Marijuana Business Factbook 2019

300 Marijuana Business Factbook 2019 Appendix © Copyright 2020, Marijuana Business Daily , a division of Anne Holland Ventures Inc. You may NOT copy this Factbook, or make public the data and facts contained herein, in part or in whole. For more copies or editorial permissions, contact CustomerService@MJBizDaily.com or call (720) 213-5992, ext. 1. Chart 5.02: Retail Business Structure Overview By Market......................................................................................................................................................................................226 Chart 5.03: Number Of Retail Locations & Total Fees For Sampling Of Recreational & Medical Markets...............................................................................................................227 Chart 5.04: Estimated Retail Sales In 2019 For Sampling Of Recreational & Medical Markets...............................................................................................................................229 Chart 5.05: Retailer Overview: Typical Revenue, Expenses & Startup Cost By Business Type & Market Served....................................................................................................230 Chart 5.06: Portion Of Profitable Retailers In 2018 By Business Type & Market Served.........................................................................................................................................232 Chart 5.07: Retailer’s Business Expectations For 2019.............................................................................................................................................................................................234 Chart 5.08: Top Challenges For Cannabis Retailers..................................................................................................................................................................................................235 Chart 5.09: The Impact Of 280E On A Retailer’s Bottom Line..................................................................................................................................................................................237 Chart 5.10: Number Of Retail Marijuana Stores Per 100,000 Residents By City: Comparison With Starbucks & McDonald’s.............................................................................238 Chart 5.11: Concentration Of Colorado’s Retail Marijuana Market...........................................................................................................................................................................239 Chart 5.12: Colorado,Washington State & Oregon’s Recreational Marijuana Markets: Retail Sales Percent Change Vs. Previous Year................................................................240 Chart 5.13: Share Of Adult-Use Cannabis Sales In Colorado &Washington State By Category & Year................................................................................................................... 241 Chart 5.14: Growth Of Retail Chain Stores In Colorado & Oregon’s Recreational Markets......................................................................................................................................242 Chart 5.15: Sampling Of Sales & Patient Counts In New Medical Marijuana Markets..............................................................................................................................................243 Chart 5.16: Most Expensive Startup Costs For Retailers: Breakdown By Business Type.........................................................................................................................................244 Chart 5.17: Most Expensive Monthly Operating Costs For Retailers: Breakdown By Business Type........................................................................................................................245 Chart 5.18: Number Of Retail Store Locations & Square Feet Of Retail Space Per Store For Dispensaries & Rec Shops......................................................................................246 Chart 5.19: Recreational Cannabis Sales In California, Colorado, Oregon,Washington State & Nevada: Breakdown By Year...............................................................................247 Chart 5.20: Colorado &Washington State’s Recreational Marijuana Markets: Sales Change By Category From 2017 To 2018............................................................................248 Chart 5.21: Retailers: Average Number Of Daily Customers & Average Transaction Amount Per Patient/Customer............................................................................................249 Chart 5.22: Washington State’s Recreational Marijuana Market: Category Market Share By Age Group...............................................................................................................250 Chart 6.01: Testing Labs Overview: Revenue, Expenses & Startup Costs.................................................................................................................................................................252 Chart 6.02: Number of Testing Labs In A Sampling Of Adult-Use Markets...............................................................................................................................................................253 Chart 6.03: Testing Lab Overview: Typical Number Of Clients Served,Testing Time Turnaround & Number Of Cannabis Samples Tested Each Month.....................................254 Chart 6.04: Types of Cannabis Testing Obtained By Marijuana Businesses............................................................................................................................................................255 Chart 6.05: Portion Of Ancillary Businesses That Solely Serve The Cannabis Industry..........................................................................................................................................257 Chart 6.06: Number Of States Served By Ancillary Businesses...............................................................................................................................................................................258 Chart 6.07: Year Ancillary Businesses Launched.......................................................................................................................................................................................................259 