A myth revolves around the legal cannabis industry.
Forged out of the ashes of an illegal business, cannabis is often viewed as a space led by revolutionaries, ready to challenge the injustices set by the status quo.
This notion has often perpetuated the idea that cannabis and social justice are inseparable, two sides of the same coin.
However, according to a new report, the cannabis industry is not an exception to the general underrepresentation of women and minorities in the overall US economy.
“Racial and gender diversity in the marijuana industry is still lacking—especially in ownership and executive positions,” reads a new report done by the research team at MJBizDaily.
Report author Jenel Stelton–Holtmeier states that social equity initiatives are now an inseparable part of cannabis legalization, but the solution is still not a magical one.
Are Women Well-Represented In Cannabis? Not Really
According to MJBizDaily’s report, only 19% of cannabis businesses are owned by women across Colorado, Massachusetts, Nevada and Ohio. Due to a lack of reliable nationwide data available on this issue, the firm used these states as examples to provide a snapshot of the federal market.
In Massachusetts, this number only amounts to 5%.
“Lack of access to capital remains a key challenge for women looking to start a plant-touching business, regardless of the market,” wrote the report’s analysts.
The amount of capital needed to launch a plant-touching cannabis business can surpass six figures and the networks of investors that can provide that amount of money can be hard for women to tap into, noted the report.
In 2021, the number of women in executive positions fell below the national average for the larger U.S. business landscape. This is true across almost every sector of the industry.
This trend had seen an encouraging peak in 2019, reaching 38,6%. However,