Oakland Pot-Growing Plan Worries Small Bud Tenders
- Thread starter Strainhunter
- Start date
215forLife
Member
If you actually read the whole RAND report you will see where they admit they really have no idea what will happen to prices. But as with any basic good when supply is increased prices generally fall.
There is another city in California that's looking at allowing megawhorehouse grows too.
There is another city in California that's looking at allowing megawhorehouse grows too.
i can't really disagree with many of your points
the american medical system is a bit of a sewer, parts of it anyways
but it is what it is, at least for the moment
i can't picture a legalization bill that is not going to infuriate many, i fear we will have to pick our poison to some degree
yup, San Leandro, which is located next to Oakland.
think about this, richard lee wants to produce 60+ lb's from each of his warehouses per day, he is getting two of the permits so far. thats 120+ lb's per day flooding the medical marijuana market, and thats from only 2 of them! not to mention he has plans of building bigger warehouses in socal...
can anyone compete with that, i don't think so.........
his plan to be able to provide pot to every dispensary, effectively shutting down any grower who has been providing meds to a dispensary.....
all this by a Dick.......
Tommy Trichome
Member
Ok, I use a figure of around $900/# cost of production, which includes everything I could think of, including labor.
Some of those are fixed costs (irrespective of final yields) and some of them are variables, like time spent trimming. But let's use $1K as a nice round number and for ease of math.
I know RANDs numbers suck, but they were the worst I could find. The state AG has said they expect prices to drop by 50%, which puts us around $1500 a pound wholesale.
So at $2500 a pound that works out to $15K a month profit, at $1500 a pound it's $5K. That's before taxes mind you, but we'll see how that plays out in my particular county.
Before anyone gets all excited about profits, know that I typically reinvest at least 50% of each harvest back into the grow room, performing upgrades and repairs. The rest covers cost of living, and hopefully there's something set aside for savings to buy a house or set up another op.
For example, this months harvest is gonna be small, maybe 5#. Out of that I HAVE to buy 3 mini-split AC's (about $6K, $10K if I wasn't a good bargain hunter) , buy a trimmer (I've been renting one) pay my helpers, pay rent, power, 25 more bags of soil, nutes etc... In other words, I will get to keep about $0 of it, the entire crop has already been budgeted and spent on making sure I'm still operating next month.
Not every month is like that, but you'd be surprised at the expense of running a large op. My power bill is $3400 a month now! That alone is over a pound a month, gone to the utility company.
Growing small amounts of AAA quality weed is tricky, growing large amounts of it reliably is a BITCH. My quality doesn't change, but my first crop was 3#! My second was 6, and I haven't even paid for the hardware in the op yet (still in the red.) But I learn something new every day, plan ahead, budget very carefully, and work my ass off!I just wish it counted for something at the end of the day, as I know that none of it is worth a damn thing to any legit business.
Interesting.. thank you for sharing!
I just did my math and it doesn't quite add up to yours. Also, my math assumes a 5# harvest from 5Kw every cycle. And we all know how variable that can be (1 cycle could be 8#'s & the next could be 3)! I also don't have the space for moms & clones, so I am forced to purchase them. I also, since I (& all my patients) consider my meds AAA, pay $250/# for high quality indoor trimming (no geometrically shaped nugz or machines knocking off thrich's!). So my cost per # is about $1800 (assuming a 5# cycle) and does not include anything for my time.. I also seem to average about 20#'s/yr which would make my cost even higher..
When I first set up my grow I did a detailed budget and came up with an operating cost of about $40K/yr. So if I'm averaging 20#'s/yr at $1500/# I would be in the hole for $10K. If it was $2500/# I would make $10K/yr for all my hard work.. And if I was getting $4K/# (like the old days) I would be doing okay at $40K/yr. But all that's happened over the past few years is that I'm sinking further into the hole..
I love what I do more than anything I've ever done in my life, but I'm realizing that it's time for me to find a new way.. I'm very sad about that.. And I'm also very angry at all the newbies, out of staters, & entrepreneur's who seem to be pushing all of us who grew up in this community out...
215forLife
Member
I know how he can be beat, but I can't do it alone,..
215forLife
Member
Oh an San Leandro is news to me. I was talking bout somewhere else.
WOW! absolutely sickening.
215forLife
Member
If Dicklee is really wanting a liqour model then he will realize he can only do one of three things as there is a purposeful 3 tier distribution system with alcohol. Make it, wholesale it, or retail it...
The state will fuck him too eventually if the DEA doesn't hit em first, unless ofcourse he paid off the DEA too like he has Kaplan...
The state will fuck him too eventually if the DEA doesn't hit em first, unless ofcourse he paid off the DEA too like he has Kaplan...
Interesting.. thank you for sharing!
I just did my math and it doesn't quite add up to yours. Also, my math assumes a 5# harvest from 5Kw every cycle. And we all know how variable that can be (1 cycle could be 8#'s & the next could be 3)! I also don't have the space for moms & clones, so I am forced to purchase them. I also, since I (& all my patients) consider my meds AAA, pay $250/# for high quality indoor trimming (no geometrically shaped nugz or machines knocking off thrich's!). So my cost per # is about $1800 (assuming a 5# cycle) and does not include anything for my time.. I also seem to average about 20#'s/yr which would make my cost even higher..
