How Your Cannabis Farm Can Save a Potential $80,000 annually With Bill Validation

Nothing in life is guaranteed, except perhaps death, taxes, and those colossal utility bills that often come riddled with costly errors.

It might sound harsh, but the reality is that most utility bills, while appearing accurate, can hide potential savings, and we’re here to help you uncover them.

You might be wondering if you should have dedicated hours to studying that daunting 590-page tariff posted on our website.

The answer is, well, not necessarily.

However, understanding your utility usage profile and the potential benefits of requesting a different billing class or designation can make a significant difference to your bottom line.

But why are we telling you this?

Well, we’ve partnered with Green Light. 

Green Light has years of utility experience, and they put that experience to work for their clients.

Their simplified proprietary auditing process can result in retroactive refunds and ongoing savings totaling up to 15% of annual utility costs.

These opportunities are available nationwide in a variety of forms, predicated on business location, type of utility use, facility function, and other variables.

Green Light is intimately familiar with local ordinances, laws, and the latest regulatory updates.

But first off, lets cover the basics.

The cannabis industry has experienced significant growth and evolution since the passage of the 2018 Farm Bill.

This landmark legislation removed hemp from the definition of marijuana in the Controlled Substances Act, paving the way for the legalization and regulation of hemp and its derivatives.

The bill also set a threshold of 0.3% total THC (tetrahydrocannabinol) on a dry weight basis to distinguish between hemp and marijuana, and it has since led to a surge in hemp and cannabis production.

As the cannabis business continues to expand, both for medicinal and adult-use purposes, one crucial aspect that can significantly impact a cannabis farm’s bottom line is bill validation.

This process involves verifying the compliance of your CBD, hemp and cannabis products with the regulations set by the U.S. Department of Agriculture (USDA) and state-level agencies such as the Department of Cannabis Control in California.

Bill validation is essential to ensure that your products meet legal standards, avoid fines, and take advantage of potential tax benefits.

What is bill validation?

Bill validation, often referred to as bill verification or invoice validation, is a crucial process in financial management and accounting.

It involves the careful examination and confirmation of the accuracy and legitimacy of invoices, bills, or financial statements received from suppliers, vendors, or service providers.

This validation process ensures that the charges, quantities, and terms stated on the bills align with the agreed-upon terms and any contractual agreements. It also checks for any discrepancies, errors, or irregularities in the billing information.

How much could my business save with bill validation?

The amount your business could save through bill validation varies depending on several factors, including the size of your business, the volume of transactions, and the accuracy of your existing processes.

One company we supply has attained savings of around $80,000 annually – a figure that’s certainly hard to ignore. But let’s face it; most of us have better things to do than become tariff experts.

This is the vibe we usually go for, a mix of humor and reality, acknowledging that utility bills can be complex and overwhelming. You’ve got a business to run, after all.

But here’s a recent tale to drive home the point: In May 2023, we noticed an oversight in a client’s utility bills. The utility company agreed that they made a mistake, and the result? A hefty refund of approximately ____ to our client, who happens to be a cannabis grower in the great state of Massachusetts.

The joy was palpable, the celebrations were exuberant, and our LinkedIn posts might have seemed a bit over the top, praising everything from the good lord to all things holy.

But can you blame us? That ____ refund was a game-changer, and it’s a testament to the power of diligent bill validation.

Now, you’d think that the utility company, having acknowledged their error and rectified the situation, would be more careful going forward, right? Well, hold on to your hat because here comes the kicker – they weren’t.

Three months later, we found ourselves politely tapping them on the shoulder, to see they’d made another mistake, and another refund was in order – this time, around $3,000.

And while we’re here managing the back-and-forth with the utility company, our client might be making a face like this ???? as they witness the rollercoaster of refunds and errors.

So what’s the takeaway from this rollercoaster of utility bill validation? It’s simple – the utility world is full of complexities and opportunities for savings, and you need an expert by your side to navigate the twists and turns.

The utility bill validation journey can be a bit like a treasure hunt. You might not find gold coins, but those savings add up, making a substantial impact on your bottom line.

Here’s how:

1. Spotting Oversights: Utility bills are intricate, and mistakes can easily slip through the cracks. A simple billing error or an overlooked opportunity can cost you a substantial amount of money.

2. Celebrating Wins: Just like we did with our Massachusetts cannabis grower, every refund or adjustment is cause for celebration. These savings can be a financial game-changer for your business.

3. Fixing Mistakes: Utility companies, while generally reliable, aren’t infallible. Errors can and do occur. It’s crucial to have experts who can spot these errors and ensure they’re rectified promptly.

4. Ongoing Benefits: Utility bill validation isn’t just about one-time refunds. It’s about putting strategies in place to ensure you’re billed correctly in the future, saving you money month after month.

How much energy do Cannabis farms consume in 2023?

Cannabis cultivation can be energy-intensive, and the energy consumption of cannabis farms in the USA can vary significantly depending on various factors, including the size of the operation, cultivation methods, geographic location, and the technology and equipment used.

Here is a breakdown on how a farms energy consumption could look:

  1. Indoor Cultivation: Indoor cannabis cultivation operations can consume a significant amount of energy, with estimates ranging from 2,000 to 4,000 kWh (kilowatt-hours) of electricity per pound of cannabis produced. Large-scale indoor facilities can have monthly electricity bills in the tens of thousands of dollars.
  2. Greenhouse Cultivation: Greenhouses are generally more energy-efficient than indoor operations, with estimates ranging from 500 to 1,000 kWh per pound. However, this figure can vary based on the use of supplemental lighting and climate control systems.
  3. Outdoor Cultivation: Outdoor cannabis cultivation typically consumes the least energy, as it relies primarily on natural sunlight. Energy consumption in this case can be significantly lower, with estimates of around 100 to 200 kWh per pound or less.
  4. Location: Energy consumption can vary by state due to differences in climate, regulations, and available energy sources. States with hot climates may require more energy for cooling, while those in colder regions may require more for heating.
  5. Energy Efficiency: Some cannabis farms have adopted energy-efficient practices and technologies, such as LED lighting, efficient HVAC systems, and renewable energy sources, to reduce their environmental impact.

It’s important to note that these figures are rough estimates, and the actual energy consumption can vary based on factors such as the specific cultivation methods, location, climate, and technology used. Additionally, energy consumption in the cannabis industry may have evolved due to changes in regulations, advances in technology, and a growing emphasis on sustainability.

When your cannabis products are lab-tested, the results can help you determine the appropriate excise tax on cannabis. The tax rate is typically calculated as a percentage of the average market price of the product, and accurate testing results are essential for this calculation. By ensuring that your products fall within the legal THC limits, you can potentially reduce your tax liability.

Furthermore, the presence of THC in seized cannabis samples is a critical factor in legal matters. Forensic laboratories use accurate THC testing to determine whether the seized cannabis is either hemp or marijuana. The results of such tests can have a significant impact on legal cases related to the illegal possession or sale of cannabis.

Bill validation can also be a valuable tool in the hemp industry, where the cultivation of industrial hemp is legal. By having your hemp tested for THC content, you can confidently market your hemp products and share sensitive information regarding the cannabinoid profile with potential buyers. The 0.3% threshold remains a crucial factor in the hemp industry, and accurate testing helps you stay compliant.