Postulations and projections12 million bottles a year x $4 for the retailer at 100% markup leaves us with $2 a bottle for the ready to serve offerings at an unknown cost to us to manufacture and distribute. If we max that prodution and sales that gives us 24 million before expenses. Our biggest expense is going to be management wages we leaves me to think that our T27 offerings are going to have to play a big part of our success.
I saw the number of $25-$30 on the shelves which would leave us with 12.50- 15.00 which is more like the numbers we are going to need to get some serious revenue going and make all the management and employees happy. Hopefully we can crank out enough product with the big profit margin for the profit to put a twinkle in the eyes of the shareholders.
I don't have a clue what potential co-packing clients would be willing to pay but I'm pretty sure it would crack out to be cost plus something for our trouble but it is a double edged sword for these guys being our competition but it also seems to me that we would have some pretty good ideas of potential sales by the competition and buy out possibilities if they are going to be utilizing our line which would cut production capacity for our products.
I don't know how much surplus capacity is available in California for bottlers so shortage of that could jack the revenue up until supply meets demand.
I envision this type of product to be game changing for consumers and cutting in hard to conventional alcohol offerings. So far there seems to be some protectionist measure in place such that drug infused bottling has to be done separate from non drug products which is a technicality that will be overcome with more lobbying by participants as will crossing State borders which will cause centeralization of production. The rules vary depending on the area, state and country. Traditionally control has been regulated with the company with the recipe by making concentrated syrups, which at present would have to be without the cannabinoids for them to legally cross State lines. Interestingly strain genetics could be licensed to growers to try to keep the products consistent so the consumer gets the same experience.
Strain genetics is going to be huge and the future, to make that special product that consumers are looking for. I'm still waiting for the anti-munchie version and the less calories and sugar gets high points from me, as a recently diagnosed diabetic.
It seems that Tinley is ahead of some pretty serious competition that is about to enter the field and we could satisfy both the rec market and pharma market.
Canopy reports tomorrow after hours and should stir things up a bit. I'm hoping for a rising tide for all of my pot investments based on their reporting. glta and dyodd
In the meantime, Tinley is looking to use the tried and true co-packing with like minded individuals for rapid expansion. That sort of fits the rules and regulations set down by the powers who be and accomodates local suppliers of the ingredients including the thc and cbd.