Opening A Cannabis Dispensary? 3 Mistakes To Avoid
From stress and anxiety relief to managing chronic pain and other medical conditions, cannabis can be a great option for many people. Because of its effective nature, many people see the benefits of the cannabis business and are considering opening a dispensary near their city to offer various cannabis-based products to clients/customers. Starting any type of business can be a challenge, but starting a cannabis business can be physically, emotionally, and financially stressful if you are not prepared. With this guide, you will learn a few mistakes to avoid when planning to open a cannabis dispensary.
Not Consider the Legalities
One of the worst mistakes you can make when considering a cannabis dispensary as your next business venture is not properly understanding the laws. Not only do you need to know and follow the laws in the state where you plan to open your dispensary, but you also need to know what is legal in your state of residence.
Today, there are only 11 states that permit the legal use of cannabis for both medical and recreational use. There is also a list of states that only legally permit the use of cannabis for medicinal purposes, and many of these states technically only allow the sale of CBD oil.
Finally, you need to know what states consider cannabis illegal. Currently, Idaho, Kansas, Nebraska, and South Dakota have strict laws against cannabis use.
Even if you already live in a legal state and plan to open your dispensary in this state, knowing the laws will help you put your customers/clients at ease when and if they are choosing one of your products.
Thinking You're an Expert
Another common mistake people make when opening cannabis dispensaries is believing you are an expert in the business. Whether you have opened or ran multiple types of businesses successfully or you have been an avid fan and user of cannabis, you are not an expert in opening or running a cannabis dispensary.
Unless you have worked in a cannabis dispensary before, consider hiring a manager or bringing in a partner who has actual experience working in a cannabis business. Enjoy even more benefits if you are able to hire a manager or bring in a partner who has actually worked in a dispensary.
Although hiring a specialist or having a partner may be an added expense, it will be a worthwhile investment in your dispensary's success now and in the future.
Not Choosing the Right Location
Location is key when it comes to real estate, and that rule also applies to your business's real estate. When choosing a location for your cannabis, it is important to remember that all locations are not created equal.
Even if you are opening the dispensary in a state that has legalized cannabis for both medical and recreational purposes, opening this type of business will be deemed unique and controversial by many people. Therefore, you want to make sure to take all factors into consideration when choosing where to open your new dispensary.
Know the zoning laws in the state you are opening your dispensary before choosing a location for the business. The property may need to be a certain distance away from a school or church, for example.
If you will be renting the property, you will need to consult with the owner to determine if they will permit the opening of a cannabis dispensary. It is imperative that you are open and honest about your plans before signing a rental application or lease.
Opening a cannabis dispensary can be a great investment, as long as proper education and research are conducted. This guide will help reduce your risk of making some common mistakes when opening a cannabis business.