When I first set up my grow I did a detailed budget and came up with an operating cost of about $40K/yr. So if I'm averaging 20#'s/yr at $1500/# I would be in the hole for $10K. If it was $2500/# I would make $10K/yr for all my hard work.. And if I was getting $4K/# (like the old days) I would be doing okay at $40K/yr. But all that's happened over the past few years is that I'm sinking further into the hole..
I love what I do more than anything I've ever done in my life, but I'm realizing that it's time for me to find a new way.. I'm very sad about that.. And I'm also very angry at all the newbies, out of staters, & entrepreneur's who seem to be pushing all of us who grew up in this community out...
Man I feel your pain, I was in the same boat just last year.
Your costs seem really high to me, from what I've gathered in the few threads I've seen on costs, the average seems to be between $400-$800/#. I know everyone is different, but yours is the highest I've seen!
It's tough to remember all the things I accounted for:
Rent
Power
Nutes
Seeds/Clones
Pots
Soil/Medium
Cloning supplies
Pesticides
Repairs/Replacements (bulbs included)
Upgrades
(this is often significant)
Labor (including any helpers, trimmers, driving time)
Packaging
What am I forgetting?
One thing to keep in mind is it takes two for pulling this off:
The supplier and the dispensary.
So if a dispensary is really all about what some of them claim they are...then they should choose wisely who they buy from.
The supplier and the dispensary.
So if a dispensary is really all about what some of them claim they are...then they should choose wisely who they buy from.
215forLife
Member
Lazy the 40% income tax the irs takes
kstampy
Member
Prescription drugs are killing and ripping apart my family through addiction. I won't go in to my story and I don't care what people think but I am sure a lot more people than I expect have similar problems. I wouldn't spend a penny on this weed if/when it happens. It's the same assholes making money off of everyone and screwing the same people in the process.
Grow your own medicine and be well. REZ hit the nail on the coffin IMO.
If it isn't legalized in Nov. I still hope for our planet's sake that we can legalize the industrialization of hemp shortly down the road.
Grow your own medicine and be well. REZ hit the nail on the coffin IMO.
If it isn't legalized in Nov. I still hope for our planet's sake that we can legalize the industrialization of hemp shortly down the road.
binaryfission
Member
methinks all these pounds get turned into hash and butter. quality will go up after and initial flooding of the market with poop. its happening already, the flood. then top shelf will be cheap and tolerances will rise again.
increasing tolerances yield increasing hashish and edibles market.
120 #'s a day means 12 #'s of top shelf melt. right? give or take. this will cost what to produce? how fast will those 12 lbs be eaten up??
increasing tolerances yield increasing hashish and edibles market.
120 #'s a day means 12 #'s of top shelf melt. right? give or take. this will cost what to produce? how fast will those 12 lbs be eaten up??
mr. bojangles
Member
"I'm very curious to see what the DEA does when they KNOW the address where 25K plants are being grown."
Exactly. I don't know why ya'll are even worried about the big guys with there shit all in the feds face. You think fly overs in the triangle are easy pickins for those guys wait till you see richard lee getting hauled off in cuffs. Not that I want to see anybody busted, but it's pretty obvious what the fed are planning to do to retaliate. Fucked up deal anyway you look at it,really.
Exactly. I don't know why ya'll are even worried about the big guys with there shit all in the feds face. You think fly overs in the triangle are easy pickins for those guys wait till you see richard lee getting hauled off in cuffs. Not that I want to see anybody busted, but it's pretty obvious what the fed are planning to do to retaliate. Fucked up deal anyway you look at it,really.
215forLife
Member
I coulda swore it was Lee who said don't taunt the DEA on that damned Marijuana Inc. Cnbc special.
I bet hella displaced growers are probably going be bitches and try to rat him out to the,...
I bet hella displaced growers are probably going be bitches and try to rat him out to the,...
he did, and there has to be some kind of deal being cooked
not sure what, DEA isn't much of a dealing organization
my wild guess is DEA may get an arrangement for on-site monitoring
the benefit to DEA would be getting the smaller medical grows reduced, they can't keep track of them, and they probably hate that, illegal diversion of MJ etc.
T
THE PABLOS
...I respect that he has the balls to go for it and step up to the plate.....hefty pay day vs hefty risk? The DEA is vicious. I'm very interested. It is an exciting time any way you look at it....I enjoy good storms....tests my fortitude....this is history.....see how it gets written.
If somehow he has the lawyers and the inner circle to pull it off...more power to him....I couldn't do it....I have no idea how that circle plays.....and I don't have the will or desire for that kind of fame. Crazy Xs in California....why I'm a loyal subject....never a dull moment. Rock the fuck on....for better or worse.
If somehow he has the lawyers and the inner circle to pull it off...more power to him....I couldn't do it....I have no idea how that circle plays.....and I don't have the will or desire for that kind of fame. Crazy Xs in California....why I'm a loyal subject....never a dull moment. Rock the fuck on....for better or worse.
Gastro
Active member
I don't understand why everyone is so concerned about the small grower in this. It is no different than any form of industrialization our world has seen over the past century. From food to cotton to cars. Everything has been upscaled, this was bound to happen sooner or later. It will segment the market completely, like basically any market, right. The masses will go for the affordable average quality stuff, and small percentage of the market will go for the high end top quality stuff. Like choosing a bottle of krug over a bottle of blue nun. It has its pro's and cons, for the patient it will get cheaper which is only better, the grower can finally grow legally without having to worry bout the cops etc. It creates a healthy form of competition, forcing quality to rise at an allround level, and hopefully there will finally be a lot more serious research done on the subject than the 100 years before this.
