"Do your numbers correctly, find the right opportunities, continue searching, and look where the technology is going" with Serge Chistov

Serge Chistov is Chief Financial Partner with Honest Marijuana Co. Honest Marijuana has been a leader in cannabis innovation since it’s inception with an organic approach to the growth, production, and packaging of cannabis, the launch of the first-ever organic, hemp wrapped machine-rolled blunts; the invention of the now patented Nanobidiol Technology, and the first company to bring THC-O-Acetate technology and products to market. https://honestmarijuana.com/  

Can you tell our readers about your background?

I am a stockbroker by trade and worked as a financial advisor and consultant starting in the early ’90s on Wall Street. I also founded and managed an import company in the liquor and spirits business in 2006 which I still run. Currently, I am also active as the Chief Financial Partner for the Honest Marijuana Company, an eco-conscious cannabis grower.

What inspired you to start your business?

I think my interest in the cannabis industry was driven by learning about the plant and finding the most organic way for the plant to manufacture its medicine. Honest Marijuana Company has taken it a step further with new and improved ways to preserve the plant and actually deliver it to the consumer in its purest, most effective form. Because at the end of the day, this is a medicine we’re after. It’s not the smoking sensation. The majority of people these days are looking at cannabis as a medicine to relieve stress and anxiety or to mitigate a certain condition in your body. 

Where is your business based?

Honest Marijuana Company is based in Colorado. 

How did you start your business? What were the first steps you took?

Towards the end of 2009, I started to look into the cannabis field because the industry was an exciting one with many growth opportunities, and also attracted a lot of very interesting and passionate people. It was also something that was dear to me as a substance for many, many years. That’s how I ended up in the cannabis space. Honest Marijuana Company was built three, four, five steps ahead of the curve, ahead of the crowd, in terms of manufacturing, in terms of preservation and packaging, and in terms of product delivery. We knew we could bring to market a better product with our philosophy of preserving the plant in its purest form, but it had to be done right. So we did the necessary legwork and research on setting up a grow facility that would accomplish that goal and one that was eco-friendly from start to finish. We hope ours will be the model for responsible, eco-friendly, health-conscious cannabis farms and products around the country.

That was the logic behind it and so far it’s been working quite well. People really do appreciate what we do for a living and appreciate those extra steps we take in order to make our product the best product it can be.

What has been the most effective way of raising awareness for your business?

I believe word of mouth, consistency of our offering, the commitment of the company to deliver the best possible and purest cannabis we know how to grow, along with the unique preservation of the cannabis and being innovators in all of these areas have contributed to overall awareness. Our organic and eco-conscious approach has caught the attention of both the general public, but also the media leading to a number of profile stories about the company and its approach. New product introductions, new technology, communicating through social media, and having a very popular blog on our website are just some of the factors we contribute to the success of the brand. 

What have been your biggest challenges and how did you overcome them?

What I find challenging about the industry is the unpredictability of the federal regulations. There are still unknowns surrounding banking, the IRS, and how they view us. From the manufacturing side, there is also inconsistency in packaging compliance, and regulatory framework, and the ever-changing inconsistency. It can be like sticking Jello to the wall- virtually impossible to do every time. You think you are successful and you finally have your product ready to go., but then you end up having to re-do the packaging because there’s a new regulation. It’s very painful to do and challenging to keep up with.

How do you stay focused?

I find that meditation, exercise, and trying to leverage the early time of the day for myself helps to turn this endeavor into something that the mind and body can support. I think this is the best advice I could give anyone.

How do you differentiate your business from the competition?

Honest Marijuana Company is a pioneer in the industry in a number of ways. We use earth-friendly recyclable tin cans with pure nitrogen to ensure only the highest level of integrity and quality, launched Honest Blunts, which are the first organic hemp-wrapped, machine-rolled cannabis blunts, and invented the recently patented Nanobidiol™ Technology, which reduces non-water-soluble substances like cannabinoids into a nano-size so they can be added to transdermal patches, topical lotions, and other cannabis products for the cleanest, most efficient, and most discreet form of cannabis consumption. We are who we are. We use what we grow and manufacture.

What has been your most effective marketing strategy to grow your business?

Quite frankly, our advertisement opportunities are much more limited due to the industry specifics. I wish I could tell you that we have some magical formula for marketing. We do a very good job with SEO on our website. The Honest Marijuana website gets close to 750- 800,000 unique visitors each month. That’s a huge number.

In addition, our blog is one of the top ten blogs in the universe. We write about the subjects that we find interesting, edgy, and persistent. Then, it’s important to optimize our good content. That has been our formula for bringing us to where we are now. Using our blog as a tool to educate cannabis consumers on the difference between organic and non-organic preparation, perishability, preservation, cleaning and growth, has been effective. We are finding that people are searching for this information, want to be educated, so processing these topics have brought a lot of readers, a lot of customers, a lot of comments. So this is what we’ve done right. 

What's your best piece of advice for aspiring and new entrepreneurs?

Going into a cannabis business is no different than going into any other business. You have to look at the business advantages, check your business plan, make sure that you are going into the right price structures, that you are not necessarily basing those on the existing or the best-case scenarios. Do your numbers correctly, find the right opportunities, continue searching, look where the technology is going. The excitement of the word cannabis and the business will wear off very shortly. I think it already starting to wear off and now it is just a business like any other business so due diligence is very important.

And my advice going into any business is to calculate it, calculate it, and calculate it. Count many times before you invest your money, make sure that you have a proper exit strategy, that you are not committing your entire capital just because of the excitement, keep emotions away from it, and by all means, invest.

What's your favorite app, blog, and book? Why?

In terms of apps, I prefer Uber, Kayak, and Open Table because I use them the most. With regard to books, Dr. Brené Brown is a research professor who has spent the past two decades studying courage, vulnerability, shame, and empathy, she is the author of five #1 New York Times Best Sellers which have helped me continue to persevere. And my favorite website would be the blog located on the Honest Marijuana Company’s site, of course 

What's your favorite business tool or resource? Why?

My 12-inch laptop. This guy has been with me all across the world and keeps me connected to what I need to do with the people in my industry and my business. In addition, my Blackberry. I will be the last man in the world with a Blackberry! I travel non stop so I need portable tools to do my work.

Who is your business role model? Why?

There are so many that I use when I am forming my decisions, but I do like the work of Dr. Brene Brown on the open markets. Some of Ben Bernanke’s books on the fundamentals of leading companies and stocks I think are good as well. There is no way I could give the credit to just one individual, however.

How do you balance work and life?

Balancing work and life is difficult for me. Being able to use my phone functions by blocking the communication for a couple of hours to take time for myself as a task is one way. I don’t subscribe to the philosophy of, “When I retire, I’m going to travel”. I implement my desires into my daily, monthly, yearly activities, and make a commitment to full-hearted living. Enjoying life when it is great, good, and not so good, that’s the path that I’ve chosen to take.

What’s your favorite way to decompress?

Scuba diving, hiking, skiing, tubing, shooting guns are a few ways I unwind. I am currently learning to fly so I enjoy time spent on a plane. They are all good experiences to clear my mind and concentrate on the now.

What do you have planned for the next six months?

On the personal side, my task for this year is to climb Mount Kilimanjaro by the end of 2020.

And on the business side, we are working on introducing new machinery into the edible category which will allow us to showcase nanotechnology as part of our offerings.

How can our readers connect with you?

info@honestmarijuana.com or via our social media, @honestmaryj on Facebook, @honestmarijuanaco on Instagram.