SproutNews logo

American Green: A Partner to the Burgeoning Cannabis Industry

SEATTLE, WA / ACCESSWIRE / October 6, 2015 / The prohibition of alcohol in 1919 was intended to eliminate many social problems, including drunkenness, crime, mental illness, and poverty. In reality, the opposite became true as organized crime filled the void of a legal market and consumers still met their needs. In 1933, the prohibition was repealed with the support of wealthy benefactors like John D. Rockefeller Jr. – a life-long non-drinker that contributed between $350,000 and $700,000.

While the prohibition of cannabis differs in many ways – namely that medical cannabis has a therapeutic purpose, there are some important parallels between the two movements. The prohibition of cannabis has likely increased crime, addiction, and other social problems and billionaires like George Soros and Sheldon Adelson have been instrumental in financing legalization movements throughout the United States.

For investors, the real lesson may be in how the post-prohibition alcohol industry evolved. The end of prohibition meant that anyone could get into the alcohol business, since there was no federal regulatory board and sparse state regulations. As the market took shape, these regulations began to evolve and those that were paying taxes and employing best practices were the companies left standing to capitalize on the now-multi-billion-dollar industry.

The cannabis industry stands in the early stages of liberalization, with evolving state regulations and few testing requirements or quality control rules. With hundreds of small publicly traded cannabis firms and thousands of private companies entering the space, those that survive over the long-term will be the ones that employ best practices, ensure quality control, enforce testing standards, pay taxes, and aren’t just trying to make a quick buck.

Partnerships with a Purpose

American Green Inc. (PINKSHEETS: ERBB), a cannabis and industrial hemp seed-to-sale innovator focused on developing cutting-edge technology and cultivating value-added partnerships, aims to be a cannabis company that survives the industry shakeout that is bound to occur as the market matures. Since introducing the ZaZZZ machine in 2009, the company has evolved to become a branding and messaging company within the burgeoning industry.

With over 3,000 strains of marijuana on the market, consumers have a wide array of choices when it comes to both medical and recreational marijuana. The problem is that there are no recognizable products or education about these various strains, since there are no national brands or recognized providers. Patients don’t even know if they’re receiving the advertised amount of cannabinoids or that the product is free of dangerous pesticides.

American Green aims to solve these problems by creating a nationwide brand and building out its presence with effective messaging. In order to advance these goals, the company has partnered with a growing number of cultivators, manufacturers, retailers, and other groups to provide access to its branding and messaging, as well as its technology portfolio that includes the ZaZZZ machine and its own cannabidiol (CBD) products under the American Green brand.

For example, the company recently announced a joint venture with Natural Herbal Remedies, an Arizona-licensed dispensary of medical marijuana products. The agreement enables the company to manage a dispensary and harvest facility in Arizona, as well as assist in producing American Green products and its own existing line of formulations. As a result, its customers will have access to safe and recognizable medicinal products.

Growing Portfolio of Products

American Green has a rapidly growing line-up of products and services that it aims to provide to its partners. In 2009, the company launched its ZaZZZ machine as a way for consumers to access medical marijuana and other controlled products through an express checkout venue that avoids interactions with employees. Dispensaries also gain revenue opportunities through commissions for hosting and selling premium proprietary consumer unregulated products.

In addition to ZaZZZ, the company acquired the rights to sell its Jurassic Water System (a process enabling cultivators to apply water in excess of 25 ppm O2 to the root structure of plants), Green Universe (one of Sonoma County’s more successful cultivation supply retail shops), Truth Lighting (a proprietary LED light array for cannabis cultivation that brings a presence in Massachusetts,) and distributorship of the OG Tea Company’s products (a well known brand of microbial nutrients for cannabis growing.)

The company also markets a number of MMJ accessories, such as its e-cigarette kit and child-resistant container options, as well as completely legal hemp-based CBD products. Moreover, the company’s online properties include The Urban Cannabist (a website to identify MMJ dispensaries), American GreenZine (a lifestyle publication), American Green Clothing (a shopping site), and its flagship American Green website.

The company aims to provide these products as value-added additions to its consulting partnerships across California, Colorado, Washington, and Arizona, in order to establish a nationwide brand, while simultaneously building out a media and web presence to educate consumers and help improve the industry’s transparency. In the end, these efforts should help establish it as an industry leader in the space over time.

Looking Ahead

American Green is uniquely positioned within the burgeoning medical and recreational cannabis industry, having worked with dispensary operators in California, Colorado, Washington, and Arizona. Through these channels, the company provides a variety of goods and services, including its ZaZZZ machine, non-MMJ hemp based products, online communities, and a variety of other branding and consulting services to build value.

Investors in Cannabis Science Inc. (PINKSHEETS: CBIS), a cannabis clinical research and development company, or Surna Inc. (OTCQB: SRNA), a technology company specializing in cannabis cultivation, may want to take a closer look at American Green given its expanding consulting presence and growing portfolio of technologies. As the industry matures, the company appears well positioned to capitalize on growing demand for familiar products and brands.

For more information, visit the company’s website at www.americangreen.com or CannabisFN’s profile at www.cannabisfn.com/mdcs/american-green-inc.

Legal Disclaimer:

Except for the historical information presented herein, matters discussed in this article contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. Important factors that could cause these differences include, but are not limited to, the demand for the company’s services, governmental regulation of the cannabis industry, and the company’s ability to execute its business plan. Emerging Growth LLC dba TDM Financial, which owns CannabisFN, is not registered with any financial or securities regulatory authority, and does not provide nor claim to provide investment advice or recommendations to readers of this release. Emerging Growth LLC dba TDM Financial, which owns CannabisFN, may from time to time have a position in the securities mentioned herein and may increase or decrease such positions without notice. For making specific investment decisions, readers should seek their own advice. Emerging Growth LLC dba TDM Financial, which owns CannabisFN, has been compensated for its services in the form of cash and equity securities by DigiPath. For full disclosure please visit: http://www.cannabisfn.com/legal-disclaimer/.

SOURCE: Cannabis Financial Network

ReleaseID: 432469

Go Top