Ken Duke

Does anyone have recommendations for increasing the bioavailability of cannabinoids (mainly CBD, CBDV and THC) in oil based capsule formulations? I understand that using short chain fatty acids such as MCT C8 may improve uptake and that it is often blended with 10 to 30 percent long chain fatty acids to support lymphatic transport rather than complete portal delivery. I have also read that adding 1 to 3 percent lecithin may improve emulsification and absorption. Are there additional addatives that may increase the uptake and the bioavailability of most cannabinoids? Also, should there be a different approach that might help for certain cannabinoids? Any recommendations for relevant literature, studies or formulation approaches would be greatly appreciated.

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W.D.G.T. What do growers think?? Are we measuring cannabis potency incorrectly by focusing almost entirely on THC percentage? In the modern cannabis market, THC content has become the most visible number on a product label. Many consumers use it as the primary indicator of strength, and commercial cultivation has increasingly responded by breeding and selecting plants capable of producing higher and higher THC concentrations. Laboratory testing has made this metric easy to measure and compare, which has reinforced its role as a simple benchmark for potency. However, THC is only one compound within a much more complex chemical profile produced by the cannabis plant. Cannabis resin contains dozens of cannabinoids along with a wide range of aromatic molecules known as terpenes. Terpenes are responsible for the distinctive aromas of cannabis varieties and are produced in the same glandular trichomes that synthesize cannabinoids. Compounds such as myrcene, limonene, pinene, linalool, and caryophyllene are commonly found in cannabis flowers and contribute to the plant’s chemical diversity. Scientific research has increasingly explored how these compounds interact. Studies have described what researchers call the entourage effect, a concept suggesting that cannabinoids and terpenes may influence the overall effects of cannabis when present together. While THC remains the primary psychoactive compound responsible for intoxication, other cannabinoids and aromatic compounds can contribute to the sensory experience and may influence how the body responds to cannabis. Because of this, some researchers and clinicians have suggested that focusing on a single cannabinoid percentage may overlook the broader chemical complexity that contributes to the overall experience. Terpenes themselves are not intoxicating in the way THC is, but they are biologically active molecules. Many are widely found in other plants and have been studied for their aromatic properties and interactions with biological systems. In cannabis, they play a major role in flavor, aroma, and the overall chemical fingerprint of a cultivar. Despite this complexity, THC percentage remains the dominant marketing metric in many legal markets. Retail listings, product labels, and consumer purchasing habits often emphasize THC levels above all other characteristics. This focus can influence breeding trends, encouraging cultivators to prioritize genetics that test high in THC even if other desirable traits such as terpene diversity or aromatic complexity are reduced. For growers and consumers alike, this raises an important question. If cannabis is a chemically complex plant containing many interacting compounds, does a single percentage truly capture its full potency or character? THC clearly plays a central role in psychoactive strength, but the broader chemical profile may provide a more complete picture of what a particular cultivar offers. #WDGT #Cannacommunity Lets hear from you 🫵 🫵

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One of the most common questions we get from formulators, vape brands, and extractors is: “How much terpene should I actually add?” The answer depends on your product type, batch size, and desired flavour intensity but getting the ratio wrong can ruin a blend or make a product harsh. Terpenes are extremely concentrated, so even a small change in percentage can dramatically alter aroma, taste, and performance. That’s exactly why we created our latest guide: 👉 Terpene Calculator & Terpene Ratios Explained Whether you're a brand developing new SKUs or a manufacturer scaling production, this tool helps remove the guesswork from terpene formulation. Read more on the subject here below 👇 https://lnkd.in/emkDNrjj #Terpenes #CannabisIndustry #VapeManufacturing #ProductDevelopment #Extraction #Formulation #CannabisScience #MrTerpeenes

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Everyone says the only way to grow in cannabis is to discount. We disagreed. So we changed the system instead. For five years, I’ve chased this question: How do you scale in a flat marketwithout touching price? Last month, we made one operational change. Not to product. Not to ad spend. To how customers buy. Conversion jumped from 23% to 34%. A 48% increase no promo, no gimmicks. It worked so well we had to hire another courier just to keep up. And the most important part? They’re not just buying once. We’re seeing 2nd orders. Then 3rd. Now we move them to .com where loyalty lives and margin compounds. Because the biggest unlock in cannabis right now isn’t branding. It’s system design. Get that right and the wheel doesn’t just spin. It scales.

