Finding the right type of project and/or location in which to invest can be overwhelming. Project viability, return on investment, who to trust, (many foreign investors utilize the friends and family network without doing proper due-diligence leading to a high percentage of lost investment), and getting your money out of a foreign location are just some of the issues investors face.
In order to identify the right project for an investor, Rauch begins by understanding the needs and requirements of the investor through a detailed application process. This process allows us to research the projects that are best suited to the investor, thereby providing information so that the investor can make a decision to invest or not invest based on current, quality information.
The purpose of the Rauch process is to solicit information from foreign and domestic investors in order to determine a potential investors’ viability and capability to invest in Marijuana establishment investment opportunities of which Rauch Organics is aware of and has access to. The Rauch investor application form is part of the initial due-diligence that Rauch performs on behalf of those entities looking for investment partners.
Rauch Organics carefully qualifies potential investor/clients to ensure that they fully understand the risks associated with the development and operation of a cannabis operation, determine source of funds, and their ability to adequately fund the project. Ability to fund is a key component of most any state, city and counties application for license process. Over 50% of investor/clients do not meet the qualifications.
Due to the nature of information that will be exchanged between Investor and Rauch, Rauch will require that a mutually binding non-disclosure and confidentiality agreement be signed. Information provided to Rauch will be held in strictest confidence and will only be used for the purposes of providing services as requested by the applicant.
Rauch is not a licensed broker and is only acting as facilitator and manager of opportunities between those seeking investments and investors. Rauch makes no representation, warranties or guarantees of the outcome of any investment program entered into by investor.
Warning Regarding Federal Law: The possession, distribution, and manufacturing of marijuana is illegal under federal law, regardless of state law which may, in some jurisdictions, decriminalize such activity under certain circumstances. Federal penalties for violating the federal Controlled Substances Act (the “CSA”) are serious and, depending on the quantity of marijuana involved, can include criminal penalties of up to 20 years in prison and/or a fine of up to $2,000,000. 21 U.S.C. § 841. The penalties increase if the sale or possession with intent occurs within 1,000 feet of a school, university, playground, or public housing facility. 21 U.S.C. § 860. In addition, the federal government may seize, and seek the civil forfeiture of, the real or personal property used to facilitate the sale of marijuana as well as the money or other proceeds from the sale. 21 U.S.C. § 881. Although the U.S. Department of Justice has noted that an effective state regulatory system, and compliance with such a system, should be considered in the exercise of investigative and prosecutorial discretion, its authority to prosecute violations of the CSA is not diminished by the passage of state laws which may permit such activity, including Initiative 502 in the State of Washington.