Only 3% of legal cannabis businesses are owned by women or minorities, but an NBA veteran and an entrepreneur are aiming to change that.
With states such as New York planning to issue social equity cannabis business licenses to African-Americans and other groups displaced by the War on Drugs, Village LLC is positioning itself as a Black-led player in the space.
“The concept for Village is to work through the application process as well as through mergers and partnership, to develop a platform so that minority-owned cannabis brands can exist,” Pettigrew said. “Every state is regulated differently. Getting into these markets has proved challenging. The initial route is competitive and expensive.”
All told, Village currently holds 10 licenses in four states. It’s also exploring joint ventures in three other states and pursuing licensing opportunities in Maryland and New York, where the process is expected to take until some time in 2023. While Harrington remains a celebrity from his years in the NBA, having a big name attached to a cannabis product is no guarantee of success, Pettrigrew said. A celebrity brand has to have a strong business and authenticity, not just a big name pasted onto a product.
But with the right business plan, people with name recognition remain a potential plus for Village, he said. The company plans to work with stars from the world of sports and entertainment to bring their expertise to bear on licensing, manufacturing and other aspects of operations.