Courtney Trzos

What are resin and live resin? 

Resin is a complex term that’s used for a wide range of definitions across the cannabis community. For instance, “resin” can refer to the leftover-goo in glass bowls and pieces from sparking up resinous flower… Live resin can refer to a sellable product that’s widely sold on shelves in legal markets today. 

In general, cannabis resin refers to the collection of resinous glands known as “trichomes” on the cannabis flowers. These tiny, crystal-like structures contain cannabinoids, terpenes, and other compounds that provide the plant’s unique effects.

Today, the production of cannabis resin has evolved with technological advancements. Solvent-based extraction methods that use solvents like butane or ethanol are commonly employed to separate trichomes from the plant material. The resulting resin can vary in texture, color, and potency, depending on factors like strain, cultivation practices, and the extraction process used.

Now, before we get into the distinct “rosin” definition, both resin and rosin can be referred to as “live.” The live definition refers to a specific way in which the flower that’s extracted is handled during harvest. Rather than drying and curing the flower “buds” as you normally would for inhalation purposes – the material is what’s known as “fresh frozen.” 

This means, upon harvesting, the flower material is immediately frozen to capture its compounds at its peak of freshness. 

Now, onto rosin 

In contrast to cannabis resin, cannabis rosin is a relatively modern extraction technique that has gained popularity for its simplicity and the preservation of the plant’s natural compounds. Rosin is produced through a process that involves applying heat and pressure to cannabis flowers, kief, or hash, squeezing out a concentrated and potent resinous substance.

One of the key attractions of cannabis rosin is its solventless nature. Unlike other extraction methods that may involve the use of potentially harmful solvents, rosin extraction relies solely on heat and pressure. This appeals to consumers seeking a cleaner and purer cannabis concentrate.

The rosin extraction process typically involves using a specialized rosin press to apply controlled heat and pressure to the cannabis material. The result is a sticky and translucent resin that captures the essence of the original plant, including cannabinoids, terpenes, and other beneficial compounds. The versatility of rosin allows it to be consumed in various ways, such as dabbing, vaporizing, or adding it to edibles.

The Cannapreneur Meaning

To become a cannapreneur, first let’s get into the cannapreneur meaning. Cannapreneur is the combination of cannabis and entrepreneur; hence, it means a cannabis entrepreneur. Cannapreneurs are often creative, innovative, and pioneering in blazing the trail in an all new industry. 

Some of the most popular products that cannapreneurs will often launch include – 

• Edibles – Edibles are popular among cannabis entrepreneurs for the practically never-ending possibilities you can create. In 2023, cannabis analytics data firm Headset published sales statistics showing that the creativity of edibles is winning amongst consumers. The category showed a 10% increase in total sales year-over-year. 
• Pre-rolls – Another quickly growing category for sales comes to us from pre-rolls, and infused pre-rolls. This category jumped 12% according to the headset data, and are innovating amongst themselves. With products like “hash holes” or pre-rolls filled with hash (like a donut, get it?). 
• Vape carts – Vape carts offer cannabis consumers discretion and potency from the practically odorless vapor it produces from the oil, with THC levels of up to 99%. Becoming especially popular are rosin vape carts, which offer consumers solventless oil to vaporize vs. oil made with the use of harmful solvents like ethanol, butane, or propane. Vape carts also steadily increase in sales, year to year, with a 5% increase in 2023, as discovered by the same Headset data.
• Concentrates – Last but not least, cannapreneurs are also increasingly entering the concentrates space. This not only includes current cannabis entrepreneurs like cultivators, who now want to produce concentrates like solventless rosin, diamonds, etc. But also new cannabis entrepreneurs who are seeking to launch a brand in a category that tends to capture the highest price amongst consumers. 

But it’s not just new entrepreneurs that can become cannapreneurs. It’s current entrepreneurs too. In fact, the cannabis industry is quite popular for mainstream crossovers. For instance, established food or snack brands may enter the cannabis industry with an infused version. Or, celebrities who are already well known might want to launch their own product with their name on it. 

So, what are some of the best practices for cannapreneurs looking to break into the cannabis industry the most cost effectively and time effectively? Let’s get into those next! 

The Top 5 Challenges Faced by Cannabis Distribution Companies in California

To know exactly what you’ll be dealing with California cannabis distribution, let’s cover the bad news before the good news. Here are the top 5 challenges faced by cannabis distribution companies in California. 

#1 – Compliance

In every state, but especially in California, the regulatory landscape is ever-evolving. Every market has strict regulations in regards to the manufacturing, packaging, distribution, and sales of cannabis products due to the nature of their use and effects. Once licensed, every part of the process from “seed to sale” is subject to these regulations, and there are strict penalties for not remaining in compliance. Not only can violations negatively affect a brand’s reputation, but they can also come with monetary fines or punishments such as license suspension. 

