendly firm, could also help aid in providing loans to victims of natural disasters who might have lost acres of Cannabis during a drought or storm and even give specialized advice and assistance in international trading when it becomes allowed. Hmm, I think I foresee a potential future Business Highdea out of that one! There are currently Cannabis consulting firms available, but none that help to the extent that the SBA does. When the SBA gets the green light to assist with the Cannabis industry, it’ll be a win-win situation for all involved; it’s a growing industry that continues gaining ground with each passing day. In the meantime, cannabusiness owners can certainly utilize the SBA website to seek professional advice and take advantage of their many howto links. Note: As long as the topic ‘Cannabis’ or ‘cannabusiness’ is never brought up, anyone

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can utilize the various tools offered by the SBA and get personal advice on how to build and maintain a successful business. For instance, if the business has a relatable industry, anyone can set up a meeting with an SBA representative to discuss how to build that business successfully and move forward — just as long as Cannabis is never discussed.

BBB Don’t let the word, ‘bureau’ fool you. Established in 1912, the Better Business Bureau is a non-profit organization that is in no way affiliated with any government agency. Thus being the reason cannabusinesses can be located on their site. The BBB is all about integrity and makes certain information regarding a business available to the public.

ith a quick search using the keyword, ‘Cannabis,’ 33 businesses were listed, with an available link to a related search, ‘DispensaryMedical Marijuana’ which listed an additional 141 businesses. Each listing provides the complete business name, physical address, telephone number, fax number, website, email address, brief business description, whether it’s a BBBaccredited or BBB-not-accredited business. You can also see if there have been customer complaints over a three-year period and oneyear period, a business rating that is based on a grade scale of A+ through F, as well as a reason for their specific grade. There is also additional information available such as: date of accreditation — if applicable, business start date, date the file was opened with the BBB, licensing information, entity type, date of incorporation, number of employees, products

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and services available, business hours and any alternate business name. Not all businesses listed are actively open, some have closed up shop permanently. To be listed with the BBB, it is not a requirement that the business is an accredited business with the BBB, but it certainly doesn’t hurt a business’s reputation unless derogatory complaints are filed. In order to become accredited, the business must apply for accreditation and the BBB must approve the application after determining certain standards of doing business, including, but not limited to, a commitment to make good faith efforts to resolve any consumer complaints they have received. Accredited businesses must pay a fee to the BBB for continued review and monitoring support that the BBB provides to the public. The BBB also reviews advertising to ensure consumers get what they pay for. False misrepresentation of goods will quickly earn a business a low grade and could potentially open the business up to a formal complaint. It’s all about ethics and building stronger relationships between the business and consumers. Out of the 141 dispensaries listed on the BBB website, not many are accredited. Notice I didn’t say all of them — there are a handful of them that are accredited, which proves that times are changing.

Advertising Advertising a cannabusiness such as a dispensary is still a very grey area — there’s that grey cloud looming overhead once again. The FCC will not allow advertising a cannabusiness on television, radio or cable

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How ironic is it that in the very state in which the first person ever to be arrested and convicted for selling Cannabis is now the first state selling state-level legalized Cannabis?

television. Advertising is also not allowed on public transportation, Google, Bing or GoDaddy, publicly traded billboards or Facebook. However, advertising a cannabusiness is allowed in newspapers, magazines, privately owned billboards, mobile billboards and flyers. If it’s in print, that’s the best avenue to seek for placing an advertisement. Keep in mind, when thinking of placing an ad, discretion is always up to the publishing company, who has the right to refuse any ad. Note: due to the Anti-Drug Abuse Act of 1986, The FCC has the right to revoke any private operator’s license if they are found to have willfully used said license for the purpose of distributing, or assisting in the distribution of, any controlled substance in violation of any provision of Federal law.

Coincidence According to NORML, “on the day the Marijuana Tax Stamp Act was enacted — Oct. 2, 1937 — the FBI and Denver, Colo., police raided the Lexington Hotel and arrested Samuel R. Caldwell, 58, an unemployed laborer, and Moses Baca, 26. On Oct. 5, Caldwell went into the history trivia books as the first marijuana seller convicted under U.S. federal law. His customer, Baca,

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was found guilty of possession. Caldwell was sentenced to four years of hard labor in Leavenworth Penitentiary, plus a $1,000 fine. Baca received 18 months incarceration. Both men served every day of their sentence. A year after Caldwell was released from prison, he died.” How ironic is it that in the very state in which the first person ever to be arrested and convicted for selling Cannabis is now the first state selling state-level legalized Cannabis? Several months ago, there was a lot of buzz going around that Colorado Gov. John Hickenlooper (D) had proposed a bill that would release those incarcerated for a Cannabis-related crime. Sad but true, it was a hoax. This hearsay raised a lot of hopes, but it simply wasn’t true. There is no such bill and no anticipated releases for those in the immediate future. Federal legalization is inevitable. The Cannabis industry is booming and is gaining ground and speed even as this is written. Success doesn’t happen overnight and there’s usually a struggle and/or a fight involved in getting to the top. We’re struggling, we’re fighting and it’s a fight we won’t give up on. The progress we’ve made is better than the ink used to write our history books. Have patience — it’ll happen and together we’ll rewrite history! S

