Message from Executive Directors

Juhmal Baron Eastland CEO, Angela Eastland COO

We are a group of independent lab operators that come together to address the lack of standards and practices in the medical and recreational marijuana industry that has started to evolve in North America. Our laboratory is dedicated to achieving the highest standards for quality assurance testing protocols. All of members must adhere to strict guidelines for scientific acumen and legal responsibility.

Washington DC. March 2017

There exists a great misconception about Cannabis testing labs in North America. The misconception rests in the common belief that laboratories working with cannabis products are wildly profitable. Nothing could be farther from reality. Central Lab 420 began with personal monies or private investors, both sources providing courageous support at a time when there was no QA available in the industry. The expensive and delicate analytical equipment to operate and maintain, the professional competitive salaries we must offer, and cost of supplies and standard that increase with sample numbers make profitability a fleeting concept to most laboratory operators. Many of our instruments cost over 100k and some as much as 500k. the cost of operating a laboratory doesn’t stop there.

As a result, laboratories are forced to handle large amounts of cash. In out electronic world a cash business is bother cumbersome for accounts payable but also dangerous for personal safety. Landlords are no better as rents are often inflated for blatant profiteering of out emerging industry. Many landlords charge 5-10 time the normal rent for a Cannabis industry related tenant. Unfortunately, the undue financial stress of laboratory operation doesn’t end there. Several municipalities are preparing to adjust new fee schedules to begin draining tax dollars from laboratories at a record pace. City, county, and state organizations are all planning to create new tax schedules for Cannabis laboratories. The industry simply cannot support large tax burdens from multiple municipalities. Our margin of profitability is just too thin and fragile to sustain these economic hardships

Insurance equipment standardization and upgrade, ISO certification protocols all add to the expenses of a lab and are ongoing. Further, laboratory operations require highly trained professional from chemistry, microbiological and biochemistry backgrounds holding advance collegiate degrees that are expensive to recruit and sustain. In fact, salaries are the single costliest ongoing expense within a laboratory. Cannabis laboratory operators must navigate all these financial challenges without any banking support, as banks are forbidden in assisting our industry in any way, form or fashion. Simple protocols like checking and lines of credit do not exist for laboratory owners/ operators.

Central Lab 420 calls for logic and reason to prevail of our evolving industry by reducing our tax requirements in order to operate these much needed quality assurance companies. Our laboratories have lived through many years of these hardships and hope that our voice will be heard and recognized as professionals.