MMPR Pricing and Varieties
- Thread starter Kootenaygirl
- Start date
Getting a DIN is in every producer's and patient's best interest. Once the system is up and running the producers will no doubt form a growers association to conduct common research and lobby the government. Thinking that this would come about from any single producer is silly IMO. For anyone participating in the new system, you should shop around and find the best producer for your needs and if a better one comes along you should switch.
From my interpretation of the regs, I predict that some of the dispensaries will end up buying wholesale from many smaller producers and become an online version of their former selves. This will give patients access to a wider array of products, and will help the smaller producers reach the market. In the end, the DIN either will or will not come to fruition, but no single producer will be responsible either way.
Looks like i didnt need luck..just some hard work and a good team. How are you making out?
All good leaf fan..i forgot to mention strong shoulders for the sticker shock..lol..to all trying to get involved in becoming an lp..get yourselves ready fo the cost of hvac and security..ouch. I know of a group that spent a lot of time and $$ for planning and getting the application done in a large (shared) warehouse and the cost for just security was going to be 250,000 for their 10,000 sf op. It basically brought them to a halt.
To be honest though did them a favor because the building itself would have never passed.
Also know a group that tried to light up a 40,000 sf building in whitby and the city said that they dont want that kind of business and will zone it in such a way that it will discourage anyone from trying.
Becoming an lp is a difficult task to say the least. So leaffan maybe youre right..i will need some luck. So far so good though.
leaffan
Well-Known Member
Hey pat...a good team is so critical. Everyone has their own strengths and weaknesses. One of the biggest challenges is to have investors on the same wave length as the growers and marketing team. Many investors just don't understand the marijuana business. Some think it's just like growing corn, I suggest they think of it more like producing wine!
I think growers have to be kept in check. Meaning they tend to fall in love with growing techniques and strains. They tend to forget that the marketplace dictates what should be grown, and how.
Although the MMPR only requires you to notify police, fire, and municipalities it is highly recommended that you get their blessing. It is so much easier to work with them. If you don't, I would expect you would have some very expensive lawyer bills in the future.
250k security for 10ksqft is way out of proportion IMO.
There really shouldn't be any sticker shock. The MMPR is an expensive venture. 750k for 16k sqft sounds appropriate ( I think that was your #s ).
Having said that....an application can be made, and an approval to build from HC can be achieved with minimal cost. You don't need a building, a LOI will suffice. You don't need the security in place, a detailed plan is required. The majority of capital required 99% only is required after the approval to build has been granted. It is a lot easier going to an investor with an approval to build in hand.
I think growers have to be kept in check. Meaning they tend to fall in love with growing techniques and strains. They tend to forget that the marketplace dictates what should be grown, and how.
Although the MMPR only requires you to notify police, fire, and municipalities it is highly recommended that you get their blessing. It is so much easier to work with them. If you don't, I would expect you would have some very expensive lawyer bills in the future.
250k security for 10ksqft is way out of proportion IMO.
There really shouldn't be any sticker shock. The MMPR is an expensive venture. 750k for 16k sqft sounds appropriate ( I think that was your #s ).
Having said that....an application can be made, and an approval to build from HC can be achieved with minimal cost. You don't need a building, a LOI will suffice. You don't need the security in place, a detailed plan is required. The majority of capital required 99% only is required after the approval to build has been granted. It is a lot easier going to an investor with an approval to build in hand.
Kootenaygirl
Active Member
You hit the nail on the head Leaffan, 99% after "ready to build", to that, we are adding our small existing facility, that we will spend under 30K for some electrical and security upgrades to comply, IMO, and waiting til we get the ready to build for those expenditures too. Meanwhile our Website, containers, labeller, etc will work now and later, for any size facility.
I totally agree as well. All of our investor $$ that we have collected is in our lawyer's trust. Its only to be used once we have permission to build.
In terms of the city..you could not be more right. We have strong ties to our city and we also have a letter from the ebd of our city showing full support. If we tried the same deal one city over then they would do nothing but try to crap on us.
We engaged the same firm as pps for security. Now the price includes the vault and many other things. We know of 3 other groups that had they application kicked out due to lack of security. If they try to kick ours out for security then we have a case that proves pps to be inadequate as well.
Its a tuff gig for sure. The application is the easier part..excution will be everything
WHATFG
Well-Known Member
I actually lly asked this in another thread. Can you explain why the plant will never get a DIN? I was wondering about this earlier but I couldn't recall why it hasn't been treated like other "drugs" and why big pharma hadn't jumped all over it.
A few things that I wanted to add. I did the last post via my cell and it's a bit of a PITA.
We actually stepped it up to 15,000sf.
In terms of security, our consultant gave us a clear understanding of what HC is looking for..It goes FAR beyond what the security doc specifies. It's insane actually.
By bringing on the security consultant for PPS to design our security, we know that we'll pass. Keep in mind, that you can get the permission to build with a somewhat basic system..that is true but when they come for the final inspection they will put you through the ringer and that's where most will fail. Honestly, it's not right that HC was so vague with the security specs. They should outline what the final inspection will entail so that the LP has a fighting chance.
I agree that getting investor $$ is easier with a permission to build..that's for sure..But you can not give yourself a real valuation until you truly know all of your costs. We had to spend additional $$ to get those figures.
If you want to know what the final inspection in terms of security will look like, shoot me an pm. I do not want to post it here. You'll be shocked. I was.
Please keep in mind that I'm just trying to help..Not trying to discourage anyone..
We actually stepped it up to 15,000sf.
In terms of security, our consultant gave us a clear understanding of what HC is looking for..It goes FAR beyond what the security doc specifies. It's insane actually.
By bringing on the security consultant for PPS to design our security, we know that we'll pass. Keep in mind, that you can get the permission to build with a somewhat basic system..that is true but when they come for the final inspection they will put you through the ringer and that's where most will fail. Honestly, it's not right that HC was so vague with the security specs. They should outline what the final inspection will entail so that the LP has a fighting chance.
I agree that getting investor $$ is easier with a permission to build..that's for sure..But you can not give yourself a real valuation until you truly know all of your costs. We had to spend additional $$ to get those figures.
If you want to know what the final inspection in terms of security will look like, shoot me an pm. I do not want to post it here. You'll be shocked. I was.
Please keep in mind that I'm just trying to help..Not trying to discourage anyone..
A plant on its own will never receive a DIN. That's the rule and you're right.. big pharma would have been all over it..there's an interesting youtube video that explains it all..i'll try to dig it up for you. They explain it better then I ever can
OKLP
Well-Known Member
Yup! Not sure about half dried leaves. The seconds and sugar leaves? Sell em at a discount! Bakers, low income, and people that don't need kick ass cannabis will flock to your door!
WHATFG
Well-Known Member
Oh no...that has to be destroyed...Right!!!
OKLP
Well-Known Member
Not sure is that was sarcastic or not, sorry, I just got here. There is no reason why an LP cannot use a "graded" system, similar to fruit, and sell at various prices accordingly.
One example. Many cannot or will not buy their full prescription amount. Possibly, with their "unused" portion of prescription, they buy some cheap sugar leaf for baking.
As a client, I would likely be interested in BOTH, the best (most expensive) and the cheapest, depending on my bank balance. I often have to mix crappy with good, at least I get a TASTE of the good
