No matter which state you are in, the only way to get legal marijuana is through established dispensaries. This is true even for the states where only medical marijuana use is legalized. As one can imagine, it’s no easy job to operate or build a dispensary. The state imposes a lot of restrictions on dispensaries as well. But there are some programs which do help people aiming to start a dispensary:
- Michigan: Michigan is a place that has a very unique initiative for communities that were previously affected by criminal enforcement and marijuana prohibiting. There is a Marijuana Regulatory Agency (MRA) which started the Social Equity Program in 2019 to help promote the use of marijuana by adults from local dispensaries. If you apply for this program, then you will have to pay fewer fees for your dispensary renewal and licenses.
- Illinois: In Illinois, Cresco Labs is trying to launch a program to help minority entrepreneurs open a cannabis dispensary of their own. While this is not a strictly city or state program, but it should be mentioned in case it turns out to be helpful to someone. In this program, people from war-on-drugs affected neighborhoods will be able to apply for one of the state’s 75 adult dispensary licenses. If someone gets the license, then Cresco will also give the seed money to the entrepreneur so that he or she can get the cannabis business up and running.
Things to consider before opening a dispensary
Having some state relief or government sanctioned discounts doesn’t mean that opening a dispensary is an easy job. Here are the factors you need to consider before opening one:
- Review your commitment: Know that there is a bias surrounding weed. People think of weed as being worse than alcohol or tobacco even though the latter two are far more damaging to the body and don’t have any medicinal benefits as well. This bias isn’t just of the general society. People in power also think the same which is why getting a license and setting up a dispensary is a much harder job is setting up a liquor shop. You need to be committed to the task otherwise you will suffer losses.
- Do research: Different states have different laws in regards to marijuana use. Some states allow only medical use while others allow the use of both recreational and medical weed. So it’s important to know about all these rules and legislations before trying to open a dispensary. But you will also have to keep an eye on the future as well because marijuana laws are always changing. It will serve you well to understand which way the wind is blowing and what the proposed changes are that can come into being in the following years. There are a lot of rules to read for sure, but thorough research will enable you to understand the laws better and operate your business better. It will allow you to save money in the long run.
- Access capital: You will need good startup capital to form a dispensary. But not everyone has that kind of money to invest right away. So you need to be aware and know how to access capital. Know that since marijuana is illegal on a federal level so you won’t be able to get a bank loan of any sort to form a dispensary. You will have to focus on personal funds as well as getting investors. But before approaching investors to make sure you have a business plan and a budget in place.
Overall you need to understand that even in states where using marijuana is legal, the chances of you getting any sort of state support is less to none. So you must have a solid plan in place before you go into the weed dispensary business.