Cannabis Investment Opportunity
We are a small group looking for investors to join in what will certainly be an amazing adventure.
We are forming and building Natures Meds Farm, LLC which is a licensed Cannabis farm located just south of Eugene, Oregon. Some of the infrastructure is in place but we still have much to do.
We are looking for a $250,000 investment. The percentage you get for that amount will be determined by your experience and your level of personal involvement in the daily operation of the company. Silent investing would obviously get a smaller percentage than someone willing to work 5 days a week in addition to the $250,000. If you have REALLY valuable skills, that is worth even more to us. All that is up for negotiation after we meet.
The whole property is 34 acres of mostly forest, 3 separate tax lots, very beautiful, flat land.
The garden meadow is roughly 1.5 acres (and expandable) East/West oriented meadow with great sun exposure. This is plenty of space to start out with a Tier 1 license and with a little expansion we could fit a Tier 2 license.
Lane electric power is not installed but available for $10K per 400amp curcuit with no limit on how many more circuits you can get. So if we decide to make an indoor grow space, the power is easy to get. The property has 3 seperate tax lots. A branch of the Siuslaw River flows through one tax lot and the combination of roads, river, mountains and a 500 yard long gated driveway creates a setting of extreme privacy. Two of the lots have County approved home sites with septic approval.
Lane county is extremely friendly and helpful for cannabis farmers and the rural community surrounding the farm has a long history of being the heart of Oregon's cannabis culture.
You can see current photos and stories about what's happening on the farm in our Facebook page.
The current investors have a ton of experience as growers and longtime involvement in the Oregon Cannabis industry. If you happen to have expertise in Cannabis farming, business management, advertising, sales, farm work, or construction... that would make you all the more valuable to our group.
Garden Plan: For this season I've created raised beds in long rows which I have found to be far more efficient than isolated pots when growing large numbers of plants. The Tier 1 rec license allows for 20,000 sq ft which equals 2,850 linear feet of rows. The planting medium is 30 Peat, 30%Coco and 30% Pumice with organic amendments and Endomycorrhizae pre mixed. Each bed is 4' wide by 16" deep and the container is a heavy weight agricultural ground cloth. Beneficial bacteria are used extensively to prevent soil pathogenic organisms. Regular preventive foliar sprays of bacteria and neem are used to prevent problems with insects, Powdery Mildew and Botrytus. The land has never had harmful pesticides or chemicals used on it so the garden is prime for organic certification but we will not be going fully organic this first year simply due to the logistics of large scale feeding and watering.
We currently have 680 plants in the ground and although they got in late while waiting on our license approval, they are THRIVING.
We have several of our own strains as well as a few extremely sought after strains like Gorilla Glue 4, Bruce Banner and Skywalker OG. Almost 1/3 of the crop is a special CBD strain that has almost zero THC.
Pro Forma Prediction
what does the Potential Income look like?
In 2015 I grew 63 plants outdoors and got 180 lbs (2.8lbs per plant) with prices averaging $1700/lb in dispensaries.
That creates a gross of $306,000, or $4857 per plant gross. If we extrapolate those number to fit this garden and our license capacity we can make some predictions of where that would go.
Assuming first of all that we grow our plants a little smaller and closer together to account for streamlining the farming process, I’m going to predict that we will produce 1.8 lbs per plant.
Assuming also that the drop in prices will place our realistic market price for raw buds/flower at $1500.
1.8 lbs x 560 plants = 1000 pounds X $1500 = $1,500,000 Gross
Assuming a garden with 560 plants... here are three outcome predictions for the first year.
1) The worst case... If we average 0.75 lbs X 560 plants = 420 lbs of flower. If we sell it at the lowest possible price of $800 per pound we would have a GROSS income of $336,000 not counting income from the small buds.
2) The most likely... 1.8 lbs X 560 plants = 1000 lbs of flower. If we sell it at the most likely price of $1500 per pound we would have a GROSS income of $1,500,000 not counting income from the small buds.
3) The best case scenario... If we were to average 2.5 lbs X 560 plants = 1400 lbs of flower @$1800/lb = $2.5 million!
In the beginning we will be spending a lot on farm infrastructure so our profits will be lower than in later years.
Here's a look at what might happen in year 3 (and longer term) with our most likely scenario...
Starting with... $1,500,000 Gross
- $15,000 feed/fert/IPM products
- $60,000 Manager/Master Grower salary
- $90,000 garden laborer (45K x2) wages
- $90,000 production laborer (45K x2) wages
- $ 5,000 Testing for mold and contaminants
- $50,000 Sales & Delivery driver
- %30 taxes
$822,500 approximate annual NET profit
It is NOT required that Investors work on the farm.
Silent investors are welcome but you are also welcome to work part time whenever it fits your schedule as long as you can take directions and recognize that being an investor will not make you the boss on the farm. Every ship needs a captain and at this time, Glen is the captain - especially with anything that pertains to raising the plants.