Chart 6.08: Ancillary Companies: Top Five Challenges.............................................................................................................................................................................................260 Chart 6.09: Ancillary Services Firms: Breakdown Of Primary Offerings..................................................................................................................................................................262 Chart 6.10: Ancillary Services Firms: Sampling Of Annual Revenue From Cannabis Industry By Service Type.....................................................................................................263 Chart 6.11: Ancillary Services Firms That Serve Multiple Industries: Average Portion Of Revenue Derived From Cannabis Industry By Service Type........................................264 Chart 6.12: Ancillary Services Firms That Serve Multiple Industries: Average Number Of Marijuana Business Clients In 2018 Vs. Expected In 2019.........................................265 Chart 6.13: How Profitable Are Ancillary Services Firms?.........................................................................................................................................................................................266 Chart 6.14: Most Common Types Of Ancillary Technology & Product Offerings......................................................................................................................................................268 Chart 6.15: Ancillary Technology & Products Companies: Sampling Of Annual Revenue From Cannabis Industry By Type..................................................................................269 Chart 6.16: Ancillary Technology & Products Companies That Serve Multiple Industries: Average Portion Of Revenue Derived From The Cannabis Industry...........................270 Chart 6.17: Ancillary Technology & Products Companies That Serve Multiple Industries: Average Number Of Marijuana Clients In 2018 Vs. Expected In 2019 By Product Type..........................................................................................................................271 Chart 6.18: How Profitable Are Ancillary Technology & Products Companies?........................................................................................................................................................272 Chart 7.01: Estimated Legal Spending On Medical & Recreational Cannabis In 2021 By Geography......................................................................................................................275 Chart 7.02: Global Investment Activity In The Cannabis Industry By Company Type & Year...................................................................................................................................276 Chart 7.03: Global Cannabis Industry Investments By Sector & Year.......................................................................................................................................................................277 Chart 7.04: Sampling Of Marijuana Companies’Revenue & Market Capitalizations: Canadian Businesses Compared With U.S. Businesses.....................................................278 Chart 7.05: Overview Of Regulatory & Business Climate Faced By Publicly Traded Plant-Touching Companies Based In The U.S. & Canada......................................................279 Chart 7.06: North American Cannabis Stock Index Performance Versus S&P 500: January 2018 Through April 2019.........................................................................................280 Chart 7.07: Sampling Of Major Public & Private Cannabis Company Deals & Capital Raises: January 2018 Through April 2019.......................................................................... 281 Chart 7.08: Types Of Investments Made By Cannabis Industry Investors: 2017 Compared With 2019...................................................................................................................282 Chart 7.09: Source Of Capital To Launch: Operational Cannabis Businesses Based In The U.S..............................................................................................................................283 Chart 7.10: Percentage Of Operational Marijuana Businesses Actively Seeking Funding Or Planning To In 2019..................................................................................................284 Chart 7.11: Typical Amount Of Funding Operational Cannabis Businesses Are Currently Seeking..........................................................................................................................285 Chart 7.12: Postlaunch Funding For Cannabis Businesses........................................................................................................................................................................................286 Chart 7.13: Interest Rates Paid & Equity Given By Cannabis Businesses For Prelaunch & Postlaunch Funding.....................................................................................................287 Chart 7.14: Investments In Cannabis Businesses: Typical Investor ROI....................................................................................................................................................................288 Chart 7.15: Cannabis Industry Investors: Typical Investment Amount To Date,Additional Investment Amount Planned For 2019 & Size Of Each Investment...........................289 Chart 7.16: What Types Of Privately Held Marijuana Businesses Do Investors Prefer?............................................................................................................................................290 Chart 7.17: Funding Stages Targeted By Cannabis Investors..................................................................................................................................................................................... 291 Chart 7.18: Investors’Primary Considerations When Evaluating Privately Held Cannabis Businesses...................................................................................................................292 Chart 7.19: Top Mistakes Private Cannabis Businesses Make When Seeking Funding,According To Investors......................................................................................................293