Marijuana companies have an increasing level of the fund platforms which are rising with the aim of increasing the support for these enterprises. Many startup companies have initiated in the different lands of the United States and Canada. The potential growth for the marijuana industry is high and investors are growing up by taking the notice of these ventures. Cannabis for the medical industry has an ample of room for innovation and the industry has experienced a growth of 74 percent over the past year. The revenue is expected to double with the legalization of marijuana in different regions, such as California.
Consistent Demand
There are many technical segments initiated in the market but the marijuana business has a preeminent advantage over the other companies. There is no need to educate about this matter to the consumer base and it is the biggest advantage for the demanding industry. Medical marijuana is available in 23 states of the US and the recreational marijuana is legalized by the state of Washington and Colorado. The investors who have backed up with the other segments are preferring the cannabis industry for getting their funds on the track. Even the top-shots like Snoop Dogg (Calvin Broadus, Jr.) is putting the investments in the marijuana industry for its progressive option. Calvin had an affinity for cannabis and this is the prime reason for him to put together a specialized funding for investing in marijuana stocks.
Look out for the right timing
Marijuana industry has a good scope and is an emerging segment. The funding in the startup options for marijuana is turning in from all the options. The high probability of cannabis turning legal in many other US states is the major reason for the startup companies to choose this sector for making a profitable business.
Taking a practical example, Weedmaps is an app created to locate the marijuana-related medical dispensaries. The investors were impressed by the concept and had a quick going with the company’s concept. The company was purchased by General Cannabis, Inc. for cash and stocks. Most of the marijuana setups have been able to bring good sums from the investors who find a good scope in investing in the cannabis groups. Leafly is the biggest example for the startups to attract interest from over 100 investors. In the last year only, there were about thirty venture investments reported in the marijuana startup companies.
Constraints in Cannabis Investment
Every investor doesn’t trust the cannabis stocks due to the reason for their hesitation for the cannabis-based investments. There are thousands of opportunities associated with cannabis-based investments but on the same side, there is some stigma associated with some people for the investment in the marijuana industry. The estimates indicate that there are millions of people in the US who make use of marijuana on daily basis. The issue will be resulted as per the status of the votes next year.
The legalization for marijuana is certainly a rapidly moving concept for the people who are willing to bet on the potential offered to their investment by this controversial weed opportunities.