Grateful Dead Member's Family Taking His Business Out of California
The family of Grateful Dead member Jerry Garcia is relocating his business from California.
According to SFGATE, Garcia is considered “one of the most iconic pot smokers in California history.”
However, a spokesperson confirmed to the outlet, the Garcia Hand Picked brand, launched in 2020 by his family, is being taken of California.
Andrew DeAngelo, a cannabis consultant, told SFGATE the family realized: “You can’t make any money in this market.”
He added, “Not only is Garcia leaving, a lot of people are leaving.”
DeAngelo suggested it is “a real shame that California is losing out. We’re losing out on jobs and economic activity and other places are benefiting from that.”
A spokesperson from Holistic Industries, the brand’s parent company, also issued a statement in an email to the outlet.
“We’re taking a pause in California. We want to ensure CA consumers have the highest quality flower for the long term, so we are in the process of choosing a new local partner for cultivation, production, sales and distribution of Garcia Hand Picked in CA,” the spokesperson said.
SFGATE reported pot companies are prohibited by federal law from deducting most business taxes from their federal taxes.
As a result, pot businesses pay as high as 80% in the federal tax rate.
Jerry Garcia’s Grateful Dead weed brand is leaving California. Federal law blocks pot companies from deducting most business taxes from their federal taxes, making pot businesses pay an effective federal tax rate as high as 80%. https://t.co/lFj1gFaOH9
— Chronicutopia (@badboychronic) January 29, 2023
“This was a hard decision for them, they love California,” DeAngelo said.
He continued, “They were born and bred here. This is very painful for them, I guarantee that.”
Eli Melrod, the CEO and co-founder of Solful dispensary chain, commented on the brand’s exit from California.
“California is probably the most competitive cannabis market in the country. It is a market where there are a lot of brands fighting for shelf space,” Melrod said to SFGATE.
He added, “I think for some folks the margins and the challenges in California make it better for them to focus on other states.”
Still, individuals in Colorado, Maryland, Michigan, Massachusetts and Oregon can access the brand.
Garcia died in August of 1995.
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