The Blessings of 2020

As the end of the year approaches, all of us are undoubtedly reflecting on how the past 10 months have changed us. I know 2020 has taught me several lessons that will stick around for years to come... And in case you're so inclined, feel free to grab a warm beverage (or that lingering slice of pumpkin pie) as I offer some of my own ruminations on a year like none other...

1. Roll with the Punches. 

Personally, I’m someone who enjoys a routine. Doesn’t have to be elaborate – but I do appreciate the predictability that comes with knowing what’s planned for my schedule each day. And just when I think I'm doing pretty darn well in the, "See – I'm not really a control freak" department, life has a way of reminding me otherwise. From the on-again off-again nature of my son's Fall football schedule, to the inability to walk my favorite trails thanks to the awful CO fires/air quality, to adjusting our coaching business from in-person to zoom with about 48-hours' notice – Some of my biggest frustrations of the year surrounded plans I THOUGHT I MADE, vs the situations that ACTUALLY HAPPENED. This year has taught me that I need to do a better job of rolling with the punches – and that even with well-strategized schedules, things don't always work out.

2. It's all About Your Perspective.

About a month ago, someone asked me how I would describe what I’ve experienced in 2020. My answer was, "I know this is crazy, but 2020 has actually been one of the best years of my life!" And it's true! I traveled for work and enjoyed every new client we met! I traveled for fun and made memories that will last a lifetime! I saw my family in rural Kansas five times this year! I laughed harder than I have in a LONG time, I took my own personal growth seriously, and I realized the importance of choosing to move forward despite the circumstances. Was 2020 a crappy year in many ways? No doubt. But I found a massive gift in 2020. And I won't let anyone take that perspective away from me! 

3. I Control what I Think. 

When significant and abrupt changes take place, it becomes imperative to have the right information to make the most informed decisions possible. But you know what? That decision to make – is still my own. Trust me… I’m not a denier of reality. However, there comes a point when being spoon-fed a certain type of diet is no longer in my best interests. The media might try to tell me what to think, the "fact checkers" on Facebook might try to tell me what to think, but the only person who decides what I get to think, is ME. I was relentless this year with choosing my own thoughts (not perfect, but definitely relentless) and because I took responsibility for my own personal thoughts, I was able to step back and take time to focus on what really mattered, allowing the rest to fall away. 

If you can, I'd highly encourage you to take the time to find your own positive lessons within 2020... And better yet, write them down! Writing down your thoughts allows you to double check the mountains from the molehills. Plus, it causes you to clarify yourself and focus on “the good,” rather than allowing your brain to circle in fear, or in other unhealthy ways. And by all means, enjoy the beverages while you do!

From our team to yours, we'd like to wish you a Merry Christmas and a Wonderful Holiday Season!

Carrie Cox

Co-Founder and Corporate Liaison

The Hemp Business Advisors

A View Point to Consider in this Impactful Political Climate

When a Republican Senator from a Blue state makes an appearance at a Cannabis Public Policy Conference, people pay attention.

That’s precisely what happened when Senator Cory Gardner (R-CO), took 30 minutes out of his DC schedule to answer questions live via Zoom, at the Cannabis Public Policy Conference in Denver on September 23rd. 

As a Colorado resident since 1998, I’ve been familiar with Cory Gardner since his early days in the state house - But admittedly, I wasn’t extremely familiar with his stance on cannabis. Turns out, Senator Gardner has been an advocate for cannabis for quite some time. From championing Hemp farming and the SAFE banking act, to supporting a vote for the full legalization of marijuana, Senator Gardner clearly wants to make life easier for those of us in the cannabis industry. And as one of only a few GOP Senators from a rec-legal state, it’s obvious that he’s in a near-perfect position to influence those on his side of the aisle.

During his live zoom, the senator was very engaging, articulate, and calm. In fact, after the interview was over, I heard several comments from people in the room of how “likable” he was… How they never expected someone like him to be in “our corner”… And how he might really be the kind of person who could turn some of his more conservative colleagues towards our cause. Especially in this highly partisan environment, it seems Senator Gardner’s gift, is his Republican status and the corresponding number of relationships he’s built within his own party. Turning just a few of those relationships into pro-cannabis votes, would change the entire face of this issue at the federal level in a heartbeat.

Maybe it’s just me… But when hemp and cannabis professionals come together, it’s usually over a personal experience with the plant and a shared love for its potential… It’s not really about bonding over the same political ideology of the guy next to you.

And while Washington and the national news media continue their red vs blue tirades of life, it’s clear to me that in order to get additional support on pro-cannabis legislation that serves farmers, product manufacturers, dispensaries, etc., we need cannabis-friendly legislators who are willing to step forward on behalf of our best interests. As many in the GOP have tried to stick their heads in the sand or ignore the cannabis issue even exists, Senator Gardner has been the exact opposite. He has not cowered in front of his fellow colleagues. Rather, he has continued to be a positive voice for cannabis in a chamber where dissent isn’t often tolerated.  

Perhaps you’re someone who votes straight down the ticket for your political party. If so, I understand and respect your position.

But if you’re someone who believes progress, strategy, and a vision for pro-cannabis legislation is more important than any party affiliation, then I’d like to ask you to consider a vote for Cory Gardner. In fact, if you didn’t see an “R” next to his name, you might assume he’s exactly the guy we need in the Senate, working on behalf of everyone in our industry, right now.

Carrie Cox

Co-Founder and Corporate Liaison

The Hemp Business Advisors

Mr.Talkey-Talkey “Nothing-Sayer” Learns How to Communicate Effectively

Some people are natural communicators. 

