Over the last few years, several states have legalized cannabis for medical and recreational use. Widespread legalization led to the arrival of many dispensaries in these states, allowing the general public to walk into a store and purchase their preferred products legally.
The COVID-19 pandemic saw people staying home but still wanting — and needing — their cannabis products. The result? The emergence of cannabis delivery companies. These companies operate much like other delivery services, bringing products straight to the doors of consumers.
Even with life slowly returning to normal and people venturing out more, there’s still a high demand for delivery services. If you have been thinking about getting in on this part of the cannabis industry, here’s what you need to know about getting started.
1. Apply for a License
As with any cannabis business, you’ll need a license to operate legally. Where you live will impact the type of license you get. For example, in some areas, you need to apply for a retail license first before applying for a delivery permit. In other places, you can apply for a delivery-only license.
2. Know the Rules for Compliance
Because cannabis is so heavily regulated, compliance with your state’s regulations is vital. While the specific compliance rules vary from state to state, some are fairly common no matter where you live. For instance, all delivery vehicles must be enclosed, unmarked, and have a way to attach security boxes. They also need active GPS tracking. Check with your state for the exact rules and regulations you need to follow.
3. Decide on a Delivery Model
Whether you choose to store your own stock or partner with local cannabis dispensaries, you need to decide on a delivery model. Common options include the ice cream truck and pizza delivery models. State and local laws may influence your model, but you’ll want to figure out the best way to get products to your customers.
4. Secure Funding if Needed
It is possible to start a cannabis delivery company with little startup capital. If you find that you need funding, however, there is cannabis funding available. With solutions like lines of credit and inventory financing, you can get the money you need to start and run your business successfully.
5. Promote Your Business
Promoting your cannabis business can be challenging. With so many rules and regulations, you can’t use many of the more common methods that other businesses do. You’ll encounter restrictions on Google and social media platforms. Fortunately, you can promote your business using cannabis-related platforms like Weedmaps and Leafly. Word of mouth is also a great way to get your name out there.
Start Your Cannabis Delivery Company
When it comes to starting a cannabis delivery company, there are numerous rules and regulations that you must follow to stay compliant with your state’s laws. Even so, cannabis delivery is in demand. A well-planned, well-executed delivery service can help cannabis users in your area get what they need in a safer, more convenient way.
Do you need dispensary loans or cannabis financing to jumpstart or grow your cannabis delivery company? Bespoke Financial can help. Contact us for more information or to schedule a consultation today.