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The hemp industry is at a crossroads. And it’s not about bubbles vs gummies. It’s about whether policy will protect an entire regulated category… or carve it down to what fits neatly inside a cooler. I just published a new opinion piece titled: “When Alcohol Giants Pick Profits Over Patients.” In it, I explore: • Why “safety” arguments often focus on format instead of dose • What the Minnesota model proves about compliant edibles • How beverage-only carve-outs could reshape the hemp market • Why consumers who rely on low-dose THC for sleep and pain should be paying attention This isn’t an accusation piece. It’s a market structure discussion. For many consumers, this isn’t about novelty. It’s about access. If you believe hemp regulation should focus on testing, labeling, and responsible dose limits — not just packaging format — this conversation matters. I’d genuinely like to hear from: • Retailers • Regulators • Distributors • Consumers • Fellow operators Should hemp policy be comprehensive? Or should it prioritize one format over the rest? Read the full article here: https://lnkd.in/g46fGuKj Let’s have the conversation openly. #HempIndustry #CannabisPolicy #THC #Regulation #Retail #MinnesotaModel #ConsumerAccess

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Why Dispensaries Need Strong Risk Management Now More Than Ever Cannabis retail isn’t just about product knowledge and sales. It’s about navigating one of the most highly regulated and operationally complex industries in the country. Dispensaries operate in a unique environment: • High cash volume and physical security exposure • Constantly evolving state regulations • Strict inventory tracking systems (METRC, seed-to-sale compliance) • Vendor reliability and supply chain fluctuations • Reputational and community scrutiny • Data security and fraud prevention risks Without structured risk management, small operational gaps can quickly turn into regulatory violations, financial losses, or brand damage. Effective risk management in a dispensary means: – Daily cash controls and audit systems – Inventory reconciliation processes that actually get followed – Clear SOPs and documented compliance practices – Vendor due diligence – Staff training on compliance and reporting procedures – Proactive review of local and state regulatory updates Risk management is not about fear. It’s about sustainability. As the industry matures, the dispensaries that will scale successfully are the ones that treat risk oversight as a core operational function—not an afterthought. Cannabis operators who think like risk managers protect their licenses, their teams, and their long-term profitability.

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📈 This US Cannabis Company Did What None Of Its Peers Could In Q1: Grow While most of its competitors flatlined, Green Thumb Industries (GTI) ($GTBIF) stood out. 🔹 Q1 revenue: $280M — up 1% YoY 🔹 90% of retail sales from in-house brands 🔹 $43M in operating cash flow — highest among Tier 1 operators 🔹 Adjusted EBITDA margin: 30.5% 🔹 Net debt to EBITDA: just 0.1x According to Zuanic & Associates LLC, no other major U.S. cannabis operator showed positive growth this quarter. GTI's brand strength, financial discipline, and conservative tax stance helped it buck the industry trend. Full breakdown via @Benzinga: 👉 https://lnkd.in/epmCeksd #cannabis #investing #GreenThumb #GTBIF #cashflow #ebitda #Benzinga

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"In November, New York’s Office of Cannabis Management approved a PCAwaiver for a competing dispensary within the proximity protected radius. That approval occurred just days after stricter regulations took effect that expressly barred the PCA waiver under the applicable circumstances. At the public meeting where the PCA waiver was granted, regulators acknowledged the new rules were already in effect, but stated they would not apply them and would instead use prior standards."