What are the simplest ways to address this challenge? Cannabis distribution companies will either invest in robust compliance management systems that help them adhere to state and local regulations in-house. Or, they’ll turn to outside manufacturing facilities that are experts in rules and regulations and stay up to date with the latest compliance measures across multiple product types and regions. 

#2 – Taxes 

If you’re already a player in the California market, you already know about the challenges that taxes pose for brands. California cannabis distribution is subject to hefty taxes on cannabis, which can significantly impact a distribution company’s profitability. Included in these taxes are – 

• Cultivation taxes
• Excise taxes
• Sales taxes

Which are all collected at various stages of the supply chain. These taxes can also lead to higher prices, making profits that much harder for companies to obtain. To help, California cannabis distribution companies may streamline operations and cut costs by using an existing facility with a California manufacturing license for production. 

#3 – Banking access 

Because cannabis remains illegal at the federal level in the United States, companies struggle with limited access to banking and financial services. Even more so, it is much more challenging to obtain funding through loans or other conventional means of raising capital. Many banks are hesitant to provide services to cannabis distribution companies due to the federal prohibition, forcing these businesses to operate primarily in cash.

To address this challenge, companies can seek out cannabis-friendly financial institutions that are willing to provide banking services. Additionally, they can explore alternative financial solutions, such as cryptocurrency or fintech platforms tailored to the cannabis industry. 

#4 – Competition

Cannabis markets in any state are competitive, but even more so in California, with numerous distribution companies vying for a share of the market. This saturation can make it challenging for newcomers to gain a foothold and for existing businesses to maintain growth. What helps is to gain advantages against the competition through product offerings, branding, and customer service. 

Many current California cannabis distribution companies now use California cannabis manufacturing facilities to produce their products, giving their team more time to leverage competitive advantages such as advertising and consumer education. 

#5 – Quality Control

Ensuring the quality and safety of cannabis products is of paramount importance. Not just for consumer safety, but for compliance regulations, too. California mandates rigorous testing requirements for cannabis products, including testing for pesticides, contaminants, and potency. Failing these tests may result in financial loss and damage to a brand’s reputation if the products do end up on the shelves. 

For new brands, to guarantee quality, it helps to use the services of a contract manufacturer or white-label cannabis producer. These facilities are well-versed in creating quality products within California’s strict regulations. 

What’s New for Cannabis Manufacturers in California

From California cannabis gummies to wholesale concentrates, California is booming in growth for the products it offers. Here are the latest trends affecting cannabis manufacturers in California and what you should be doing to keep up. 

Solventless 

One of the most recent trends in wholesale concentrates in California is solventless. But not just solventless concentrates, like vapes or dabbables, but solventless edibles too. Solventless describes the art of extracting the plant’s resinous oil, and beneficial compounds, without the use of solvents. Which, in the case of cannabis extraction, typically includes butane or ethanol. Instead, temperature and pressure techniques are used to do so, ensuring California cannabis consumers a clean experience. 

Edibles 

Edibles are another market category that continue to evolve for California wholesale cannabis distribution. Now, consumers are seeking much more than just a “buzz” and are seeking more sophisticated or complex edibles to suit their preferences. This includes demand for high-end chocolates, edibles made with all-natural ingredients, and those for particular diets like gluten-free, sugar-free, etc. 

Terpene forward 

Speaking of sophistication, and education, consumers are now learning more about what contributes to cannabis’ unique effects. It’s not just cannabinoids like CBD, and THC, but the plant’s terpenes, too. Hence the rise of terpene forward cannabis products coming from cannabis manufacturers in California. 

With a rich tradition of cultivating high-quality marijuana, California boasts an abundance of boutique growers and artisanal brands that focus on unique strains and organic cultivation methods that can produce flower material high in terpenes for extraction and product manufacturing purposes. 

Sophisticated cannabinoids 

California’s cannabis market is as diverse as its population, catering to a wide range of consumer preferences. A notable trend is the increasing demand for premium, craft cannabis products that offer sophisticated combinations of cannabinoids. This includes a growing interest in  innovative consumption methods, such as edibles, concentrates, and vape cartridges, that offer the same cannabinoid combinations. For instance, the minor cannabinoid CBN, is rising in popularity for its sleep inducing effects. 

The market also reflects the rise of CBD-infused products, which appeal to health-conscious consumers seeking therapeutic benefits without psychoactive effects. 

How to Keep Up With California Cannabis Gummies + Other Trends

When it comes to keeping up with competition in California, the first part is knowing, and the second part is doing. But that’s where so many current brands or aspiring entrepreneurs struggle. They either have a hard time scaling their current business with concerns over startup costs and quality for launching… or have a great idea and are having trouble financing and navigating the complicated licensing landscape. 

