Marijuana Providers See Big Losses
Both manufacturers in MN lost millions in first year
Minnesota’s two licensed medical marijuana manufacturers each lost millions of dollars in their first full year of operations, according to financial documents obtained by The Associated Press.
Minnesota Medical solutions said it lost $3 million in 2015 and more than $500,000 in 2014. Meanwhile, LeafLine Labs lost roughly $2.2 million in 2015. Legal medical marijuana sales in Minnesota began in July 2015.
Those figures come form annual financial audits obtained through an open records request. It highlights the financial difficulty of running a medical marijuana business in the state’s tightly regulated program.
These losses are usually attributed to high start-up costs and low patient count at the start up of a manufacturer.