Vator, the network of startup entrepreneurs and investors, recently teamed up with Ackrell Capital to create CannaVator, a business accelerator focused on the cannabis industry. As part of that effort, it is publishing a series of interviews with leading cannabis industry companies, kicking it off with Tripp Keber of Dixie Brands, the maker of premium marijuana infused products.
The company is known for its “edibles” that include the Dixie Elixirs and its chocolate bars, but the three of the top seven of their 100 active SKUs fall into the the Synergy line, which consists of products with both CBD and THC. The most popular product overall happens to be the Synergy Relief Balm, a topical, but the line also includes Dew Drops and Mints.
While Keber didn’t disclose precise profit margins, the business is run so that each must clear a minimum gross margin, many of which exceed 50%. It’s a good thing, too, as Keber described three required label changes costing about $250K each over the past year and a half.
The rest of the article focused on Keber’s bullishness on infused products, why he thinks banking is both a challenge and an opportunity, and the benefits to society legalizing cannabis offers.
Read Ronny Kerr’s “Dixie: Satisfying the voracious appetite for cannabis”