That’s where cannabis manufacturing companies in California, like My Green Network (MyGN), come into play. Our type-s licensed, shared manufacturing facility allows cannapreneurs to manufacture their individual cannabis products in our shared kitchen space or via our white label cannabis or private label cannabis opportunities. 

Even more, by outsourcing the most important part of the product – manufacturing, you’ll have more time to focus on the crucial branding and marketing it takes to not just survive but thrive in the competitive market. All the while ensuring the quality of your new product launch, considering MyGN has state of the art equipment and is a leader in manufacturing top-shelf California cannabis gummies, edibles, solventless products, and more. 

White Label Cannabis Benefit #1: Expanded Product Range and Market Reach

Introducing white label products allows brands to diversify their offerings and extend their product range without investing significant time and resources in research and development. By partnering with a reliable white label manufacturer, brands gain access to an array of ready-made products that can be quickly branded and launched in the market.

This enables companies to tap into new consumer segments, satisfy varying customer needs, and capitalize on emerging trends. The ability to offer a comprehensive product line enhances brand perception, positioning the company as a one-stop-shop for customer requirements.

White Label Cannabis Benefit #2: Cost Efficiency and Profitability

White label products present a cost-effective option for brands seeking to optimize their profitability. By leveraging existing product formulations and manufacturing capabilities, brands eliminate the need for extensive product development and production setup costs.

Moreover, scaling can be accomplished that much easier with bulk manufacturing, leading to reduced unit costs and improved profit margins. With lower upfront investment requirements, brands can allocate resources to other critical areas such as marketing and customer acquisition, strengthening their overall business strategy.

White Label Cannabis Benefit #3: Faster Market Entry

In a rapidly evolving market, speed to market can make a significant difference in the success of a product. White label products expedite the process of bringing new offerings to consumers. By leveraging existing manufacturing capabilities, brands can significantly reduce the time required for product development, testing, and production.

This benefit allows brands to stay ahead of competitors, respond swiftly to market demands, and launch products in a timely manner. By capitalizing on market trends and consumer preferences, brands can seize opportunities and generate revenue before the competition catches up.

White Label Cannabis Benefit #4: Brand Flexibility and Customization

White label products offer brands the freedom to customize products according to their unique brand identity and target audience. From packaging design to product features, brands have the flexibility to differentiate their offerings, creating a distinct competitive advantage.

Customization allows brands to tailor products to specific market segments, catering to diverse consumer preferences and requirements. This personalization fosters brand loyalty and strengthens customer relationships, as consumers associate the quality and satisfaction of white label products with the brand itself.

White Label Cannabis Benefit #5: Risk Mitigation and Focus

Developing a new product from scratch involves inherent risks, including uncertain market acceptance and financial investment. White label products mitigate these risks by allowing brands to test market demand and consumer response without significant upfront expenses. Brands can assess the performance of white label products, gather valuable market insights, and adjust their strategies accordingly.

Additionally, brands can focus on crucial areas for success in the cannabis industry, such as marketing, brand management, and customer experience, while relying on trusted white label manufacturers for product development and production. This division of labor allows brands to optimize their operations and allocate resources strategically.

California Edibles Brands – Trends to Target

Like any product category, cannabis products are starting to diversify to target unique consumer preferences. For instance, infused pre-rolls have emerged to offer higher levels of potency. Similarly, now 1G vape carts, and solventless vape carts are trending. As for edibles, here are the latest California cannabis gummies trends, and trends affecting the edible category as a whole. 

Vegan 

Currently, many California cannabis gummies are vegan, naturally, due to the use of pectin vs gelatin. But, as more and more California edibles brands try to mimic candy-like textures (think Haribo!)gelatin is being used more and more. Meaning, vegan consumers will continue to seek out gummies that are gelatin-free. 

Unique flavors

Long gone are the days of cherry, blue raspberry or watermelon, basic flavored gummies, or plain chocolate bars. Today, California edibles brands are expanding their uniqueness with varying flavors infused into their bites. 

High-dose

As consumers’ potency levels increase, so does the dosage they require to reach desired effects. Hence, the emergence of high-dose, one-bite edibles to blast consumers off to all new heights! 

Microdosed

On the flip side, California cannabis gummies and other edibles that are microdosed are increasing in popularity. 

Fast-acting

For consumers using cannabis medically, or looking for fast-acting relief – edibles aren’t ideal, considering they take 45 minutes – 1 hour for effects to fully kick in. Today, California edibles brands are increasing their use of nano-emulsification that’s said to increase onset effect time due to the cannabinoids micro-size promoting fast absorption. 

Nootropics and other herbal blends 

A wide range of herbs, nootropics, and even mushrooms, with healing capabilities are gaining popularity, even outside of the cannabis industry. So, it’s only natural that California cannabis gummies and other edibles are now using the compounds to add a boost of relief. 