These are the people who can make small talk with anyone, easily chat with the cashier at the grocery store, or share a few laughs and become BFF’s with a previously unknown waiter at a restaurant. 

Some people say you have to have ‘the gift of gab’ in order to be a natural communicator. And while I’ve been told such a gift was bestowed upon me, I would argue with the notion that ‘the gift of gab’ makes one a good communicator.  

In fact, it doesn’t. 

How do I know? 

Because each and every one of you reading this right now, can think of a time when you were cornered by someone with the gift of gab, who talked your ear off about absolutely nothing. Seriously – They wouldn’t stop talking about… NOTHING!  

And how did you feel when you were rescued from this uber-talkative, dear-God-please-leave-me-alone nightmare?  

You felt freedom.  

And occasionally, like you needed to take a shower. 

That’s the universal experience which proves there’s a difference between “natural communicators” and good communicators. And just because you’re not one of those people who can easily strike up a conversation with a stranger in the elevator, it doesn’t mean you can’t become a good communicator.    

You can. 

Here’s how… 

1.     Know Yourself 

Now, just FYI… The phrase, “Know Yourself” doesn’t have to be a deeply compelling and overtly philosophical exercise… It simply means, “What’s something unique about me that other people can remember?” Did you grow up on a farm? Are you from a different part of the country than where you live now? Did you once have a completely different career verses what you’re doing now? Are you 1 of 8 siblings? Did you have a unique or crazy pet growing up? 

You should always have 3-5 things about yourself that you can pull out – whether you’re at a networking event (so you stand out amongst the crowd) or if you just want to put a smile on the cashier’s face. Then, consider ways you can weave these unique facts into the conversation. I’m not asking you to be all pushy-salesy like the toxic guy mentioned above… I’m saying, you might be surprised how often you find an opening that directly applies to the conversation, when you “know yourself” and have a few unique facts outlined in your brain ahead of time.   

2.     Know Your Business 

Same principle here, but with a different purpose. Knowing 3-5 unique things about your business is just good marketing sense. After all, if your product/service is the same as anyone else you can google, you should probably make a point of distinguishing yourself apart from the competition.   

Are you super-serving a niche market? Do you have a great story about how you got started? Did you discover the wrong way of doing things before you patented the right way? Did you hire your grandmother within the first 6 months of your business? Again, I’m not saying you need to offer all of these things in one brief conversation…. But I am saying, that when you know what makes your business different or better than your competition, you should be able to articulate your unique selling points in order for a total stranger to remember you.  

3.     Know How to be Human 

Now… The whole point of this exercise isn’t to verbally abuse complete strangers with your new-found talking points. The purpose of good communication is to make the other person feel at ease with you. And here’s the secret… When someone else feels at ease with you – THEY REMEMBER YOU! 

And to be honest, THAT’S the mark of a good communicator… Someone who knows themselves, knows their business, and knows how to naturally weave these things into a conversation with confidence and grace… Confidence that connects, and grace that causes other people to feel awesome about themselves. Storing a few unique facts in your brain ahead of time causes you to relax. And when you’re relaxed, you get to pro-actively guide the conversation wherever you would like it to go.   

Before your next cannabis event, or before you try to make small talk with the guy in line next to you, take a few moments to recognize the wonderful and unique things about your business and about yourself. Then remember the purpose of your communication is to put the other person at ease. The more tidbits you have stored in your brain ahead of time, the more likely you are to connect with random people, and be positively remembered for your communication skills.

Lord knows, we’re already full of over-talkative, slightly slimy, semi-inappropriate, Mr. Nothing-Sayers.  

Carrie Cox

Co-Founder and Corporate Liaison

The Hemp Business Advisors

Top Tips for Financial Success (How to Increase Cash Flow Instead of Getting Screwed!)

As a former Sales Manager and General Manager of a publicly traded radio company, I became well-versed in the art of, “Not Getting Screwed” financially.

You see, the standard payment terms for radio advertising are anywhere from 30-90 days. But unless you have a clear set of guidelines for how to proceed when clients haven’t paid their advertising bills, it’s pretty easy to find yourself in several sticky situations.

Like the time when my new client was all super-friendly and communicative through day 65 – but he mysteriously stopped answering the phone shortly thereafter. When I dropped by for an unscheduled, in-person visit, I received one of the biggest kicks in the gut I’d ever experienced… 

The sign on the door said, “Out of Business.” 

Despite my confusion, shock and dismay, something told me to stop into the business next door to see if I could learn anything. When I asked about their former neighbor, without hesitating, the guy behind the counter looked up at me and said, “Do they owe you money too?” 

Yup. Nearly $10,000.

Apparently, they left in the middle of the night without paying rent, utilities, or advertising schmucks like me. I was financially screwed – and there was nothing I could do about it.

It wasn’t the last time I had a client who walked away without paying their bill – But it was the last time I lost that much money in the process. Why? Because I decided I was going to figure out a way to keep it from ever happening again.

Fast forward to today.

As a business coach and entrepreneur in the Hemp space, I see WAAAAAY too many Hemp businesses in the exact same predicament. Businesses who don’t have strong grasp on their financial systems for collecting and/or processing payments, run the risk of getting screwed way more often than normal. Trouble is, it’s not only bad for the business – it ends up giving the whole industry a bad rap in general.

