Frequently Asked Questions
1. Medical marijuana is legal in my State and I want to open a dispensary. How do I get started?
Start by getting the facts – all the facts. The market for both medical and recreational marijuana will provide huge opportunities, but also significant challenges. You need to understand both the market and political/regulatory environment in your state as well as your own financial and resource needs for establishing yourself in the business. We can help with this – please consider ordering a copy of our guidebook or schedule a session with one of our experts to walk you through the process.
2. Marijuana is illegal in my State but that will probably change eventually. Is there anything I can do today to better prepare myself to enter this business when it becomes legal?
Absolutely! In fact, if you are just getting started and marijuana is still illegal in your state you are actually in a better position than in states where is is legal where competition for licenses is fierce and markets are already becoming saturated. Community relations will be an important and necessary part of laying the groundwork so can eventually establish a dispensary and good business planning will make the application process much easier when your state establishes procedures for this. We can help you get started on this, and give you a much better competitive edge once legalization comes to your state.
3. How much does it cost to apply for a dispensary, cultivation, or extraction / MIP, or wholesale license?
At the moment, it is significant. The application process in some states require over 300 pages of detailed documentation that must be custom developed, and some estimates run as high as $50,000 for a winning licence. In addition, there is no guarantee that you will win a licence even if you go through the application process, so there is considerable risk. We are using a number of techniques to greatly reduce this cost and mitigate the risk. Proposal templates we are developing are one method, as is our advisory serivce that guides you through the process and helps produce a custom proposal. Reducing costs and increasing entrepreneurial opportunity in this business is our basic mission, and we are exploring all possible methods to reduce costs and risk. Contact us for a custom approach for your organization.
3. This is obviously going to be a profitable industry. What kind of investment opportunities are available?
Lots of them. The industry is going to be huge – some people think it may some day rival the wine industry in size, and all manner of businesses will arise and need investors. The new crowdfunding legislation will greatly increase the investment opportunities in the industry. Canna operates both an advisory service for investors in this industry and a robust Crowdfunding platform. Contact us if you are interested in investing in this business – we are well positioned to identify the best opportunities.
4. Will there be opportunities for small business and entrepreneurs who want to gain entry to this business if they don’t have much capital?
Yes, there will be, but you have your work cut out for you. Go through our guidebook and determine what you “bring to the table”. One of the problems is that state regulatory officials, in their zeal to increase their tax base and ensure responsible entry into the field have greatly limited legal access to the industry, but there are legal ways around that. Canna Proposals operates an advisory service to help entrepreneurs and small business enter the field, and will soon be launching a crowdfunding platform to service this industry.
5. Will there be opportunities for gardeners and small scale horticulturists to act as suppliers to dispensaries?
Absolutely, and in fact reliable supply of the product may be a problem in some areas. We strongly recommend you secure the services of a cannabis cultivation expert before you proceed – it can save you a ton of time and effort. We have world class experts on our staff and will be happy to assist in this area.