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MAY 2014

used to think of a business license as a veryadult, politically correct, conforming-tothe-Man type of thing. But the truth is that it’s simply part of the process of becoming legitimate and it provides business owners with both rights and protection, something that is highly valued these days, especially if one wants to open a medical dispensary. In Washington, you are required to file for a Master Business License and, once the recreational program kicks in, there will be the State-issued and -controlled Marijuana license. The medical business model represents all that is right with America, where the informed consumer can make a purchase at a safe location and only those who provide the best do better than the rest. What other licenses are needed to operate a dispensary? That depends on where you’re planning on opening your doors. One shop owner I spoke to has a Master’s Business license and one for King County, but that’s it. Since he’s not operating a restaurant, there is no food-handling requirement. As a dispensary you’re the equivalent of a corner

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market in Washington. These places offer various Cannabis-infused products, along with hash oils, and the plant itself, but in the grand scheme of things, Cannabis dispensaries are just like mom-and-pop stores for sick people. If you want to open a dispensary, you want to be smart about it. Create an LLC or some other form of corporation first. In Washington, a business entity applies for corporation status through the Secretary of State’s website. Costs are $200 if done online and $180 if the application is mailed in. Once you’ve established you’re a bona fide company, it’s time to obtain the business licenses, first, the Master business License. In Washington State, it’s easier to get involved in the medical Cannabis industry, since the recreational side is still in the process of defining and establishing itself. The State Business license is rather cheap, only costing a 19-dollar, non-refundable fee, and that includes the tax registration as well. Now from county to county, city to city, fees differ I choose Spokane, Wash., and their general business license is $110.

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By Miggy 420 Illustrations by Andy Rostar A cannabusiness is just a higher level of a 7-11type store with a kick. There is no specific pot pass. If you’re selling brownies, you better have a clean enough kitchen to pass an inspection and a food handler’s license. If you’re making oils, be very careful to check out the local zoning laws before opening up your shop. With 21 states, including Washington DC, that have passed medical marijuana laws, where does one decide to establish their business? California has long been a front-runner of the industry since passing the law allowing medical use of Cannabis 1996; ads from California dispensaries were top-notch when it came to testing and education; an educated consumer is a good consumer. Colorado came around in the year 2000 and legalized medical use, and showed the world that the industry can be controlled without personal compromise when producing quality product from the great plant. Recreational marijuana has transitioned smoothly there since it was recently legalized, and I imagine the revenue to be generated from the recreational sales will only encourage more support from the

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community and state government. The Cannabis industry is slowly but surely showing the world that planes don’t fall from the sky when Cannabis is legalized, and that those that consume responsibly can be good parents and an asset to the community. At this point, if you want to be involved it’s all about location, location, location. If I were a shop owner, I would pick Colorado; if I were a grower, I would choose Washington. As Washington gets its program together there will be zoned areas for growing which I think will fundamentally involve the medical grows as well. Sure, you can grow at home but to make proper extract you need mass amounts of plant; by the way, we don’t ask corn farmers how many stalks there are in his fields, do we? Of course California would be ideal but since they have yet to pass any recreational laws to every inner hippie’s dismay, it’s not an option to establish a business unless you’re already a resident and in that case, get your LLC, get your business license, supply your shop with only quality products and good luck on your future endeavor. S

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American Cannabis Company, Inc.

GROWING th By Douglas Leighton Illustration by Emily Cain American Cannabis Company, Inc. owns and operates three vertically integrated businesses — American Cannabis Consulting, Cube Root and The Trade Winds, which deliver an end-to-end solution for their customers and clients within the Cannabis industry. Through these businesses, the Company provides industry-specific advisory and consulting services, manufactures cultivation products and facilities, and manages a strategic group partnership that produces private-label customer products. Through their innovative products and service, American Cannabis Company is growing the next frontier.

manufacturing, whilst maximizing the yield of a commercial grow, to establishing the protocols for running a fully compliant and vertically integrated seed-to-sale operation, the team provides premier advisory services and are experienced in all growing methods, with particular expertise in biodynamic True Living Organic (TLO) production methods. The company has successfully procured licensing agreements for clients in several states and has access to existing and newgrowth opportunities in both domestic and international Cannabis markets.

