Last year was challenging, but 2021could be transformative.
Last year was challenging, so you may be wondering: What’s in store for 2021?
Well, this year, investors will slowly come out of their coma, and financing will gradually pick up. Companies with bad balance sheets and lack of profitability may see hostile takeovers and M&A activity in 2021. After a winter of death and disease, most in-person events and gatherings will not occur until 2022, although MJBizCon in Vegas has a fighting chance in December of 2021. Expect more pivots by events-based businesses to virtual, or a hybrid model may emerge. I expect 2021 to be a grind in Q1 and Q2, similar to 2020, but if the vaccine gets distributed well and people comply, Q3 to Q4 could see compelling growth, particularly in places like Nevada.
On a positive note, more ownership by people of color and social equity licensees will occur in 2021, and I see consumers embracing these companies more than ever before. Even better, corporate cannabis will start to incubate these businesses more and understand the greater value in being a part of the solution than piling onto the problem. This will also be a banner year for sustainability in cannabis. As the community continues to innovate in this area, expect to see more biodegradable packaging and materials across the board. If financing can follow, big steps can be taken in this area in the new year.
I asked a few of my colleagues in the cannabis and psychedelic sectors to share their forecasts, too: Success Centers Equity for Industry Program Manager Angela White, DoubleBlind Co-founder Shelby Hartman, Backbone Chief of Operations Peter Huson, PhD, Vicente Sederberg Partner & Composite Co-founder Jeffrey Welsh, Space Coyote President Scott Sundvor, and El Planteo CEO / Benzinga Cannabis Managing Director Javier Hasse.
Published: February 09, 2021
Founder & Interim Editor of L.A. Cannabis News