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Whitney Economics report on Hemp THC drinks - Boom or Bust? The highlights from the overview: ⬆️ $1+B in sales in '24 - pretty amazing ⬆️ Potential mkt $10 - $15B (10-15X upside from today) ↔️ Brands avg $2M (handful are $10M+) - longer term, that avg needs to be $10M+ ⬇️ 500 - 750 brands - implies the equilibrium should be 200-300... so contraction is likely. My 2 cents FWIW... First of all, awesome to have DATA... this will help shine a light on the opportunities (*and the pitfalls). Secondly, amazing industry growth - I truly believe that more consumers - once given the opportunity to try - will cont to shift consumption to hemp THC drinks. ______________________ Now, reality - 10-15X growth won't be linear - and won't be evenly distributed. Every industry has boom / bust / build cycles. I think a slight correction may be coming - I'm seeing a few signs. Some of this is natural (too many undifferentiated brands chasing too few shelf slots). Others may be regulatory-drive - likely both. Retail landscape is changing rapidly - stores no longer taking any THC brand... today it's more "one in, one out" vs. filling just adding in. More owners asking - "how are you diff?" "what are you doing to drive sell-thru?". So things will get more competitive - I hope we don't lose our collarborative nature tho... The industry still needs proper category management - merchandising geared towards the different shoppers & their unique needs. NOT merchandising by brand. I'm seeing glimmers of this - but not a concerted effort to truly understand the key segments (this will come). Brands should be focused on a core consumer (not "we're for everyone!") - and focus their messaging and marketing efforts towards their target. And EVERYONE should be doing sampling / tasting events - but make sure you properly hire / train your BAs - they are key. Partnerships - I love the model, but we're seeing a few collapse just as we're seeing others emerge. Tread carefully... 🧩 Make sure brands are complementary vs. competitive (where possible) 💰 Ensure adequate funding to support their businesses. It's a challenging raising $ today, but scaling a bev business is NOT cheap. Money doesn't equal success, but it damn sure improves the odds if spent properly. 👼 Choose good operators - scaling your biz means you gotta be working with folks who can properly scale - ideally a combo of BigCo contacts, with SmallCo agility. As the BigAlc watches from the sidelines, this'll be an increasingly important factor. ______________________ So, great top-line data & growth prospects, but nuanced under the covers. Huge opportunity still for smaller, emerging brands. Let's get back to building. https://lnkd.in/edh4bSvE

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5 Observations That Explain Cannabis Underperformance A popular cannabis pastime is to debate why most LPs and MSOs underperform. 💡 This need not be a waste of time.  If we understand the root causes of lacklustre results, we can take steps to fix or mitigate them. 🔬 It is expedient to look beyond the usual explanations – bad management capabilities & products – into root causes.  🎛️ I go right to a company’s source code:  the norms & practices, organizational design and thinking models. 💥 These 5 observations and adages go a long way to explain cannabis business underperformance: 1️⃣ Parkinson’s Law and its corollary, Enshitification Companies tend to become bigger and less efficient over time. Staff, particularly middle managers, will create work for each other as overall capability falls, and costs rise. When British Navy ships went down from 68 to 20, the number of bureaucrats increased 78%. Meanwhile, Enshitification is taking hold at some weed firms.  This is a pattern of gradually eroding quality, service, and value over time due to business decisions.  Enshitification is an outgrowth of scale and is likely to occur in zealous cost cutting firms with a poor understanding of their consumers. 2️⃣ Chesterton’s Fence   Too many cannabis leaders show up and immediately want to make changes.  Warning:  if you don’t know what a custom or practice does, don’t touch it.  Change for change’s sake is dangerous. You’ve not seen the wolves yet because of the very fence you’re about to demolish. 3️⃣ The Centipede's Dilemma Navel gazing is dangerous.  Ask a centipede which one of its hundred legs moves the fastest and it will forget how to move. Reflecting on what we normally do instinctively can paradoxically degrade performance. A corporate culture of endless self-reflection, therapy, and measurement erodes organizational & individual performance, particularly creativity, initiative, and leadership 4️⃣ Gall's Law   Remember the KISS principle.  A complex system that works is invariably found to have evolved from a simple system that functioned well. Only the foolish and arrogant try to create complex systems from scratch.  When it comes to new initiatives in multifaceted environments like cannabis, start simple, refine, and evolve slowly. 5️⃣ The CEO Challenge Leaders often don’t know what’s happening on the front lines or can’t implement their ideas because their workers (who are closer to the action) have an agenda of their own.  This issue is magnified in larger companies with disparate, far-flung operations.  The Tsar of Russia had to deal with these institutional factors.  Nicholas II sardonically commented: “I never ruled Russia. 10,000 clerks ruled Russia.”  🥇 Can’t boost performance?  Let’s talk.  I help teams solve difficult strategic, cost & organizational problems and ignite growth. 🔔 Ring the bell on my profile page to get VIP notifications #management #cannabis #cannabisindustry #enshitification #strategy

