Magical Couch of Truth Bombs - Episode 2 - Marijuana Delivery

Let’s get deep.. Kim & Adrian discuss marijuana delivery! 🌿

But seriously, they drop some truth bombs about the pros and cons of building a startup that is riding the wave of new technology, regulatory change or trend.

Transcript:

- So a startup called Ease, it's a weed, or marijuana, delivery startup in the States, in California, just raised a shit load. So they've joined, probably, there must be 30, 40 of these at least in California.

- Cool.

- Marijuana delivery. Yeah, just raised a bunch of cash and stuff.

- Like the ones out there actually it's safe telling the world that they're doing it, that is

- Yeah, yeah, yeah, yeah, oh yeah, the.

- There's probably a hundred thousand marijuana delivery people running around the States.

- Correct, yes. I think it's good that it's become legalised. So yeah, I think it would've destroyed a lot of that industry,

- Yeah.

- And the quality would be pretty good now. What do you think about startups like this that are dependent on regulations?

- Well, my last startup was illegal, so, I know all about the regulations. I think there's a number of opportunities. If you've got an opportunity to jump on something that is going to be legalised and going to open all these doors, and you can make sure you're there first, and for some reason you've got these unique opportunities for distribution, then it could be a goldmine. But just because you're first, there's probably a hundred other people planning exactly the same move as you. And they aren't there yet.

- Yes.

- And they're not visible yet. But that doesn't mean that they're not there and they're not ready to go as well.

- And even though it's dependent on regulation, of course you can get ready to go. But I think what a lot of people don't plan for enough, starting a startup like this, is understanding you costs in lobbying to governments. Like your scale. You can only scale as fast as your amazing team can convince governments to legalise stuff. And whether that's crowdfunding for equity like that's about to become available in Australia,

- Yeah.

- Which comes with risks. Or people being able to smoke pot, and order it to their house.

- Yep. It's a really big cost. I think these startups can crank a lot of cash, but I think their scale's gonna be really restricted and they might, I think they might struggle to build the company up.

- Yep.

- And to continue that valuation lifting up at the rate that they're hoping for, I think they're gonna have issues there.

- Yes. I think planning something that's, planning something so you can be there when it launches is very risky 'cause you're very much dependent on someone else's move.

- Yes.

- But coming in behind that maybe isn't bad.

- Yep. I actually met this guy that knows people that understand that this could become available in Australia. The marijuana thing.

- Yep, yep.

- Like, in the near future wise, it's spoken about. You know, gay marriage is a big thing at the moment.

- Yep.

- Equality. But there's been an ongoing conversation for a long time around have, being able to do. And these guys are taking such a risk, they've got Chinese money involved, and they've literally got fucking tonnes of equipment ready to just set up massive weed farms. Like they've just got it sitting there waiting for it to be legal.

- Have you invested in it?

- I haven't invested in it, no. But I'm supportive. But, and so, but like, yeah. It is literally gambling, right? Just waiting for it to,

- Yep.

- To hopefully open up. I know a number of crowdfunding for equity companies in Australia have been waiting. Right now, the ones I've spoken to recently have been waiting over a year long than they thought they would've been waiting,

- Yep.

- Because the government made a big hoo-rah about, they were gonna open it up. And then they opened it up, but it was like, the barriers were enormous. So no one's been able to utilise it yet.

- Yep. 'Cause marijuana delivery is just another delivery company.

- Correct.

- So if you're producing the marijuana like the guys that you're talking about are, that's completely different.

- Will be soon. They're waiting.

- Will be soon. They're waiting.

- Maybe they're not.

- They're doing it illegally at the moment.

- They've told me they're waiting.

- They've got it cranking and they're actually making more money than they would if it were legal, so they're doing fine.

- Eventually. Eventually.

- But if you, yeah, if it doesn't live up to the hype you're in trouble if you can't, if you're just a delivery company, that's kind of in trouble 'cause there's lot of,

- Other things.

- Other delivery companies with huge logistics businesses that could do marijuana as well if it were legal.

- So the biggest tip is focus on growing the weed. Don't put too much of your business model around the delivery of the weed, is that what you're saying?

- Yeah, yes.

- Great tip.

- Cool.

- Boop, boop, boop.