Therefore, in an effort to help you streamline your collections strategies and see more revenue in your bank account, here’s my Top Tips for Financial Success:

1.     Require Payment Up-Front Until Terms can be Established

When working with a new business relationship, it’s just good business sense to ask for payment up-front for a certain amount of time. Once your new client has established 60 to 90 days of an up-front payment record with your company, they can graduate into receiving credit terms. It’s an easy policy to explain, it allows the customer to develop good habits, and to be honest – it’s awfully hard to fake someone out over 90 days. If your client consistently pays you on-time for 3 months (and they’re satisfied with your services), it’s much easier to believe they’re going to continue to pay their bills with you moving forward. Establish an up-front payment strategy for a designated period of time with all new customers and watch your collections efforts become much easier in the long run.

2.     Set Your Systems and Look at Your Receivables Often

The best business owners I know keep up with their receivables on a weekly basis. You have to see what money has come in and what money is still missing, in order to get an accurate picture of the revenue you’ve generated. In addition, your company should have an in-house system for invoicing clients on the same day of every month. Doesn’t matter if it’s email, snail mail, or both – Make sure you’re sending outstanding invoices to your clients with predictability each month. For example, if you send paper invoices on the 5th, and you still haven’t been paid by the 20th, the client may receive an email with an updated invoice on the 20th. You also have to establish what happens if your client doesn’t pay you by the end of the month – and who is the person responsible for collecting payments from each client. Oh – And here’s a quick systems side-note… Don’t you dare pay anyone commissions or bonuses on what they’ve SOLD – Only pay them on what they’ve COLLECTED. That includes YOU. Change your internal systems to paying out bonuses/incentives based on collections rather than signed contracts and watch your receivables increase nearly over-night. 

3.     Take it Out of Their Hands

Have you ever noticed that most Cannabis entrepreneurs weren’t Economics majors in college? Even fewer have MBA’s or a background working in accounts receivables. That’s because people who are bold enough to believe they can start a successful Hemp business are usually “Adventure People!” – rather than natural-born bean-counters. That means, the quicker you can streamline the financial details of your business relationship with them, the more they’re going to love and appreciate you. Therefore – why not get a credit card authorization or EFT details up-front and establish permission to charge their card/withdraw funds at the agreed upon time (maybe a weekly or monthly basis). It’s SO MUCH EASIER for you as the vendor, to step in and say, “Let me take care of this for you” through a recurring credit card authorization. By doing so, you’re more likely to get paid – and your customer is grateful for one less thing to remember. A win-win for everyone.

4.     Offer Professional, Consistent, Kind Communication

Very few business owners are purposefully trying to screw you out of money. Rather, many of them are spinning 47 plates in the air at one time, trying to keep everything afloat! Firm, but kind reminders of their outstanding invoices with you, will often go further than elaborate, bold-font email messages or voice-mail threats of collections. Think about it. People pay people they like and respect. Being consistent with your communication, and offering a professional tone without additional emotion, will go a long way in getting your invoices taken care of quickly. Even asking the client if there’s an easier way for you to help them in this area, is a way of professionally communicating with kindness. Remind the customer that you’re there to serve them, more often than you remind them of the money they owe you – and you’ll be set.

And that, my friends, are my Top Tips for not getting screwed financially in your own business. Remember, when you set the tone up-front, and establish your systems for how clients are going to pay you, it creates a new level of professionalism for you and your company. And when you see your cash-flow increase because of these new in-house rules and guidelines, you’ll never find yourself sneaking away from your vendors in the middle of the night, writing signs that say, “Out of Business.” 

Until next time,

Carrie Cox

The Hemp Business Advisors

Systems Are a Way of Life

Whether you realize it or not, all of us have created a standard way of operating that works for us and fits our lifestyle. It’s called a system. Here’s an example…

After a string of several questionable online clothing purchases I’d made, I've placed myself on an online ordering moratorium after 10pm. You see… It turns out, I’m a lousy shopper when I’m tired. I order the wrong sizes, the wrong colors, and I often forget to activate my cash-back app (which is half the reason for shopping online!). Therefore, because I constantly found myself in a state of, “Dang it – I did it again!” I developed my own internal, personal online shopping policy – And it goes like this:

No online purchases can be made after 10:00pm. Doesn’t matter if it’s the most amazing deal on the planet – if I see it at 10:01pm, I will not allow myself to purchase it. I can continue surfing the web for as long as I want – but I will not make a single purchase until I wake up the next morning. If I still want the aforementioned item the next day, then I’m free to make a decision based on clear, fresh, in-the-morning thinking.

And you’d be surprised how much less junk I have in my house, based on that single SOP alone.

Yes, business systems and shopping systems don’t have to be complex to be effective – They just need to be followed. Therefore, I’m sharing my number one, super simple, best executed system that has brought me the most success after more than 20 years in business. 

Careful… it’s so simple, you might just miss it.

1.   WRITE IT DOWN. When I was working my tail off in my early 20’s, I remember having a crazy and completely illogical belief that making a list, was bad. Almost as if I was a “more virtuous human” than everyone else in the career-world because I could keep all of my tasks in my head (as opposed to all the losers out there who had to write stuff down). And oddly enough, the more successful I became, the more work there was to do, the less I wanted to write it down! I actually thought writing things down was a crutch – and I wanted to prove I could be successful without a crutch. Not until I discussed this “interesting” belief with my business coach, did I come to realize how nonsensical I was being. 

Shortly thereafter, I changed my mind and my system. Instead of keeping everything in my head, I started writing things down. Over the next decade, I would spend the last 15 minutes of my day writing down the tasks which needed to be accomplished the next day. I literally wouldn’t allow myself to leave my office until I wrote down tomorrow’s task list. And then – several things happened. I felt more organized because I knew what tomorrow would bring. I felt less stress, because the tasks of my day were already prepared in advance for me. And I felt a sense of achievement as I crossed each task off when completed. This new system was not even close to being a crutch – instead, it was my launching pad for even greater success.

