Ever since cannabis was legalized in the Golden State almost six years ago, many Californians started exploring their industry opportunities. The cannabis market in California is projected to reach a 7.7 billion value by 2022. Additionally, legal recreational cannabis use will constitute 61.5% of the overall market, while medical marijuana sales are expected to decline to 600 million. Here’s all you need to know about opening a dispensary and growing your business in California.
Opening a Cannabis Dispensary in CA: All You Need to Know
There are numerous regulated activities within the California marijuana industry, including cultivation, manufacturing, testing, distributing, and retail. Dispensaries are in the last category and serve as the final step in the supply chain. To open a cannabis dispensary in the Golden State, you need to follow the steps below:
Research Marijuana Regulations Across California
Though marijuana dispensaries are currently legal in California, they’re not permitted in every town/ and county. Before you move forward with your plan to open a cannabis dispensary in this state, you need to do your homework and find a location that will work for you. Keep in mind some counties that allow dispensaries may also have other restrictions. Be sure not to open your marijuana business close to schools, youth centers, orand daycare centers.
Establish Your Business
To form a marijuana business in California — or any business, for that matter — you need to follow specific steps. You’ll need to pick a name for your company, decide on your legal structure, and file all documents required by the state.
Get Started on Permits
This is where opening a cannabis dispensary differs from opening any other type of business in California. Getting your county permits may require you to file several rounds of applications and pay numerous fees.
Obtain a Seller’s Permit
The Golden State requires anyone interested in opening a cannabis dispensary to obtain a seller’s permit and a tax permit from the California Department of Tax and Fee Administration.
Apply for a State License
Once you’ve got your city and seller’s permits, you can go ahead and apply for your license with the Bureau of Cannabis Control. Depending on your marijuana-selling plans, there are two types of licenses:
- Adult Use License (A-License)
- Medical License (M-License)
How to Grow a Dispensary
Although it may have many requirements and hefty fees, opening a dispensary is the easy part of starting your marijuana business. Once you’re all set up, you’ll need to attract and maintain customers to keep the money coming in. Here are some tips for growing your cannabis dispensary like a pro:
- Optimize your profile on Google My Business and ensure your location is accurate.
- List your dispensary on any third-party directories.
- Keep your dispensary info up-to-date.
- Optimize your website.
- Display the products you’re selling online.
- Encourage customers to leave reviews on your site.
The Bottom Line
Getting started in the cannabis industrybusiness may seem daunting, but it’s not as hard as it may seem. All you need to do is follow the necessary steps and comply with state laws and regulations. If you’re looking to open a dispensary in California, the guide above will give you the main pointers you need to consider. Already own a dispensary and nNeed funding, and business advice? Rreach out to Bespoke Financial today.
