Frequently Asked Questions

Smoke Profits (SMPR) is an institutional-grade investment platform that provides accredited investors with access to regulated cannabis markets. We partner with licensed cultivators, pharmaceutical-grade processors, and regulated distributors to offer diversified investment opportunities in the cannabis sector. Our focus is strictly on medical applications, not recreational cannabis markets.

Our investment opportunities are available exclusively to accredited investors as defined by the U.S. Securities and Exchange Commission (SEC). This includes individuals with an annual income exceeding $200,000 ($300,000 jointly with a spouse) for the past two years, or those with a net worth exceeding $1 million (excluding primary residence). Entity investors such as trusts, corporations, and family offices with sufficient assets may also qualify. Please visit our Compliance & Legal page for detailed eligibility requirements.

Getting started is simple:

1. Create an account on our platform
2. Complete the accredited investor verification process
3. Schedule a consultation with our advisory team
4. Review and sign investment documentation
5. Fund your investment via wire transfer or ACH

Visit our How It Works page for a detailed breakdown of the process.

Yes, minimum investment amounts vary by plan:

• Starter Plan: $25,000 minimum
• Growth Plan: $100,000 minimum
• Institutional Plan: $500,000 minimum

These minimums help ensure that our investment structures remain efficient and cost-effective for all participants.

Expected returns vary by investment plan and market conditions:

• Starter Plan: 6-10% annual ROI
• Growth Plan: 10-15% annual ROI
• Institutional Plan: 14-18% annual ROI

Important: These are projected returns based on historical performance and market analysis. Actual returns may vary, and there is no guarantee of profits. All investments carry the risk of loss, including the potential loss of your entire investment. Please review our Risk Disclosure for complete information.

Investment durations vary by plan:

• Starter Plan: 3-5 years
• Growth Plan: 3-7 years
• Institutional Plan: 5-10 years

These are illiquid investments, meaning your capital will be committed for the duration of the investment period. Early withdrawal is generally not permitted, though we may accommodate exceptional circumstances on a case-by-case basis, potentially subject to fees.

Distributions are typically made quarterly, though the exact schedule depends on your selected investment plan:

• Starter Plan: Quarterly distributions
• Growth Plan: Quarterly distributions or reinvestment option
• Institutional Plan: Customizable distribution schedule

Distributions are deposited directly into your linked bank account via ACH transfer. You can also choose to reinvest distributions to compound your returns. Please note that distributions are not guaranteed and depend on the performance of underlying investments.

Our fee structure is transparent and competitive:

• Management Fee: 1.5-2.5% annually (varies by plan)
• Performance Fee: 10-20% of profits above preferred return (hurdle rate)
• No Hidden Fees: All costs are disclosed upfront in offering documents

Fees cover portfolio management, due diligence, compliance, reporting, and investor relations. Detailed fee schedules are provided in the Private Placement Memorandum for each investment offering.

Medical cannabis investments carry several significant risks:

• Regulatory Risk: Cannabis remains illegal under U.S. federal law, and state laws may change
• Market Risk: The industry is relatively new and subject to volatility
• Liquidity Risk: Investments are illiquid with no public market for resale
• Operational Risk: Cultivation and processing face risks like crop failure
• Loss of Capital: You may lose part or all of your investment

Please review our comprehensive Risk Disclosure for complete information before investing.

No. Despite legalization in many U.S. states and international jurisdictions, cannabis remains a Schedule I controlled substance under the U.S. Controlled Substances Act. This creates a conflict between state and federal law. SMPR operates exclusively in jurisdictions where cannabis is legal under state or local law, and we only partner with fully licensed operators. However, investors should be aware that federal enforcement priorities may change, potentially impacting portfolio companies and investment values. We strongly recommend consulting with legal counsel familiar with cannabis law before investing.

Compliance is at the core of our operations:

• All offerings comply with SEC Regulation D
• Partners hold valid state and local licenses
• Regular compliance audits by third-party firms
• Dedicated Chief Compliance Officer
• Comprehensive AML/KYC procedures
• Ongoing regulatory monitoring and updates

Visit our Compliance & Legal page for detailed information about our regulatory framework.

We take data security seriously and employ multiple layers of protection:

• 256-bit SSL encryption for all data transmission
• SOC 2 Type II certified data centers
• Multi-factor authentication for account access
• Regular security audits and penetration testing
• Strict access controls and employee background checks
• Compliance with GDPR and state privacy laws

We never sell your personal information to third parties. For complete details, please review our Privacy Policy.

Once your investment is active, you'll have access to our secure investor portal where you can:

• View real-time portfolio performance
• Access quarterly and annual reports
• Review distribution history and upcoming payments
• Download tax documents (K-1s)
• Update personal information and bank details
• Contact investor relations

Growth and Institutional plan investors also receive monthly updates and have access to dedicated support.

Investors receive annual Schedule K-1 forms (Form 1065) by March 15th each year, which report your share of the partnership's income, deductions, and credits. These documents are necessary for filing your personal tax returns. We also provide:

• Quarterly distribution statements
• Annual capital account statements
• Tax planning guides and resources

We recommend consulting with a tax professional familiar with partnership taxation and cannabis investments for personalized advice.

Our investor relations team is available to assist you:

• Email: support@smokeprofits.com
• Phone: +1 (212) 555-0123
• Hours: Monday-Friday, 9AM-6PM EST
• Secure Message: Through your investor portal

Institutional plan investors have access to a dedicated account manager for priority support.

Yes, existing investors can make additional investments in most cases. Additional investments are subject to:

• Meeting the minimum investment amount for your plan
• Current offering being open to new capital
• Re-verification of accredited investor status (if applicable)
• Compliance with any applicable limits

Contact our investor relations team to discuss additional investment opportunities.