2.   ALL THE THINGS GET WRITTEN DOWN. In this digital age, it’s super easy to let your laptop or your online calendar dictate your day. Now – I’m certainly not suggesting that you abolish technology… I’m just asking you to re-consider whether or not your online system is really working. In my above example – I still had an online calendar of appointments that I made, but rather than writing down appointments, I wrote down all the tasks I needed to do BEFORE the appointment took place! For me, this included creating presentations, doing research, writing proposals, drafting new ideas for clients, along with all the ways I could help my employees. Things on my list like “Create Proposal for Smith Law Group” or “Jon convo” helped me prepare to succeed before the meetings or the presentations ever take place. 

Thinking back on it now I can see that, “Create proposal for Smith Law Group,” in my mind actually became, “Close Smith Law Group as a new client.” And “Jon convo” ensured that I would spend time thinking about the conversation, rather than just winging it when the time for our conversation came. Because I looked at my appointments, then wrote down the things I needed to do FOR each appointment, I was ultimately declaring my own intentions for each item. And that my friends, is a HUGE secret which very few people are privy to knowing. 

3.   DON’T THROW IT AWAY. When you start writing things down (and you put your intentions into that which you’ve written), you’ll be shocked at the difference it makes in your productivity level. When I created and followed this system, here’s a step by step of how it worked:

• I kept a set of 3x5 blank note cards at my desk (feel free to use 5x7’s, sticky notes, or good old-fashioned yellow notebook paper if you wish)

• I turned the cards vertical and using the blank side, wrote down all of my tasks. If something came up that day, I added it to the list.

• I crossed each one off as I completed it (usually with great joy and enthusiasm!)

• If something didn’t get accomplished, I placed it on tomorrow’s task list.

• I refused to leave the office until my new list had been created for the next day.

At the end of the week, I could literally see everything I’d done. I knew the progress I’d made – and I could easily summarize my week based on the items that had been crossed off the list. And if something HADN’T been done (sometimes day after day after day), I had to take the time to objectively ask myself if I was procrastinating (and why), or if the task was truly necessary. Sometimes, I simply had to admit to myself that I never had any intention of actually doing the task in the first place and remove it from the list. All in the name of progress, achievement and growth.

One of the greatest by-products of this system, was the fact that I could leave the office, and truly “leave my work” at the office. I stopped thinking about what needed to be done on Monday, because my list was already there waiting for me. I kept myself accountable for my upcoming meetings and felt exceedingly prepared for them. And by writing them down, I put my personal energy and intention into each task prior to the result ever taking place.

If you’re unhappy with your current productivity level, may I suggest “shaking things up” a bit and writing a few things down? It might feel old-school at first, but if you keep doing what you’ve been doing, you’re going to keep getting the results you’ve already been getting.

Instead of fighting fires all day, or dealing with the same employee issues month after month, or ending up with a bright orange scarf (that you could’ve sworn was pink according to the Ebay pictures at midnight), you could find clarity, focus, and results like you’ve never seen before.

For more information, or if you’re not sure what the next step is to get the breakthrough you need in your hemp business, send us a message at email@thehempbusinessadvisors.com. We offer a free consultation and are always looking for ways we can help hemp business owners be more successful.

Carrie Cox

Co-Founder and Corporate Liaison

The Hemp Business Advisors

Top Tips for Hiring and Firing Well

I joke with new clients, that as an executive coach, I’ve got stories for days…

That’s because after 13 years in the public sector, 3 years in private business, and 6 years as an entrepreneur, you learn a few things. Unfortunately, my biggest “learning experiences” tend to come from my biggest mistakes.

Like how to hire the wrong people. 

Now, I don’t want to brag or anything… but I’ve hired some doozies over the course of my 20+ years in business. 

There’s the guy who looked like a PERFECT fit from the outside (said all the right things, did all the right things), but also ended up costing the company thousands of dollars in fake contracts he’d written, just to maintain a façade that would guarantee his salary.

Or the woman who couldn’t take a joke when admittedly, more than one of us on the team causally teased her about returning for her second day to the office. In full disclosure, we were relieved that our boisterous personalities hadn’t “scared her off” – but she contacted corporate HR claiming an intimidating work environment and immediately resigned.

Yes… I’ve been through a few bad hires. But worse than that – I’ve also been through a few bad FIRES as well.

I’ve had to fire the 12 year, go-to producing veteran… The “face of the company” … The darling of the organization… Not to mention the dreaded, “I’m sorry, but I’m going to have to let you go” conversation with 6 people on the same day.  

You see – when you hire poorly, you’re forced to fire well. And nobody likes getting fired, which makes “firing well” nearly impossible.

I tell you all this to help you realize – there is another way.

When you hire well – you rarely have to fire at all.

Trouble is, it takes quite a bit of time to hire well.

But I guarantee – it’s nothing compared to the amount of time it takes to clean up an ugly firing.

Therefore, here are my “top tips” for hiring and firing well:

1.     TAKE YOUR TIME.  Look – I realize what I’m about to ask you is nearly impossible. Everyone needs THE RIGHT PERSON – RIGHT NOW. But hiring the right person is almost never about hiring quickly. Rather, it’s almost always about taking time to outline the soft skills, the hard skills, and the cultural fit you need to move your company forward. If the perfect person does show up on your doorstep, you might be tempted to show them your corner office after 15 minutes – but I implore you, DO YOUR DUE DILIGENCE and pause. It takes only a few extra steps to triple check their references, heighten your ability to notice any personality quirks, and feel-out this person’s salary tolerances in order to guarantee they’re as awesome as you think they are. And trust me – if they’re the right person, they’ll stick around. And you’ll certainly have less regret.

