With cannabis now being legal in many states across the USA, it is quickly becoming big business. Many companies are embracing the industry and capitalizing on the increased interest in the space.
Some entrepreneurs will decide to start up an online smoke shop, while others may create a local retailer for cannabis-related accessories. But before you dive into the industry head-first, it’s a good idea to do some research and homework.
With that in mind, this blog post is going to go over four things to think about before deciding to start your own cannabusiness.
Know and Follow the Rules and Regulations
First and foremost, you need to know the policies for getting involved in the cannabis industry in your state. There are rules about where you can operate, what you can sell, what you charge and more. The rules differ from place to place, so be sure to check online or speak with local government or authorities to learn what you can and cannot do.
If you break any laws, not only could you be shut down, but you could have stiff fines and/or other penalties to deal with, as well. So instead of rolling the dice and hope that you do everything right, it is better to reach out, do your research, and make sure.
Who Are You Going to Hire?
No matter what business you are in, your company is only as good as the employees you have. So before you begin operating as a business, you need to think about who you want to hire. You want to hire people who are passionate about cannabis, but also those who share your values and line up with your mission.
Your staff should be qualified, educated and friendly. This is a new space, so they need to be comfortable introducing people to it and remaining patient. They should be reliable, driven and help push the company and your brand forward, not hold it back. Of course, not all cannabis-related businesses will need staff right away, but if yours does, be very selective about who you bring on board.
What Sort of Products Will You Sell?
Next, you need to think about the products or services you will provide. These need to be high-quality, and in an area with so much new competition, you want to do your best to differentiate what you offer in some way.
While the industry revolves around cannabis and the consumption of it, there are plenty of cannabis-related products you can sell. You could provide smoking devices, clothing, lighters, containers, carrying cases and many others. Of course, many other companies may prefer to sell the flower itself or concentrates, vapes, capsules and oil.
In addition to deciding what kind of products you will carry, you also need to be aware of what type of customers you are likely to have.
Know How Much it Will Cost to Start
Like with any business, you also need to think about the costs of starting up your cannabusiness. These can include hiring and staffing costs, leasing or renting a storefront or office, and purchasing the product to sell. You may also need to cover costs like marketing, outfitting the store with furniture and shelves and paying for any necessary documentation and permits.
Costs can vary, but you can easily spend thousands of dollars simply trying to get your business off the ground. If you skip this step involving research, or simply feel you will be able to afford it no matter what, you could pay for that mistake later on.
In conclusion, if you can think about these four things, you could be on your way to a successful cannabusiness. They will ensure you are legal, have a strong team, are operating within your budget and have a good handle on your customers and products.