In a co-manufacturing facility brands are able to scale and launch more effectively through the use of pooled resources on one vertically integrated facility that can meet all of their business needs.
Why Co-Manufacturing Is The Future of Cannabis
Manndie Tingler | Natura Life + Science
What is the goal of Natura Life + Science and how did you come up with the idea of creating a vertically integrated cannabis operation?
The foundation of Natura is to help cannabis brands launch and scale more effectively in order for them to have a better chance at succeeding. Over the last few years in the industry we have watched brands struggle to survive and many have lost the battle. This industry was initially based on compassion and the desire to help those who needed an alternative method of medical treatment. Most brands began with the desire to help others with medical cannabis and had to operate under the radar, and not being acclimated to traditional business practices the way that they are expected to do today. Also, once the new regulations took hold, the industry went through yet another shift where large sums of money needed to be spent in order to get complaint or shut down operations. Bringing a brand into the newly regulated marketplace is riddled with obstacles. Many underestimate the financial obligations that lie ahead and struggle to keep their ships afloat. We were watching many executives having to divert their attention away from building their brand in order to raise funds, or putting out frequent fires that were unforeseen. A vertically integrated facility allows for brands to focus on what they wanted to do from the get-go, which is to build their brand in the marketplace. By providing a platform to give them access to shared business services like Human Resources, effective operating systems for tracking their business activity, Marketing, Accounting, Logistics, and product development, they can save on costly business expenses that they would normally have to sub contract out or hire separate department staff for. Additionally, a vertically integrated facility provides for shared and significantly reduced cost of goods needed to create their products. This industry is in need of business models like Natura.
What supply chain challenges to you see currently in the cannabis industry and how does Natura plan to solve these issues?
Our industry is faced with so many supply chain challenges. The largest one is likely summed up in one word... inefficiency. Brands are finding it challenging to source consistent input product, and many are having to use multiple software services to manage their business. Because our industry is in its infancy, we lack efficient operating systems to track our business activities. This often leads to challenges with products availability, financial tracking and staffing accountability and ultimately leads to more expenses that are unforeseen.
What is the benefit to cannabis brands of using a co-manufacturing facility?
In a co-manufacturing facility brands are able to scale and launch more effectively through the use of pooled resources on one vertically integrated facility that can meet all of their business needs. With shared resources the overhead cost of doing business greatly decreases allowing for brands to see a return on their business in a shorter amount of time, ultimately providing them more stability and keeping them from having to spend precious time seeking out capital to grow their business.
Can you describe some of the technical features used in your facility?
Our facility is state of the art. We are GNP and LEED certified facility that will offer a fully robotic cultivation system, solar energy for a significant portion of the campus, and a fully integrated operating software program that will solve all of the pain points across the supply chain, from seed to sale. The operating system will track every step of a manufactured product along the entire cannabis supply chain - and this system is something that would usually cost millions of dollars for a company, but we are offering to all of the partners that choose to work with Natura. Since our founder, Ori, has experience in the solar industry, many of the aspects of our facility will be solar powered, including portions of the cultivation and manufacturing sites. The facility will be as eco-friendly as possible. The robotic cultivation system will automatically turn plants, adjust the light, etc. - everything will run on a strict computerized schedule for optimal grow conditions.
What is the most exciting service that you are looking forward to that your facility is going to offer?
There are so many things to get excited about with Natura but my top 2 personal favorites are that we will be able to help cannabis businsses be profitable for the first time. I am also very excited to share our software system that will help our brands.
How are you going to pick what brands/companies you will want to work with?
We want to work with everyone. There isn't a cannabis company in the industry that we cannot help or work with. Our goal is to work with every dispensary, brand, distributor, delivery service, cultivators, and more.
How would a company go about setting up a co-manufacturing facility or working with you at yours?
In order to wok with us at Natura, we just need brands to reach out to us. They can reach us at our website at www.natura-lifescience.com
After the Sacramento campus is up and running, what’s your plan?
Once the Sacramento location is fully operable and the proof of concept is complete, our plan is to duplicate this model at 30 different locations around the the US and globally.
The content & opinions in this article are the authorās and do not necessarily represent the views of AgriTechTomorrow
This post does not have any comments. Be the first to leave a comment below.
Post A Comment
You must be logged in before you can post a comment. Login now.