This is a rare opportunity to be a part of a very peaceful, outdoor, hard working lifestyle that is also potentially very lucrative for everyone involved.
Now is the time to plant a seed - literally - in the growing Cannabis Industry.
And this is your GOLDEN opportunity to get into the game on the ground floor.
Reasons for investing in Natures Meds right now...
1. Despite fears... Jeff Sessions is now saying that he will leave the Cole Memo basically as it is because it is physically impossible for the federal government to step in and start policing the states for pot. The legalization movement is simply too far along to stop it now. This is mostly because in the old days it was the state police that did most of the legwork on Cannabis cases but now that it is legal in the states, those same police will not be allowed to participate in legal action against any person that is operating legally within state law. There simply are not enough federal officers to take over that job even if they wanted to do so.
Halleluja! Oregon just passed laws (HB4094) that will eventually allow Cannabis businesses to have normal bank accounts. However, that is a STATE law and it does not insure the banks FEDERALLY. So they still won't work with us for the time being.
2. Currently Rec Dispensaries can ONLY purchase product from licensed Rec growers. This creates a solid demand for product. If you've driven down any street in Oregon lately you may have noticed that there are more pot shops than coffee shops. Those shops need high quality Cannabis.
3. The OLCC and OMMP programs are currently drafting new legislation that would do away with the OMMP program as an independent entity. The new laws will still allow anyone to grow their 4 plants for home use. But OMMP growers will NOT be allowed to sell product to ANY retail (medical or rec). The new law will allow all Rec licensed growers to host up to 24 medical card patients, with 6 plants per patient, paying the patient up to 2lbs per year, and then selling the remainder to BOTH the Rec and the Medical dispensaries. This puts the tracking and product testing and pesticide safety in the hands of professional growers. This change allows us to have 144 more plants for a cost of 24-48lbs of product. But the most valuable part of this changeover works like this... currently every Oregonian with a medical card can grow 6 plants, which is a Large amount of weed - let's say 6 lbs to be conservative. There are 67,000 OMMP card holders in the state as of 2017. That equals roughly 400,000 lbs of weed that is grown by non-professional farmers who often do it in spare time and don't really mind if the price drops to $500-$800 per pound because this is NOT their full time job, it's mostly just a hobby that brings in some cash. But that lowball price is Killing the professional grower that has higher overhead, required testing, reams and reams of red tape and a million hoops to jump through. This change in the law will take the hobby grower out of the marketplace, allowing prices to stabilize at a place that supports professional farms.
4. Now is the perfect time to build branded product lines. The gardens that will thrive in the coming years will not be showing up at a dispensary with a turkey bag full of pot. They will show up with pre-rolled joints, edibles, alcohol extracted concentrates, tinctures, topicals etc. Basically the summer will be spent growing and the winter will be spent extracting and packaging and labeling products that are ready to hit the shelves. When this happens the garden will be only one aspect of a full production line and the business as a whole will be far more likely to survive the "Gold Rush" days.
Q&A (Questions I've gotten from investors)
What happens if the business fails for some reason? Nobody wants to predict doom, but you gotta look a the possibilities. In this case, at the very least we will have a piece of land to sell which makes the possibility of completely losing your investment practically zero. The land was worth $200K even before the cannabis land rush hit and I've got that price locked in for now. In the current market, and with the County approving the Land Use Compatability Statement for the Cannabis Farm, plus the improvements I've made, the land alone is easily worth $400K and probably more. So right there, as soon as we sign the contract for the property, we have an instant profit that could possibly double our money. If the business dies, we can sell it and each get a portion of the proceeds according to the portion we own in the business. So the possibility of you losing your investment is incredibly low right off the bat. And when we spend the capital that you bring to the business, almost all of it will be in infrastructure improvements that will quickly raise the value of the land even more.
Why is outdoor farming a better business model than indoor?
Indoor farming requires a lot of overhead and electricity. You basically have to recreate the same environment in a warehouse, that Mother Nature creates for free outdoors - and anyone who has ever tried it knows that indoor environments will NEVER beat the outdoor environment. As more and more indoor and outdoor farms show up on the scene to supply the very limited number of Oregon Cannabis users, (remember there is no interstate traffic yet) there will be and actually, there already is, an excess of Cannabis product in the state. That will get worse in the coming years and the prices will continue to drop. Indoor farmers produce FAR less product and they have FAR higher costs associated with that production. Obviously they will suffer the most as prices drop. Eventually it may come to the point that indoor gardens simply cannot compete with outdoor gardens. Outdoors you can produce very near the same level of quality product, at a fraction of the cost.
Outdoor (Sun Grown) Cannabis is also becoming more sought after due to the natural influences of sun, wind, rain, soil quality, etc (terroir) on the product that all add up to create a better smell and taste in the same way outdoor, organic Tomatoes taste better than greenhouse Tomatoes. Customers do see the difference and they are quickly coming to see that good outdoor Cannabis is preferable to Indoor.