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New Mexico Cannabis In-Store SKUs Twelve dispensaries have been tracked for their in-store % of SKUs (category share) since JUL '23. 1️⃣ JUN '25 v JUN '23 & JUN '24. ▣ JUN '23 --> median # of SKUs: 245; mean # of SKUs: 375 ▣ JUN '24 --> median # of SKUs: 165; mean # of SKUs: 403 --> median: 33% decrease; mean: 7.5% increase ▣ JUN '25 --> median # of SKUs: 315; mean # of SKUs: 437 --> median: 91% increase; mean: 8.4% increase What are the implications here? 1. Dramatic increase in Median → More stores carrying larger assortments 2. Modest increase in Mean → The mean only increased modestly, suggesting that larger or flagship stores already had extensive SKU ranges in JUN ’24. --> SKU count normalized across more stores --> Product assortment strategy became more uniform. 3. Retailer Behavior: Responding to competitive pressure by offering a wider range of choices. 2️⃣ Edibles consistently lead in SKU Share ▢ Peaked in DEC '23 (28.47%), dipped mid-period, then rebounded to 26.54% in JUN '25. Despite minor fluctuations, edibles maintain a dominant and resilient shelf presence. 3️⃣ Flower showed a temporary surge but did not sustain it ▢ Flower SKUs spiked in JUN '24 (24.49%), overtaking all other categories briefly. However, by JUN '25, they declined back to 17.74%, close to their original level in JUN '23 (17.33%). More dispensaries trimmed their SKU count due to underperforming brands and products, or the introduction of private label products. 4️⃣ Concentrates and disposable vapes lost shelf space (Category SKUs/TOTAL SKUs) ▢ Concentrates fell from 19.22% in JUN '23 to 12.91% in JUN '25 (a 6.3 point drop). ▢ Disposable vapes increased slightly mid-period but overall remained the lowest SKU category across all periods (ranging from 4.56% to 9.71%). JUN '25 was 4.99 share points higher than JUN '24. #newmexicocannabis #cannabisdata The Data Heard

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With Pennsylvania poised to generate up to $2.1 billion in marijuana tax revenue over the next five years (if it chooses to legalize), the fiscal potential for cannabis markets is undeniable. As a founder navigating the beverage and edibles sector, this revelation isn't just numbers—it's a beacon forecasting growth and hinting at vast, untapped market opportunities. For retailers and distributors, such markets promise not only increased demand but also a vibrant ecosystem requiring novel logistics, marketing, and customer engagement strategies. Here's more on this unfolding scenario: https://lnkd.in/ezJCYY7n Considering this potential shift, what strategies should retailers consider to best position themselves in an expanding market? Curious to hear your thoughts, dive in!

