Send us a text

Elliot Lewis, CEO of Catalyst Cannabis and famously dubbed "the angriest weed CEO in California," pulls no punches in this revealing conversation about the state of California's cannabis industry. Having built Catalyst into one of California's largest retail chains with over 25 stores, Lewis speaks from experience when he describes the maddening reality of operating under excessive regulation and taxation.

The conversation begins with Lewis reflecting on his journey from Berkeley student during the Prop 215 era to cannabis entrepreneur, acknowledging the unexpected path that led him to become California's second-largest cannabis retailer. "I only just wanted to get the one store," Lewis admits, "Somehow becoming the second largest retailer in the state wasn't really part of the plan."

Lewis delivers a scathing critique of how cannabis tax dollars are allocated, claiming the money flows to nonprofits that don't truly serve their stated causes. "The money that is going to the nonprofits doesn't really get down to the causes they claim to be for, but they have really nice fancy words that everybody likes and makes them feel virtuous to support these causes. But really it's just a bunch of grifting," he explains. According to Lewis, this creates "a closed-loop system of money laundering that keeps the current power brokers in power."

The discussion takes a fascinating turn when the conversation shifts to hemp, which Lewis characterizes as "untaxed weed" operating through regulatory loopholes. This sparks a spirited debate about consumer access, testing standards, and whether the hemp market represents genuine progress or simply another way to circumvent proper regulation. Lewis argues that hemp's success demonstrates how powerful the free market could be if cannabis wasn't burdened by excessive taxation and regulation.

Looking to the future, Lewis predicts that major alcohol and tobacco companies will eventually enter the space and reshape the industry with their lobbying power. Despite his frustrations, he continues to advocate for "weed for the people" while navigating the challenging realities of California's cannabis landscape.

Whether you're a cannabis operator, investor, or simply interested in understanding the complex dynamics of America's largest cannabis market, this episode offers unfiltered insights from someone fighting on the front lines of California's cannabis experiment.

--
High Spirits is brought to you by Vertosa and Wolf Meyer.

Your hosts are Ben Larson and AnnaRae Grabstein.

Follow High Spirits on LinkedIn.

We'd love to hear your thoughts. Who would you like to see on the show? What topics would you like to have us cover?

Visit our website www.highspiritspod.com and listen to all of our past shows.

THANK YOU to our audience. Your engagement encourages us to keep bringing you these thought-provoking conversations.

Remember to always stay curious, stay informed, and most importantly, keep your spirits high.