How will Natures Meds compete with other farms and businesses in the Cannabis industry? The state is not going to place limits on the number of businesses that can get into the Cannabis industry, preferring instead to let the market solve the crowding issue through the Darwinian "Survival of the Fittest" method. This will create a situation of over production in the next several years. It is my opinion that the difference between the farms that fly and those that crash will be found in one thing, and that is the ability to create a "brand" name and make the entire crop into pre tested, labeled, finished products that are ready to go on the shelf. Farmers that show up at a dispensary with a turkey bag full of buds will be the first to die out.
How will you manage to keep people from stealing the crop? There is only a 3 week window in the fall when the crop is useable and prime for being stolen. During that time we will have people and dogs sleeping in tents out in the garden. We will employ passive Infra red motion detectors that send signals back to a hand held monitor. We also employ trip wires attached to small battery powered alarms in the woods surrounding the garden and at the most likely parking places along the public road. The layout of the land also provides a substantial barrier. Between our farm field and the nearest road there is a 600 foot patch of very thick woods, blackberries, and a river. At best a person might carry out a small backpack of buds, so basically it would be impossible to perform any significan theft except by driving in on the driveway. Our driveway is 500 yards long with a gate at the entrance, a very narrow bridge in the middle and very little possibility of passing undetected. We have one neighbor with whom I have maintained a very good relationship and he thoroughly enjoys acting as the security guard on the road. Cell phone reception is available on the property, so calling that neighbor and other staff is quite easy in an emergency situation. However, police help is quite far away so we are pretty much on our own for dealing with any sort of armed intrusion. My experience is that people are extremely unlikely to raid a country farm simply because they believe that in general, country people are very likely to be armed, and probably also skilled hunters, and they have dogs.
Over the past two years I have heard countless stories of homeowners in town who had their 6 plants stolen, but only one report of a rural Cannabis farm that was robbed. In reality, it's just a plant. So if some kid is running off with one of our plants on his back we're not going to be shooting at them. Shooting only happens in defense of our lives, not for money or property. As with all issues on the farm, we will prepare for the worst and pray it never happens.
Who is Glen Johnson?
The founding member and current owner of Natures Meds.
Here's a short summary of life experience... Grew up in a rural area in South Texas. Started out working as a summer Camp Counselor teaching natural science, and Archery. Lifelong hunter (although rarely these days), competitive pistol shooter, BS in Science Education from Oregon State University, 11 years as an outdoor recreation instructor and senior trip leader for the City of Eugene, ran my own business
(Aperture Photographics) for 12 years as a professional photographer traveling all over the world shooting weddings in the US, and 59 destination weddings outside the US for very wealthy brides.
I've been growing Cannabis and studying cannabis cultivation full time for the past 8 years. I rarely ever smoke Cannabis. I have lots of local connections and am well known in the local cannabis community.
I have a 15 year old son and a 10 year old 1/2 daughter, a small dog and a cat. Lots of photography and computer experience in advertising and digital layout for promotional materials and packaging.
You can see my personal Facebook Page Here.
If you've managed to read through al this and it still sounds interesting, I would love to hear from you.
Reply to: glen (at) naturesmeds.us OR text me at 541-729-9256
Here are a couple photos from my 2015 outdoor garden and some of my indoor gardens
NOTE: This is NOT our current location but they are all plants that I grew.
This Skywalker OG (above and below) is my baby.
I purchased this girl for $5 as a single clone back in the days when I grew in my garage.
To date, nobody I've shared the strain with has grown anything that produces more weight than this one.
Outdoor bud typically sells for less than indoor because farmers treat it like a wild thing. If you prune your plants all summer just like an indoor grower would, and then you hire hand trimmers... this is what it looks like and it will sell right there beside any indoor buds all day long.
We do have the option to create an indoor grow space on our farm and then our license could be 20,000 sq feet outside and up to 5000 sq feet indoor + 144 OMMP plants.
Here are a couple photos from my 2015 outdoor garden and some of my indoor gardens
NOTE: This is NOT our current location.
For the big HD version, click "YouTube > Settings > Quality > 1080p" Get the song on iTunes
Cannabis is NOT an FDA approved medicine. All our products are considered "Dietary Supplements" and are not claimed to diagnose, treat, cure or prevent any disease. Information About Herbs, Botanicals and Other Products — is for general health information only. This Web site is not to be used as a substitute for medical advice. Users of this Web site should not rely on the information provided here as the sole source of information for their own health problems. Any questions regarding your health should be addressed to your physician or other licensed healthcare provider.
All information and the recipes for the products on this website are Copyright Glen Johnson - Natures Meds 2015
Natures Meds is located in Eugene, Oregon.