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Massachusetts Cannabis Expansion: Boom Times or a Mirage? Massachusetts is rewriting its cannabis playbook. License caps are rising, medical vertical-integration is being dismantled, and dispensary counts could double. On paper, this is growth. Real growth. But here’s the plot twist: it could all vanish if prohibitionists succeed in rolling things back to a medical-only framework. Yes, we’re hitting record numbers: $1.64 billion in sales in 2024, $8 billion in gross adult-use sales since launch. Yes, regulators are leaning into reforms that support small business, delivery, and social equity. And yes, the state is laying tracks for consumption lounges and hospitality licenses. Still, the fight isn’t over. Organized opposition, local boards, political challengers, conservative medical groups are ramping up campaigns that argue legalization is “out of control.” If sentiment shifts and federal prohibition stays intact, adult-use could be clipped back to a medical-only system. For operators, that means one thing: don’t bet the farm on expansion without building a fortress of resilience. • Diversify into medical while barriers are lowering. If adult-use takes a hit, medical could remain as the fallback. • Invest in compliance and community trust. If prohibitionists are looking for ammunition, sloppy operators will hand it to them. • Run lean and margin-smart. If the pendulum swings back, only the efficient survive. • Position brands as essential, not optional. Wellness-driven, patient-aligned product lines make it harder for lawmakers to gut access. Massachusetts may double its dispensaries. Or it may face a contraction. The winners won’t be those who simply chase growth it’ll be those who can adapt if the market turns overnight. That’s the reality of cannabis: opportunity on one side, fragility on the other. If you’re playing in this space, you need conviction and paranoia in equal measure.

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New Deal Opportunity-Growth investment opportunity with Grasshopper Farms, a premium sun-grown cannabis cultivator with established operations in Michigan, Colorado, and New Jersey. Over the past five years, the Company has built a disciplined, scalable outdoor cultivation platform focused on premium smokable flower, consistently achieving sell-through and commanding wholesale pricing premiums. Grasshopper is seeking a minimum $30mm growth capital investment to expand existing operations and enter newly opened limited-license markets. Investment Highlights: *Premium outdoor flower platform focused on smokable product (not biomass extraction) *30–40% higher wholesale margins vs. peers *Compliance-first operations with consistent pass rates *Structurally lower-cost model vs. indoor cultivation *Positioned to scale in limited-license markets *Supported by improving federal regulatory momentum, including potential 280E tax relief If interested, please email me at rick@fuelbreakcapital.com #cannabis #growthcapital #investment #opportunity #deal

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2025 Week 52 — Executive Market Sweep - What is Happening in the Cannabis Market for Executives in the Cannabis / Nicotine Markets 🔹 30-Second CEO Skim Box What changed: Enforcement intensified while regulators advanced select “lower-risk” categories and tightened loopholes. Why it matters now: Market access is shifting from demand-driven to permission-driven (governmental laws). Executive impact: Compliance-ready operators gain share as non-compliant supply gets removed at retail. Primary risk: Regulatory backlog + litigation uncertainty can disrupt planning and timelines. Immediate posture: Advance (compliance + evidence); Watch (policy execution timelines). 1. One Big Thing Regulation is picking winners—enforcement is clearing grey-market products while creating faster lanes for categories that can prove lower risk. 2. Why It Matters This week signals a shift from announcements to execution: bans, registries, and warning-letter “blitzes” are translating policy into shelf reality. The strategic edge is moving to teams that can document safety, claims discipline, and lawful distribution. 3. Go Deeper Plan for constrained shelf space: State registries and flavor restrictions are narrowing what can be legally sold, compressing portfolios and channel access. Design for safety defensibility: Heavy-metal and battery-liability narratives raise the bar on materials, QC, and safety certifications. Assume enforcement is a growth lever: Removal of unauthorized products creates demand displacement—compliant alternatives inherit volume. Expect more regulator vs. industry conflict: Litigation over delayed reviews increases pressure for procedural change but can also create near-term congestion. Prepare for medicalization spillover: Rescheduling actions and healthcare pilots elevate expectations for evidence, labeling discipline, and outcome claims. Distribution is a compliance surface: Delivery apps and mainstream retail experiments expand exposure to enforcement and reputational risk. Consolidation logic strengthens: Tech + delivery acquisitions and cross-sector moves signal scale advantages in compliance, distribution, and data.