2.     DON’T BE FOOLED BY AN INSIDE JOB.  For many business owners, the best sales job the new hire ever does, IS ON YOU. Unfortunately, that means you need to ask yourself a few questions… For example, what did he say that made you fall for his sales tactics in the first place? Do you tend to hire the same kind of person over and over, only to be disappointed over and over? Do you have a diversified staff – or does everyone seem to be cut from the same cloth? These are the kinds of questions which require personal reflection – but will also keep you from making the same mistakes again and again. If the best sales job your new hire has done is on you (because they can’t seem to close any significant business outside of your office), you might need to realize your employees aren’t the problem – your gullibility is. 

3.     DO THE RIGHT THING.  During my professional years, I’ve fired a top-producing President’s Club member, the most senior employee within the whole organization, AND the nicest guy in the world (who really, really wanted to keep his job), for one singular reason: It was the right thing to do. These employees were convinced they were living their best lives… And to be honest, deep down, I knew they could all do a lot better. I could see they were stuck. And even though I gave them opportunities to step up with the right tools and plenty of encouragement, they just weren’t able to rise to the occasion. And guess what? After letting these 3 people go and an appropriate amount of time had passed, ALL THREE former employees came back to thank me for firing them! That’s right – they THANKED ME for releasing them and allowing them to pursue that which truly made their heart sing. If your top producer kills it with new business – but is a gigantic pain in the patootie for everyone else in the office, you’ve got to make a tough choice. Don’t get caught up in past performance. Do right by everyone in the organization. Do the right thing.   

Those are my personal Top Tips for hiring and firing well! As difficult as it may seem, leaning into these three ideas will radically change the direction of your business – and might just save you from bragging about your own unnecessary “learning experiences” in the future!

Carrie Cox

The Hemp Business Advisors

Co-Founder and Corporate Liaison

GROWING WIDE vs GROWING DEEP in HEMP

Lots of businesses in the hemp space are wide, but not deep. 

Growing wide is a natural reaction for someone in the midst of a rapidly growing, constantly changing business. You’ve got to expand operations to fill the need – Change your strategy to comply with new regulations – Hire more people, create new products, find a bigger space… It’s all in the name of expansion and growth for your booming company. It’s based on a philosophy of go, go, go, in order to produce more, more, more… That’s growing wide. 

Now, during this unique and unprecedented time, Cannabis companies have the opportunity to re-prioritize their most important values that will sustain them over the long-term. Rather than continuing to expand wider and wider, you now have the chance to do something special.

You can take your company deep.

Width is what people see on the surface. But depth is what takes your company the distance.

Therefore, if you’ve found yourself in a position where you’re starting to re-prioritize what you truly need in order to weather the potential storms ahead, may I suggest taking the time for your company to grow deep? Here’s how:

DEVELOP YOUR PEOPLE

There’s a phrase I love to pull out when the sh&t hits the fan… Goes like this; “Peace and harmony is not the goal. Progress is the goal. And you rarely find any progress in the midst of peace and harmony.”

People rarely grow when maintaining the status quo. As a business owner, if you realize that your people are your greatest assets, then it makes sense to invest in them. It doesn’t matter how fantastic your product is, or how wonderful your marketing graphics are – if the people on your team don’t grow, you’ll be constantly spinning your wheels and never gain any traction. 

Growing deep with your people means expanding their capacity to become better leaders by reading business books, challenging them with new projects, or providing executive coaching. People don’t leave bad companies – they leave bad bosses. However, people are fiercely drawn to those who are fully vested in their success. When you show your people you care about their personal/professional growth, the result is a solid strength of depth that can withstand crazy uncertainties. Develop your people, and watch your business grow deep in a hurry!

HONE YOUR PROCESSES

When walking into a new business as a consultant, one of my favorite conversations is around the topic of processes. That’s because employees LOVE to talk about systems that are broken. Formulas that don’t work. Co-workers who don’t participate. Most of the time, I marvel at how they’ve managed to be even slightly productive thus far – given all the broken systems in place (whether or not they even want to change - well, that is a different question altogether).

Growing deep with your company processes means you hash them out until they work for everyone. You basically rip the band-aid off, hear everyone out, and design a new system that gets the job done. Then, implement it to prove it works. Reinforce the system, and enthusiastically pat everyone on the back, when they do it right. And for God’s sake, don’t stop at hashing-out one system – DO THEM ALL until you have a well-oiled machine that works flawlessly. Growing deep with your processes proves to everyone (including potential investors) that you intend to be around for the long-haul. Trust me – I’ve never met a business owner who regretted implementing a well-streamlined system. It’s a life-saver!

INCREASE YOUR PROFICIENCY

(Warning: It feels kind of wrong to make a sports joke in the middle of the Coronavirus, but let’s do it anyway...)

In my opinion, the old, “Who’s on first” sketch – is the epitome of the hemp industry right now. Too many employees are doing other people’s work (and nobody knows whose job it really is) simply because the work needs to get done. The problem is, that’s EXTREMELY inefficient - And it’s costing your company hundreds of thousands of dollars in lost opportunities for future success. 

