A due diligence process can range from a gut feeling to years of highly structured financial audits. Not many cannabis startups prepare investors with enough information for complete due diligence, there are focal points that can help us investor’s extract attention from our innate curiosity.
The publically traded company/entrepreneur’s focus is on what makes their company a worthwhile investment, while as investor’s our focus starts with all their available investment opportunities. hopefully as a part of the community we can create a diversified cannabis investment portfolio may have a small percentage of assets dedicated to alternative investments. Cannabis is emerging as its own alternative investment class.
Due diligence: The care a reasonable person should take before entering into an agreement or a transaction with another party. Proper allocation of investments in the cannabis sector is determined by an investor by analyzing its various sub-sectors to make determinations , with an eye towards adequate hedging, appropriate diversification and risk-mitigation. To make sure portfolio analysis and sector allocation is complete , Investor chat rooms can help educate on due diligence
To make great choices , we must first do our do diligence