American Cannabis Company provides an array of products and services to regulated and licensed medical and recreational Cannabis and hemp operators. Their fullrange consulting services include cultivation, operational and retail advisory. From medical Cannabis applications, to achieving lean

American Cannabis Company’s best-in-class innovations and products include the Trade Winds and Cube Root. The Trade Winds is a full supply chain solution for the Cannabis industry. The Trade Winds is committed to strengthening business performance and operational excellence through an aligned

JUNE 2014

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he next frontier membership, as well as the delivery of total cost management solutions, by aggregating purchasing volume across the Cannabis industry, including a comprehensive inhouse product portfolio and the visibility into cost management, value analysis, resource management, product standardization & utilization. Cube Root manufactures The Cube, a turnkey suite of products and equipment to create a state-of-the-art-grow facility. The Cube is an innovative, indoorplant cultivation solution that expedites speed to market and provides scalability and stringent environmental control. The Cube is built offsite and is delivered fully functional, enabling organizations to scale production, control the environments of grows, increase security, and maximize square footage and vertical gain. The co-founders of American Cannabis Company have over 25 years of combined

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industry experience that enable them to guide their clients through the myriad challenges within the evolving Cannabis industry. Corey Hollister and Ellis Smith have achieved several milestones in recent years, for which they have received national recognition. They were the first to cultivate medical Cannabis on a commercial scale using a niche growing technique known as True Living Organics (TLO). In addition, they helped the Cannabis industry identify and develop mitigation protocols for pests and infestation. For further information, contact Corey Hollister, CEO of American Cannabis Company. American Cannabis Company, Inc. http://www.americancannabisconsulting.com sales@americancannabisconsulting.com 720.466.3789

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the Green Table Interview

Ed Rosenthal

By Hippy KK The first weekend in April is always a busy one in downtown Ann Arbor, Mich., and this year was no exception. The Ann Arbor Hash Bash and Monroe Street Fair were a huge success. Many guest speakers at the Bash arrive a day or two beforehand so they can attend the annual MI NORML meeting or host seminars. For the second year in a row, the Guru of Ganja Ed Rosenthal hosted a growing seminar at the Sheraton Ann Arbor. This year’s seminar, the ‘Spring Planting Tune-Up,’ was sponsored by a local Ann Arbor provisioning center. After the seminar, I had the opportunity to sit down for a few minutes for a one-on-one with the renowned horticulturist. Although our interview took place in April, I felt it only appropriate to hold off publishing the piece until the Cannabis Professionals issue. After

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all, Ed ranks pretty high up in the Cannabis professional food chain. With Rosenthal being a California resident, we mainly focused on something very close to home for him — California’s drought. To be more specific, the drought that will have a great impact on this fall’s harvest coming out of Humboldt County, Calif. Or, as he predicts, the lack thereof. Q: At what age did you begin growing? A: I started growing flowers at the age of seven, Cannabis at the age of 13. Q: Why did you decide to specialize in Cannabis? A: I have always found it very fascinating and I like the way it makes me feel.

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Q: You sent in a Cannabis Policy Reform Act of 2014. [Rosenthal mailed in the The Cannabis Policy Reform Act of 2014 to the Calif. Secretary of State on Dec. 19, 2013, which begins the process of getting an initiative certified and circulated for signatures.] Do you think California will legalize the recreational use of Cannabis? A: I do. I think it will be passed by a very high number of votes this year. It’s going to happen this year. Q: Tell me your thoughts on the drought in California and how it will affect Cannabis cultivators out there as well as its distribution. Do you really think California is running out of water? A: It’s happening now. After three consecutive years of below-normal rainfall, California faces its most severe drought ever, but this year has been the worst yet. The governor has declared drought emergencies in several counties. Q: How will this affect the production of Cannabis in California? A: People aren’t going to be able to grow Cannabis, because they aren’t going to be able to water their crops. Q: Where will Californians get their Cannabis from if they can’t buy it at local dispensaries/ provisioning centers or grow it themselves? A: It will have to be imported from neighboring states such as Oregon, Arizona, Washington — even Montana. Q: What will this do for California? A: It’ll turn California into an import state for Cannabis. Q: Okay, but importation can’t happen until Cannabis is federally legalized. What’s the

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Ed Rosenthal

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“I think [California] will be the first state to import Cannabis.”

solution until then? A: Correct. In the meantime, people are going to be traveling themselves to get it [from] out of state. Q: If Cannabis could be imported to California, why can’t water? A: Because no one has enough of a water supply to share with the state of California.

Q: Is this drought affecting the entire state of California? A: It is, but not as drastically as it is affecting Northern California. Southern California grows indoors, Northern California grows outside and uses irrigation systems. Q: The drought won’t affect indoor grow operations in Southern California then?

Q: Do you really think California will become an import hub for Cannabis?

A: No, just those particularly in Humboldt County, the Emerald Hills.

A: I do, I think it’ll be the first state to import Cannabis. California will become an import hub for Cannabis.

Q: So, this year’s harvest coming out of Humboldt County will be greatly affected by the drought?

Q: What effect will the drought have on Cannabis prices?

A: Yes. I don’t think there will be much harvested out of there this fall.

A: The prices are going to skyrocket — potentially double in price. Not just on Cannabis, but on all Cannabis products as well. If you have to pay a higher price for the Cannabis, you’ll have to pay a higher price than normal for medibles or concentrates as well. Prices will increase significantly. But people will pay it no matter the price.

Ed Rosenthal is a legendary Cannabis activist, horticulturist, author, publisher and a professional Cannabis consultant. It was both an honor and a privilege that he granted me the opportunity to interview him. I take his every word to heart when it comes to cultivating Cannabis and look forward to any future visits he might have to my home state. S

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