In our blog today we welcome Alvit LCS Pharma CEO Yona Levy with valuable insight on how to build a successful cannabis company. In addition to Yona’s 5 years at the helm of Alvit, Yona also has over 20 years of experience in business management and investment banking. Mr. Levy is the founder of Levy Capital Group, a boutique investment house that specializes in providing investment opportunities in the U.S. and Israeli markets to both large Israeli banks and high net worth individuals.
How to Build a Successful Cannabis Company
The causes of success or failure in any company are varied and complex. When you add on a publicly scrutinized industry like cannabis, with its ever-changing laws and regulations, and its enormous growth potential, the complexities compound exponentially.
However, there are certain key ingredients that any successful cannabis company will need to have.
1. Leaders that Communicate a Vision
The people at the top of the company, the founder, the CEO, must be able to get the people they meet excited about what the company is doing. They can’t be plain, or boring, or quiet, or have low self-esteem and so on.
Cannabis companies will not advance far in an industry like this without leadership with charisma, who can excite the people around them to want to be a part of the company’s vision. You need to raise large amounts of capital, speak at public conferences and panels (for example at CannaTech), and manage and oversee a large organization. If you’re weak in major areas, recognize it and find someone that complements you and make sure they have equity and something to work for.
2. Build a Team
To be taken seriously, you must have a team around you. A team that brings knowledge, experience, and credibility to what your cannabis company is trying to accomplish. For our company’s founder, that meant reaching out to Dr. Yoram Sela, the former head of Teva Pharmaceutical’s drug delivery department, and Dr. Yitzchak Lamensdorf, the head of the largest CRO in Israel, and along the way bringing in many others of similar stature to advise and oversee various research and development projects.
Build a board of directors and advisors and get them involved in your vision. People get nervous about approaching giants to be involved in their cannabis companies. You’d be surprised just how many will have an interest in helping you and being involved.
3. Keep Focused
Like the early days of the Internet industry, the cannabis industry is filled with an enormous amount of companies trying to grab a foothold. You will meet a lot of people saying and promising a lot of things. You must quickly evaluate each opportunity and decisively move on from the ones that don’t bring enough value.
“Be picky, be decisive, and be focused.”
Too many cannabis companies get too excited to sign any deal and end up wasting their time and energy chasing opportunities that are unlikely to yield the desired results. Be picky, be decisive, and be focused.
CannaTech is an international event experience that unites cannabis professionals with breakout industry leaders for an unparalleled opportunity to learn, connect and define what’s next for the global cannabis industry. This year, CannaTech celebrates five years of expanding the cannabis ecosystem. Don’t miss our flagship anniversary event in Tel Aviv, March 30-31, 2020.