California is a full on cluster fuck. Things should continue stabilizing as the new harvest comes down, but until then it’s a hot bed of scam artists & bullshitters.
If you’re a buyer of wholesale raw material, you already know this. There are countless people out there claiming they have +500,000lbs of raw material and 95% of them are full of shit. Our team at Kush Marketplace is aggressively working through the bs, but we’re encountering multiple cases of similar problems. Here’s what we think is happening:
First, we believe there are many people out there claiming to have large amounts of raw material to buyers without actually having any access to any compliant material. Once you dig in with them to help identify the product and find a price point, it’s really hard to get any tangible proof the material even exists. Things start to get fishy..
They will start asking for proof of funds and they’ll want you to wire money to an “Escrow Account” that you’ve never heard of. DO NOT DO IT!! There’s a high risk of never seeing that money again and when you’re talking about millions of dollars this could be catastrophic. You don’t want someone sitting on the beach spending your hard earned capital.
Farms trying to offload “hot” raw material. Do not pay for material until you run a pest test on the product. If you work with Kush Marketplace, we recommend a 30 day net so that you have enough time to randomly pick samples and make sure your end product won’t need to be recalled due to pesticides.
Multiple recalls have already happened in the state. This won’t end until shady actors are weeded out. That’s one of our biggest priorities at Kush Marketplace & that’s why we manually verify every user on the platform.
You’re trying to buy weed from a broker’s broker’s broker… These deals almost always blow up, and it’s usually a waste of time. Do you remember when your were in grade school and they made you play the game of telephone? That’s what is happening here. The information given at either end of the chain is usually so distorted that a deal never happens. We do our best not to work with any brokers as they tend to inaccurately represent the product they’re buying or selling because they don’t really know what’s available.
If raw material hits the marketplace and a qualified offer is made, we ask to see the product the next day by sending out one of our wholesale specialists. If they can’t deliver, it’s probably bogus. Trust is low. I’m hoping we can overcome that challenge.
Sizing up the competition. Many buyers and sellers will act like they have something to buy or sell but then go dark at the last minute. We think these people are sizing up the competition and mining information. This one’s hard to deal with because you never see it coming. At least once the marketplace is at full swing, the way it is in Washington, transparency won’t be a problem. Ideally we’ll be able to display information regarding supply, price, and demand on the platform so people don’t have to operate with shady motives to get this information.