Humboldt Cannabis Farmers - Legal Cannabis Community Resource

WillowCreekTerps

Member

Registered: 2018-02-26

Posts: 20

How does the distributer even make money?

I really do not understand how this works?
The distributor takes the weed and then sells it to the dispensaries?
Is the farmer now allowed to negotiate a price and why do we even need to use a distribute?
It seems like all the tax burden is being put on the growers? 

MyersflatGrower

Member

From: Myers Flat, CA

Registered: 2018-02-24

Posts: 19

Re: How does the distributer even make money?

I am thinking they are secret middle men.
They do not want either side to talk so they can make a healthy profit for themselves.
I think it sucks, we do not really need distribution.
These fools are trying to strip the farmer down to nothing but a production company.
What happened to any of the value added money we were supposed to make?

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Myers Flat is Where its At........ Yea. We keep hearing that..

oldgrowthcannabis

Administrator

Registered: 2018-02-23

Posts: 39

Re: How does the distributer even make money?

I believe distribution makes money by charging a 10-15% fee for all products sold.
They also make money off things like:
- Packaging
- Transportation
- Testing
- Brand Merchandise
- Promotion
- Branding services
- Processing
- Storage fees

Those are just my initial guesses.

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Old Growth Farms - Premium Sun grown Cannabis from Humboldt County.

byronhep

Member

From: Norway

Registered: 2019-05-01

Posts: 4

Re: How does the distributer even make money?

I dont believe they are available for self publishing. I think you need a distribution deal for iTunes. Not sure about Netflix. Any luck at festivals?