Without clear and specific guidelines (dare I say, “job descriptions”) you’ll never get the systematic, well-organized, highly profitable organization you wish to have. Only when everyone in the company knows precisely what their role is, how they’re going to be evaluated, when their performance reviews are going to take place, who’s reporting to whom, and exactly what’s expected of them – only then will you have true convergence (and accountability) with each employee. 

Growing deep in these areas gives your employees ownership and it tangibly demonstrates how their personal contributions matter to the business. And when your people have the freedom to succeed (because they fully understand what you’re expecting them to do), it’s a sheer pleasure to watch them rise to the challenge. Increase your proficiency, and it’s just a matter of time before you start to see the kind of company you always dreamed of having.

IN SUMMARY

Companies who spend all their time "growing wide” have a tendency to look great on the outside, but they rarely succeed long-term. Only when you have internal depth of both process and people, will your productivity begin to skyrocket.

Now is an excellent time to double check that the width of your company doesn’t exceed your depth. And if it does, may I strongly encourage you to Grow Deeper. The long-term success of your business, and the ability to manifest the full vision of your company, depends on it.

Carrie Cox

The Hemp Business Advisors

Co-Founder and Corporate Liaison

A Case for Better Business in Hemp

Let’s be honest. Nobody would pick me as the poster child for hemp.

I’m a small-town Kansas chick who grew up on a hog farm. I spent my formative years helping my dad lay irrigation pipe, delivering meals to a harvest field, and occasionally driving a grain cart. The closest I ever came to knowing anything about cannabis, was remembering to stay away from the “ditch weed.”

And in full disclosure – I knew the farm life wasn’t for me. After college, I ran away to the “big city” and cut my teeth climbing the corporate ladder in a publicly traded company. Even when Colorado became the first state in the union to legalize recreational marijuana, never not one time did I think to myself, “Gosh… Maybe I missed something in my life by not working in cannabis?” 

Rather, I was busy overseeing $10 million dollar budgets, learning general business skills that the majority of the hemp industry is missing today.

It’s quite the conundrum… Massive amounts of passion for the plant, significant levels of “good intentions” around those who start hemp/cbd businesses, and a crap-load of cash to fool yourself into thinking everything’s ok.

But dare I say… Everything – is not ok.

Hemp is rarely run like general business – and while I recognize I’m about to ruffle a few feathers out there – I’m here to say, we need to turn over a new leaf and begin doing so asap.

Here’s an example…

A new business owner starts an extraction lab (or a processing facility, or a CBD product line, or a hemp ancillary business – take your pick). That owner then hires their friends and buddies to work with them. In fact, he/she also does a fabulous job of, “taking good care” of his/her employees by paying them well, offering them benefits they wouldn’t normally receive in a start-up, and lots of flexibility. The good news is, the margins for the product they’re producing are INCREDIBLE – and the business is quickly awash in cash!

However – as almost always happens in business – the market shifts. Prices drop. Regulations change. Banks freak out. Customers follow the new, “shiny” cannabinoid. Compliance requirements blow up like crazy. Marketing must be modified or the FDA will shut you down. And without warning, you find yourself in Facebook jail for a legal product.

Anything that CAN go wrong in hemp – DOES go wrong in hemp. The industry simply hasn’t stabilized and that means what was brilliant yesterday is f*cking you over tomorrow.

Hence, the reason why I’m so frustrated by bad business practices in hemp.

The initial financial windfall in hemp allows (and frankly, almost begs) people to make bad business decisions. Money covers a multitude of sins, until it goes missing. And you can’t hide a broken balance sheet when the income isn’t there.

If I were given the chance to wave a magic wand and ultimately bestow 3 of the most vital business skills on anyone currently in the hemp industry, they’d look like this:

1. TAKE TIME TO HIRE WELL. Perhaps your BFF does have an impeccable resume and is exceedingly accomplished in her field. Maybe she’s the whole reason to begin this crazy adventure in the first place – But if she’s not, then I IMPLORE you to take a deep breath and find the right person, by recruiting like crazy. If I’ve heard it once, I’ve heard it a thousand times… It’s not your amazing, life-changing product that’s your greatest asset. IT’S YOUR TEAM. And if you think you’re in the business of selling tinctures, or oil, or creams, or isolate, or edibles – you’re wrong. You’re in the people business. And you can’t possibly begin to sustain long-term growth in this industry with the wrong people on board. If that means firing your grandmother, by all means, grow a pair and do it. Your business is not worth losing because your heart got caught up employing your friends/family who have no ability whatsoever to advance your cause. Take care of your business first with the RIGHT people – or you will lose every single time. I promise.

2. PUSH YOURSELF TO IMPROVE. One of the things I preach over and over in Executive Coaching is that your team can’t improve, unless you choose to improve first. Your team will NEVER exceed your current skill set – which means, you need to push yourself to expand your capacity to lead. Listen to podcasts, read business books to challenge your current mindset, feed yourself a daily dose of something that will broaden your brain and force yourself to grow personally and/or professionally. Find someone who will hold you accountable for personal growth instead of keeping your head in the shifting sand of hemp. You need to grow – Otherwise, your team can’t grow. And if your team can’t grow – your business most certainly can’t grow. If you haven’t done so in a while, pick your head up and objectively take a good, hard look at YOU. Sooner or later, our own complacency always catches up with us. And if you haven’t pushed yourself to improve in recent months – I can almost guarantee, the leveling off of your company isn’t far behind. 