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Cannabis founders build ‘premium’ brands to avoid competing on price. Guess what? In CPG, even premium products have to compete on price. Part of the issue is that many founders don’t understand what premium means, and therefore don’t understand what a premium buyer persona looks like. Premium does not mean luxury. Patagonia is premium. Gucci is luxury. Veuve Clique is premium. Dom Perignon is luxury. Premium buyers still look at price tags. Patagonia competes on price against North Face in REI. Veuve competes with Moet on price in liquor and grocery stores. Premium buyers and budget buyers are both driven by the same thing: value. However, what creates value for each group is slightly different. Budget buyers are looking for the best combination of price and quality, generally with a hard line spending cap that is difficult to break through. For this segment, cannabis is 90% CPG, and 10% Fashion. Premium buyers are judging products on a 3-way vector of price, quality, and ‘instagramability’ / “clout generation”. They generally shop with a more flexible spending cap. For this segment, cannabis is 40% CPG, and 60% Fashion. A couple key points to remember: *Budget shoppers still buy premium products! This is especially true in mature markets where a consumer might walk in with $80 to spend per week, but can grab a weeks worth of products for $60. Oftentimes, they ‘splurge’ fill the remainder of their cart of premium goods. *Premium shoppers account for less than 10% of the cannabis market. They might be the loudest group, and they are certainly the most over served. *Serving budget shoppers (successfully) doesn’t mean serving up garbage. It means delivering the best product possible, at a target price.

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When it comes to capital strategy in the cannabis industry, strategic investors are not simply seeking “exposure” to the sector. Instead, their focus is on acquiring specific capabilities—such as compliant supply chains, consistent quality standards, route-to-market leverage, and brands with the potential to expand across markets. In cannabis, the true test of strategy occurs after the deal closes. Integration challenges can arise due to state-by-state fragmentation, quality assurance failure modes, channel conflicts, and concerns about whether the operating system can scale without jeopardizing compliance or the brand itself. Three primary capital strategies are emerging within the industry: * Asset-heavy vertical integration * Pure brand licensing * Hybrid infrastructure platforms Each of these strategies has inherent strengths. Asset-Heavy Vertical Integration Asset-heavy vertical integration is a strategic approach centered on control and synergies across inputs, manufacturing, and distribution. However, this model concentrates regulatory and execution risks, and its effectiveness depends on maintaining a fully utilized footprint and a replicable playbook across different markets. Brand Licensing - (Admitted bias - The Clear Brands has embraced this strategy completely) Licensing offers a strategic advantage for brands looking to expand reach without owning every facility. This approach can deliver option value across various geographies, but it requires rigorous specifications, testing procedures, and partner governance to ensure the brand maintains its consistency everywhere. Hybrid Infrastructure Platforms Hybrid platforms are creating a “shared services” layer, including compliance, QA, manufacturing systems, and distribution standards that brands can connect to. This strategy is particularly appealing for bolt-on opportunities, provided the platform is truly interoperable and not just a standalone solution. The central question is not which model is currently popular, but which approach best reduces operational risk while preserving brand integrity. Ultimately, capital gravitates toward predictability, since repeatable returns depend on it. This principle is consistent across all consumer categories. From a strategic perspective, it’s vital to determine where to place the bet: should you own the assets, own the brand, or own the operating system? The right choice is the one that increases integration velocity while maintaining quality and regulatory durability. #theclearbrands #TWAXbyTheClear #TheClearEFX

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