Dave Spradlin, a serial cannabis entrepreneur, believes that small businesses can still carve successful niches despite years of turmoil. Spradlin is trying to prove this with his new retail store in Northern California, which focuses exclusively on the craft cannabis of the Emerald Triangle.
Spradlin bought a struggling dispensary located in Weed County in Siskiyou County. He then began to source directly from farmers throughout Humboldt County, Mendocino County and Trinity County for the Goldenhour shop. He worked tirelessly to cut costs and see if it was possible to make a decent profit, especially in the notoriously tough business climate.
Spradlin explained that “Goldenhour” is the first light in the morning or the final light before nightfall. Spradlin said, “We’ll give ’em hell till we determine which way that leads.”
The legal California marijuana industry has been shrinking dramatically since the new rules were implemented in 2018. Spradlin says that the area is still home to some of the finest cannabis grown anywhere in the world. This value hasn’t yet been fully realized.
Spradlin believes that his experience – he got started in the California marijuana trade back in 2009 and has been part of at least five cannabis companies, including as CEO of Sacramento-based chain Perfect Union – will allow him to build a platform to showcase those small growers, for both their benefit and his.
It’s working out so far. Spradlin has seen a 300% increase in sales since April 17th, 2024 when the Goldenhour Store was re-opened by Spradlin.
Spradlin stated that the store is “going well”. Even a new location is planned in Point Arena within Mendocino County. He currently sells flower products and other goods from 30 local farms, in the Emerald Triangle. But that number will likely grow as more people learn about his craft-focused business.
Spradlin said that his is not the only California cannabis retailer who has chosen this niche. He also noted that others have found similar success in catering to marijuana enthusiasts that are looking for top-quality and rare strains.
“There’s other businesses that are doing similar concepts to what we’re doing … Woody Harrelson’s spot down in (West Hollywood), they have a whole section of the store that’s dedicated to craft small mom-and-pop farmers,” he noted. Zen Life Organics in Sacramento is another delivery service that focuses on crafting marijuana.
The people love it and I am able to offer (craft cannabis), at a significant discount, to consumers. Spradlin claimed that she could match the prices of any vertically integrated big players. This makes complete sense. And it’s feeding into a category that is growing across all consumer categories: conscious consumerism. They want to purchase things that make them happy. They don’t want to buy some mass produced trash if they can avoid it – and if they can afford it. We’re trying our best to meet both of these goals.
Spradlin says that his slow, cautious growth strategy is one reason for success. This is contrary to California’s business philosophy of pursuing as much expansion as quickly as possible. Spradlin recalls that the industry’s insiders were unable to cope with the new rules, regulations and taxes imposed by the state seven years earlier. This led to many failures of companies and significant financial losses.
Spradlin says he now believes the light is at the end. In recent years, he has observed more companies make a pivot or stabilization and develop strategies which have helped them achieve some semblances of sustainability.
“It’s California. This is a big state. The market is huge, it’s one of biggest in the world. Everything will be okay. It’s okay. Spradlin explained that we are trying to find our own niche. “I think other small businesses, mom and pop shops and Goldenhour are going to thrive.
Spradlin acknowledged that there were challenges, but said California marijuana has already found ways to succeed. The only problem is that they are extremely narrow and therefore few.
Spradlin explained that “you have to lock in on a very limited view of what your goal is.” What I am trying to do is to create a platform that highlights what I consider to be the finest cannabis grown in the entire world by the most talented farmers. “And if I am able to execute this successfully, it’s going to be a successful formula.”