3. DUMB FINANCIAL DECISIONS WILL KILL YOUR COMPANY. Seriously. Under-capitalization is rampant in hemp. Everybody needs more money yesterday. And I get it – most people who get into this industry are risk-takers at heart… But there are some very basic business skills when it comes to money that hemp folks are missing. Like creating a budget for every project and event. Then, stay under it. Maintain reserves. Coddle your top clients like crazy and never give them a reason to leave. Pay your employees what they’re worth – but stop over-paying them. If you can’t afford something, don’t buy it until you can. Get out of partnerships with the wrong people. Pivot when the market drops out. If your current business structure isn’t working, get creative and come up with new ways to adjust it. This isn’t a fantasy world where “good intentions” make a person rich. This is hemp. And everyone who “makes it” in hemp – is required to demonstrate massive amounts of flexibility. Become deft – not dumb – in your financial prowess. Protect your finances and strengthen your company, or watch it fade away when the sun sets on today’s golden ticket.

And that’s my case for better business skills in hemp. For more information on how to pivot your business model, cut your budget or fire your grandmother, feel free to reach out to me directly at The Hemp Business Advisors. It’s my honor to help business leaders reach their full potential in this crazy, cannabis game.

Carrie Cox

The Hemp Business Advisors

Co-Founder and Corporate Liaison

The Hemp Space Dance

Upon entering the financial field of connecting Hemp companies with like-minded investors, someone should’ve warned me about my empty dance card. Because if there’s one thing I never expected in this business – it’s teaching entrepreneurs how to successfully dance with investors. 

You’d think it’d be a fairly simple thing, right? Investors have money, business owners need the money, so let’s have a conversation and close the deal by the end of the song, where a good-night kiss takes place, leaving everyone in a state of silent bliss.

Trouble is, I’ve never seen THAT dance take place in the Hemp industry. This dance, is more like that awkward junior-high gymnasium, somewhat stiff-and-smelly kind of dance. The kind where you don’t know how to talk to girls and forgot to wear your deodorant. It’s more clunky than graceful. More jitterbug than ballet.

To prove it to you, please allow me to explain…

When it comes to asking for money, business owners are more than familiar with the song and dance that comes from working with your banker (or an old-school car dealer). You know what you want, you’re on guard against the guy who’s got what you want, and you hold your cards pretty tightly in order to keep from getting screwed in the process. You pretend you’re interested, but not THAT interested - and give a little bit of head-nodding when negotiations begin to swing your direction. The less excited you seem, the better a deal you’re likely to get.

But when it comes to working with investors in the hemp space, most of those rules, are out the window. 

That’s because the folks who want to fund your hemp business, aren’t interested in the old-school song and dance. They want to know you’re ready for the money. That you’ve got a plan for how to pay them back. And that you can handle the increased revenue/productivity in your business. 

In other words, you have urgency to borrow their money, and use it wisely.

In addition, it’s important to realize how frustrated these funders are with the majority of hemp professionals. Hemp entrepreneurs who have a strong amount of business acumen, often have massive egos in tow as well. And those who lack the necessary professional skills, often come across as modern-day hippies with heaps of passion for a plant.

And so begins the dance.

At The Hemp Business Advisors, we teach entrepreneurs how to dance with investors. We show you the steps you need to know, the words which need to be said and the tone in which to say them, in order to secure funding for your organization.

After a couple of lessons, it’s not uncommon to find clumsy communicators gracefully gliding through their conversations with investors. It’s as if your entire life has prepared you for this dance. 

The dance which closes the deal on the capital you need, in order to grow your company. 

Tell your two left feet to go home.

Carrie Cox

The Hemp Business Advisors

Co-Founder and Corporate Liaison

Quiet Convos in the Back Yard

From what I can tell, there’s a funny phenomenon taking place in background conversations across America right now. 

Allow me to set the scene.

Imagine a gathering…  And all the usual folks are engaging in normal chit-chat about the change in the weather, the latest results from their favorite sports teams, or their family’s crazy extracurricular schedule. 

Now, zoom out a bit and notice…  In a corner, there’s another conversation taking place… two people talking one-on-one in what can only be described as, “hushed tones.” What could possibly be the common thread among these quiet conversations, in normal, every-day little pink-houses across America?

 They’re talking about (shhhh!)…  Hemp.

 No joke. And by all accounts, the conversation goes a little something like this…

“Man - my back is killing me these days… In fact, I couldn’t hardly get out of bed the other day…”

“You know… I had the same problem for a long, long time… Finally found something that works…”

Now, at this point in the conversation, our two every-day Americans lean in just a bit further, their eyes darting around the room to make sure no one like the TSA or Siri are listening – and just to make sure, the voices get even softer than before. It continues…

“Oh really - What is it?”

“Well… Now, don’t think I’m crazy when I tell you this… And to be honest, I wouldn’t have believed it if I hadn’t tried it for myself… But… I’m taking Hemp capsules...”

Now - what’s REALLY funny is – at this point, one of two reactions usually take place.

Either the person who’s had a great experience with Hemp starts defending his/her honor by emphatically stating things like, “I’m not smoking it…”and “I’m certainly not even interested in getting high”… But with a sheepish look of surprise, they admit, it’s working.

OR – the other reaction (and this one’s my favorite) comes from the person who’s still in pain. After learning how Hemp might be the answer to their aching body, their eyes light up and they say something like, “You know, my neighbor swears by his CBD oil and says I really should try it...”

Conclusion: You know that silent majority which tends to show up when you least expect it?

That’s the latest demographic to fly under the Cannabis radar. And they’re radically buying into the healing benefits of Hemp.

And if this conversation is happening as often as I believe it’s happening on back porches, or inside school gymnasiums, or even (gasp) in church parking lots across the country, it’s only a matter of time before Hemp becomes normalized in our country. 

