Nol van Schaik: The price level of cannabis in Dutch coffees

[Boner]

http://mrlunk.net/index.php/component/c ... ow-and-why

Interesting read.

[DC]

....erm, What?. Surely the taxman bases the tax on the menu price of the weed, which is decided by the vendor. Enabling an extra euro to be tagged on anywhere. Coffeeshops reveal their purchases to the taxman after he looks at the results in the sales records, not before?. Whatever they do, their weed account books can be regarded as fantasy novel, at best. Plus, I find it very hard to believe that somebody who has been in the business as long as Nol, doesn't have a stable of growers and funded rooms on the go at all times. If not why not because it aint like the profit margins over the years haven't been good enough to fund such things...while taking the obligatory police hits along the way. My heart bleeds for coffeeshop owners, it really does But if he's saying he's getting offered kilo prices of 6.50 to 8.50 per gram for anything good, then I suggest on this subject he's just not organised enough, apparently like all the well known pricey shops? ......or probably just lying. Because I've yet to hear the stories from the UK folk of all this top grade weed they're supposibly getting.

[USbongLord]

they wouldnt be in business at those prices...hard to believe...oh well..this must be the truth,i mean these guys are important huh?

[Marco]

This whole 'we have to tax 100%" seems strange. How does anyone know exactly how much is paid for the weed on a wholesale basis as there are no contracts?

[Smirks]

Lots of top grade weed in the uk. Most of it grown here though.

[xXEXCALABERXx]

Yeah he is also kind of saying doesnt make a profit also . if he buys for 5e sells at 10e to cover tax where is profit?

[Uncle Ron]

Boner, thanks for posting the article. Cheers.

How can the taxman know how much cannabis product is actually being sold?
Let's say I owned a C/S and reported only the amount of revenue (+10%, just because...) I would need to generate to stay in business. How could they prove that I sold more or less than the amount I reported? There is no process in place that measures the amount of product that comes through the backdoor. Hmm, so the taxman is dependent on my "honesty"? Are all cash registers linked to a central database? (rhetorical and sarcastic). Or, as Nol wrote?

As for prices, I do agree that the shops are at the mercy of the distribution system, whether it be organized or individual grower.
Without selling one gram the C/S is already in debt - utilities, insurance, staff, rent/lease/mortgage, etc...
A (business savvy?) C/S owner will know how much they have to add to the price paid to the distributor to stay in business, and to make a profit.

Example: If a distributor were offering their product for 5 Euro per gram, and in order for the shop to remain in business the owner determines that they need to add 6.50 to that amount. The price per gram is 11.50, and then comes the taxman. Although most things stopped making sense long ago, this does make sense, regardless whether I like it or not.

Happy trails...

[sam]

Nol has been saying that is how pricing has worked for years, nothing new. If you have been to one of his shops on the last 4-5 years you will know he does not have a good conection anymore as the places have turned to shit. Before 07 his shops were famous for there good weed and prices.