Calling all ganjapreneurs! A new minority-focused investment firm has entered the cannabis space to aid you in your entrepreneurial success. C.E. Hutton was formed in June 2017, by Hutton himself, Khadijah Adams and Michael Souza. Ms. Adams, the catalyst of the new enterprise, is the Vice President and Chief Operations Officer of the investment firm.
Their core values of faith, integrity and trust guide their operation as they seek to build a safe, profitable space for those generally underserved within the cannabis space - and beyond. Adams spoke with Estrohaze in detail about the birth of this unique company, its worthwhile mission, while providing sound investment tips for ganjapreneurial hopefuls.
Please explain how CE Hutton came into being?
I started out in this industry in March 2014 by investing in marijuana stocks and private placement. Then, I formed MIPR Holdings with a former business partner. We owned that company until June 2017 [before it was acquired by CE Hutton].
CE Hutton was one of my investors and he was interested in investing in the cannabis industry. He hired me on as an investor consultant under MIPR Holdings. I connected him with several different investments, most of whom were minority owned businesses. The whole time I kept pitching him on the idea of having a business development and management firm that is minority focused - due to the lack of diversity in the cannabis industry. Eventually he said, “let’s do it,” so I helped him put together a phenomenal team, and we’ve been rocking and rolling ever since.
What are the services your firm offers to its clientele?
What we do is provide business consulting and development, as well as marketing consulting, development and strategizing. We have some proprietary software coming out very soon, that will offer entrepreneurs and small-to-mid sized companies the opportunity to prepare their plans online.
We’re super excited about being able to offer the opportunity to minority focused businesses and although we’re not exclusive to minorities, we are inclusive to all communities that understand the power of diversity and what that brings, as far as true value, to an industry as a whole.
There is information about Greenstreet Academy on your website. Can you tell us more about that?
The Greenstreet Academy is a totally separate company. When CE Hutton acquired MIPR Holdings, I pitched him on the idea of having an online educational platform that will teach investors the fundamentals of investing in the cannabis space. It has been very well received.
What advice can you offer those who are interested in seeking funding for a cannabis-related enterprise?
As an investor, one of the things that’s a turn-off for me is for an entrepreneur without a plan on paper.
I think having ideas are great, but you shouldn’t approach an investor with the anticipation that they’re going to invest in your idea. You want to approach an investor when you’re “ready.” That doesn’t mean that you have to have all of your funding or team together, but it does mean that you have a well thought out plan.
If you don’t have a well thought out plan, then it’s important that you hire the right team to put together a plan. For example, it like being a pilot: The pilot can’t reach his proposed destination without proper direction so in order for an investor to follow an entrepreneur’s vision, we’d like to see a well thought out plan. We want an entrepreneur to know where they’re going, how they’re going to get there and have a plan to do it.
What are you looking for in order to invest in a company?
We’re looking for:
1. A well thought out plan.
2. Does the entrepreneur have a team, and if they do, who’s on their team, and what’s their background? If they don’t have a team, are they just looking for investment dollars or are they looking for an investor to become part of their team so they can bring their professional expertise to help to build the company?
3. If you are the only member of the team, the question remains: If something happens to you, who’s going to take over the business? That’s why a team is really important to the investor.
Who have you invested in thus far?
We just officially launched CE Hutton in February 2018, so the Greenstreet Academy is a client of ours. This Friday, we’ll be on-boarding our very first client under the umbrella of CE Hutton. We’re not quite ready to announce who they are just yet.
What makes your investment firm unique?
CE Hutton’s core values are faith, integrity and trust. We’re not a religious based organization but we have faith that when we come together as a minority community (and we define minorities as all people of color and women, veterans and the LGBTQ community), we can pool our resources to bring integrity into this industry - and we can do that with trust.
What we bring to the table is the expertise needed to provide everything from A-Z on how to get started in business, including a business plan. We have partners that can offer different funding options. In fact, starting in April there will be a page on our website entrepreneurs can visit and apply for funding directly.
What sets us apart is that we are looking at these communities primarily because we understand that there’s a lack of diversity as it relates to minorities in the cannabis space. Whether it’s business owners, employees or investors, our vision is to help level the playing field for minorities in the cannabis space.
What’s on the horizon for CE Hutton?
Some of our long term goals is to not just onboard clients, but help them in the process and re-educate communities most affected by the War on Drugs. We want to teach them the truth about the cannabis plant and the cannabis industry; why they can and should get positioned in the industry and how to do that. Help dispel some of the rumors.
This is a time for minorities to really come together - especially people of color - and understand what positioning in this industry really means for them and could mean for their families. This is a generational wealth type of opportunity. We’d like come together as legacy partners and really make some changes in the cannabis space and move towards legalization on a federal level.
Our short term goal at C. E. Hutton is to make our name and the services we offer known in the industry; to acquire and invest in minority owned companies, and to provide the business tools needed to help take companies to the next level.
What’s the best way for interested entrepreneurs to connect with your firm?
The best way would be for entrepreneurs and small to mid-sized companies to go our website and complete a consultation form. Someone will reach out to them in 24-48 hours and have a one-on-one with them to see how we can help position them within the industry, or expand if they’re already established.
Do you primarily work with people in Colorado?
We have clients (potential and current) within and outside of Colorado. We work with ancillary businesses, not business that are involved with touching the plant.
Are there any final thoughts you’d wish to share?
Our proprietary software is being developed and will be rolling out in 90-120 days. We’re excited about that because it will be able to help new entrepreneurs who have ideas, but need a business plan and may lack the resources to hire a full-fledged consulting service. We’re also looking forward to offering workshops further down the line. We are positioning ourselves to be the “go-to* company for minorities in the cannabis space.