I believe there’s a ground-swell of support that’s unexpectedly beginning to believe in the power of Hemp. And just because they’re conversing quietly now – don’t expect them to remain reserved if their Hemp is suddenly removed from auto-delivery thanks to government intervention. 

Trust me – I have no inside scoop whatsoever on what the Feds are going to say or do in regards to regulating Hemp/CBD products to consumers. All I know is, if they incorrectly assume the country won’t notice a radical ruling in favor of pharmaceuticals, they’re going to be wildly underestimating the power of the American populous. 

And those are the people who won’t go quietly.

Carrie Cox

The Hemp Business Advisors

Co-Founder and Corporate Liaison 

5 Creative Ways to Fund Your Hemp Business

There are literally billions of dollars ready to be invested in Hemp.

 I’ve seen it. I’ve spoken to the people responsible for it. And I’ve become a co-founder in a business dedicated to connecting those who have the capital with those who need the cash. 

Sadly, I’ve also seen several Hemp entrepreneurs walk away from solid funding options, because they had a very narrow view of how an investor thinks, what an investor wants, and what it really takes to get the funding you need.

So – in an effort to help companies who are at least 6 months old (because funding a company younger than 6 months is darn near impossible) here’s a bit of Hemp Wisdom about creative ways to fund your business.

1. Walk Before You Run

So, you need 10 million dollars to fund your ultimate hemp dream. And while you’re convinced it’s an amazing idea, you can’t seem to find anyone willing to jump on board.

Here’s a secret. Investors are much more willing to work in manageable chunks, than eat the whole elephant at one time. Therefore, if you can boil down your vision into a $500,000 investment to get started, then a $2.5 million investment a year later, then show them how your $10 million dollar dream will radically alter the hemp space forever – your funders might be a bit more receptive to your initial pitch. 

Too many entrepreneurs find a funding source, then mess it up because they get greedy and ask for too much. Make sure you prove that you know how to walk before you run, and you’ll be surprised by how many more people are willing to entertain your offer.

2. Sharks are not your Friends

If I had a nickel for everyone who believed investment funding happens just like it does on television… 

In most people’s minds, you get in front of 5 investors, you pitch your idea, they all fight for the right to fund you, and you get a celebrity partner who’s going to make you a gazillionaire.

In truth, it’s not even close.

For most small business owners in the Hemp space, I would NEVER recommend an equity deal for funding. Why? Because you are saddling your company with massive amounts of over-loaded baggage. Baggage that you’re going to be forced to carry around FOR THE LIFE of your company. And who’s going to do all the work? Not your partner! That’s right. It’s YOU. You’re going to do all the work for your business while your non-celebrity, mostly non-interesting equity partner, sits back and collects your checks. 

A more creative option is to consider a loan partnership where you get to keep 100% of your company and pay back the investor over time. Plus, once you establish a credit history with a Hemp-specific lending company, they’re much more likely to turn around and loan you more money in the future (and in some cases, a more favorable rate). A win-win for everyone.

3. Get Them to Commit Already

Here’s a pickle. What do you do when you’re about to land a huge order, but based on your current inventory you can’t fill the new order because you don’t have enough capacity to create everything the new huge order entails?

Well, in this case, timing is everything. And if you can get an official signed contract for the huge order, with the understanding that you’ll be able to deliver a certain amount of product by a certain date, that’s the kind of thing investors salivate over. 

I’m afraid a Letter of Intent isn’t enough. It’s the contract that makes an investor ready to pull the trigger. Therefore, why not negotiate with the person offering you the “huge order” – and find out what it would take to get a contract between the two of you. Contractual commitments can unlock the doors to funding faster than you can say, “I do.”

4. Skin in the Game

For many investors, making money is like a game. And the more money an investor has, the more games they can play, and ultimately, the more chances they have to win. 

That’s why, if you’re not willing to put your own money where your mouth is, you’re going to have a tough time closing a deal. When you ask the investor to take all the risk, they’re likely to pass. Instead, be willing to show you’re serious about your company by offering something of significance as collateral. Or, have the guts to ask someone who’s worth more than you to serve as a guarantor. Doing so, means you have a deep amount of faith in yourself and it speaks volumes to an investor. And in most cases, an investor doesn’t really want your collateral – They just want to know you’re truly dedicated to paying back what you owe them, and ultimately, winning the game.  

5. Check Yourself

There’s an old saying of, “If you’re the smartest person in the room, it’s time to find a new room.” 

Trouble is, a lot of people like being the smartest in the room.

In order to get funded, you have to be connected to the right people and be willing to listen to what they already know. If you only knew the crazy and creative ways I’ve seen deals get done, you’d be shocked! But that kind of favor is reserved for people who are humble enough to listen and learn from those who are willing to offer their expertise. And if you’re not one of those people, it’s going to be awfully hard to get you funded.

Yes, there might be a cost to acquiring these connections – but if you walk away with the investment you need in order to advance your business, isn’t it worth it? Again, investing in your own business is a sure sign that others can count on you to deliver. Plus, humility never goes out of style.

And there you have it – Five creative ways to get funded in the Hemp Industry!

If one of these creative options above stands out to you and you’d like more information on how to get funded, reach out to us here. And, if you’re an investor looking for additional Hemp companies to fund, you’re welcome to contact us as well.  

Again – There are BILLIONS of dollars sitting on the sidelines, just waiting to be invested in Hemp. The question is, are you ready to consider one of the alternative methods listed above in order to give your potential funder the opportunity to say, YES?

Carrie Cox

The Hemp Business Advisors

Co-Founder and Corporate Liaison