Minor cannabinoids

The more consumers learn about minor cannabinoids like CBG, CBN, and THCv the more they’re seeking them out in edibles! These cannabinoids have their own unique effects, just like THC, and can be used to promote a specific type of buzz. 

Solventless

Clean weed is the future! Like all other product categories, solventless edibles are on the rise, too. 

Terpene focused 

Again, as consumers mature and educate themselves on the cannabis plant, they’re learning more about the power of terpenes in addition to cannabinoids. Together, the two compounds create what’s known as the entourage effect – or the phenomenon of the two amplifying one another’s effects.

That’s why more California edibles brands are focusing on specific terpene blends to better induce custom effects. 

Concentrate Types 101

Now that we know more about how cannabis manufacturing companies can differ in concentrate quality, let’s dive deeper into the type of concentrates you or your brand might be interested in manufacturing. 

Live Rosin vs Live Resin

The latest trend (and debate) amongst cannabis consumers and connoisseurs is live rosin and live resin. The similarity between the two? Both are extracted from flower material that was flash frozen upon harvesting.

The difference? Live rosin is made with a solventless extraction process – meaning, it doesn’t require any potentially harmful “solvents” or chemicals to separate the oil from flower material. As for live resin, solvent-based extraction processes with these styles of solvents is used. 

Like we mentioned earlier, currently, live rosin and live resin account for the highest sales in the concentrates’ product category. 

Shatter

Shatter is easy to decipher based on name alone, as it looks like it could break into pieces just like glass. It tends to have a golden and translucent appearance, and is most often made with a hydrocarbon extraction process. 

Budder

Budder or badder is another appropriately named concentrate, as the final consistency is creamy like ‘butter’ or even thick cake ‘batter’. To achieve this consistency, extractors tend to use a whipping process that produces a soft, yet gooey texture.

Naturally, some rosins can be budder-like in consistency, but the concentrate type can be achieved using solventless or solvent-based extraction methods. 

Hash 

Hash, or what’s now more commonly and more specifically coined as ice water hash or bubble hash is a traditional, and old-school form of extracting the good stuff from plant material. More technically, it’s the collection of trichomes (the sticky, mushroom-like shapes you can see on macro-level bud shots!) from a process that uses ice, water, and filter bags.

Today, cannabis manufacturing companies in California are seeing demand for hash for rising trends like infused pre-rolls, like “hash holes”. 

How to Start an Edibles Business in California: The Latest Trends

In general, growth for edible sales has been steady, with a 10.7% to 12.1% rise in total sales from 2021 to 2022. For those close to the industry, it should come as no shock that gummies are leading the charge in sales with a 31% year-over-year growth from 2020 to 2021. But here are some other interesting facts that future canna candy company owners should consider: 

• Chocolate edibles had a -7% decrease in YOY growth from 2020-21. 
• Caramels, chews and taffy had a whopping 32% increase in YOY growth from 2020-21. 
• Brownies and cereal bars had a 2% increase in YOY growth from 2020-21. 

Outside of sales, there are a few consumer trends affecting edible sales and the industry as a whole that should also be taken into consideration. Such as – 

• Generationally, and demographically, female consumers show a strong preference towards edibles. Especially those over 40, who in the US contribute to over half of all edible sales according to Headset data.  
• Consumers are shifting towards “whole plant” or strain-specific edibles, as sophistication and education of the market matures. 
• In alignment with this trend, solventless demand is also on the rise. Solventless refers to the natural extraction of cannabinoids, and terpenes, without the use of harmful chemicals (like ethanol and butane) and with heat, and pressure, instead. Solventless products are at the forefront of the “clean weed” movement that’s expected to continue gaining momentum. 

Furthermore, vegan, low-sugar, and gluten-free edibles are expected to gain traction as more consumers shift their diets in this direction and enter the edibles market.

How to recession proof your business with trends 

Last month, industry leader Weedmaps laid out some of the hottest trends expected to affect this year’s and future cannabis markets among consumers. With the power of knowledge, current or potential cannabis operators can use these trends to their advantage and get ahead of their competitors. So, let’s dive deeper into each one to learn how to do so successfully next. 

The Rosin Definition 

First things first – what’s the true definition of rosin? Rosin is a solventless cannabis concentrate that uses only minimal heat and pressure to extract the oil from trichomes found on cannabis plant material. Trichomes are the resinous glands that make cannabis flower “sticky icky” and contain the plant’s beneficial cannabinoids and terpenes that add to its effects. Think of the solventless process like squeezing a grape, where the juices flow. 

In comparison, other concentrates are extracted using solvent based methods with harmful chemicals like butane, propane, or ethanol. So, you can see just how rosin is on the side of the clean weed movement, using only natural sources (such as heat and pressure) to extract the plant’s precious compounds.