One thing is for certain though – applying for a cannabis license is way more difficult that any of them ever imagined. Even the most seasoned entrepreneurs.

It’s a complex and expensive process that, once rolling, can move at break-neck speed. And you’ve got be completely focused, totally prepared, and willing to overcome many obstacles.

Are you still up for the challenge? If so, be sure you can answer the following questions before you even set pen to the license application.

1. Which License Should You Pursue?

It’s not enough to say, “Hey, ya know what would be a hoot? Getting myself a cannabis business.”

Okay. We know that the VAST majority of folks are not so nonchalant. And having passion for business is great. But you really need a deeper understanding of your specific strengths if you want to succeed in getting a cannabis license.

For example, if you’re thinking about opening a dispensary, then you better be on top of your game when it comes to staffing, cannabis marketing, and inventory management. Or perhaps you’d rather cultivate. How much do you know about commercial horticulture and plant science? The answer should be, “a whole lot.”

So to determine which license is right for you, consider where the best opportunities lie for your particular skillset and knowledge.

2. How Will You Raise Capital?

Once upon a time, in the not-too-distant past, there was a deluge of dumb money flowing into the cannabis industry. It was essentially millions of dollars poured into companies run by starry-eyed optimists with great vision, but horrible business planning. You can guess how all of that turned out.

As such, that money has dried up.

So if you were banking on that to cover the insane start-up costs involved with a cannabis business, you’ll need to reconsider. You can still find “smart money” though.

Intelligent investors see this downturn as an opportunity to invest in good companies without having to pay as much. So if you can prove to them how insanely ready you are, they may just sign up – though at a lower valuation. So be prepared for that.

3. Who Is on Your Team?

The license application evaluation includes a look at the experience and knowledge of your team. This doesn’t mean you have to have your team completely in place when you apply. But you sure better be thinking about it.

If you’re already noticing a gap in your expertise, think about bringing on a consultant who can help you prepare your business operations.

In addition, how will your team be shaped by your state’s social equity licensing provisions? Many states are incentivizing teams that include applicants from communities most negatively impacted by the war on drugs. If you don’t currently qualify for those incentives, broadening your team could help. Plus, you’ll be bringing in more diverse viewpoints and experiences that will only strengthen your team’s performance.

Speaking of which…

4. How Will You Give Back?

The cannabis industry is unique in that it’s built on a foundation of social activism. Yes, there’s money to be made. But long before there was a focus on that, advocates of legalization were seeking a chance to expand freedoms, provide beneficial and life-saving products to people, and reform a long-running and predominantly one-sided drug war.

The industry can only continue to grow through its support of social progress. So as a cannabis business owner, you have a responsibility to take care of not just your patients and customers, but your employees and the broader community of which you’re a part.

Your license application should reflect the ways in which you plan to be a part of something bigger than yourself and how you intend to give back.

5. How Long Can You Operate Without a Profit?

That’s the reality, folks.

Even once you’ve got it all going on to submit your application, you need to understand that there will likely be some lag time between putting out your shingle and generating substantial revenue. It takes time to build a client base.

Meanwhile, you’ll still have to pay for employees, consultant fees, legal fees, and your mortgage or lease payments. So how long, realistically, can you swing this?

Run the numbers and plan for worst-case contingencies. Otherwise, you could come crashing down before you even have a single client or patient.

Applying for a Cannabis License Is No Joke

Some might even argue that applying for a cannabis license is harder than running the actual business. But going into it with solid ideas, the right team, and well thought out answers to the above questions, you’re much more likely to reap the rewards.

And there are many.

If you’re preparing to open a cannabis business, you will need the help of experts in cannabis marketing and public relations. We’re here to help. So contact us today. We’re as passionate about this business as you are.

The post What to Consider Before Applying for a Cannabis License appeared first on GROW Cannabis Marketing.

If there were such a thing.

But ever since Proposal 1 passed last fall, state regulators have mastered yo-yo politics by repeatedly imposing and then lifting deadlines for businesses to get a state license.

This particular brand of madness came to a stop on April 30th though when a Michigan Court of Claims judge managed to stop the state from enforcing yet ANOTHER deadline.

That means unlicensed provisioning centers can stay open. For now, at least.

Why Unlicensed Provisioning Centers Can Stay Open

It all comes down to what the judge ruled.

He issued injunctions against the state’s March 31 deadline – saying that the state could not revoke provisional licenses.

So what is a provisional license?

When a provisioning center first receives a denial by the new Marijuana Regulatory Agency (MRA), it is not the final word. At this stage, it is considered a preliminary, and not a final, determination.

There is an interim period that follows where those seeking licensure can appeal that decision. This can take months and is considered a provisional licensed time.

The judge’s new ruling permits all facilities to continue to operate under these temporary provisional licenses.

Then, should the MRA make a final determination on a license and deny it again, the applicant doesn’t have to get out of Dodge right away. He or she still has 60 days to operate before shuttering the doors and windows.

Why the Judge Ruled As He Did

We’re in the business of cannabis marketing, not reading minds. But this isn’t a deep psychological quandary.

The judge was quite forthright in his estimation that the state’s deadlines were arbitrary and capricious and that they violated due process.

And in regards to how the state has handled applications, he stirred in a couple more colorful adjectives – freakish and whimsical. He noted that it was also prone to sudden change.

Furthermore, the judge also dismissed complaints from licensed medical pot facilities who opposed temporary state rules allowing untested marijuana into the medical marijuana market.

And finally, he denied motions in a lawsuit filed by two corporate medical marijuana growers who are seeking to force the state to abide by the law and to cut out caregivers from the regulated supply chain. They alleged that the failure to enforce testing would make the purchase of untested caregiver product less expensive.

These two growers will likely appeal this decision though – putting the future of caregiver marijuana at risk. Only time will tell how that plays out.

These Are Unsettled Times in Michigan’s Cannabis Industry

It’s certainly been something of a maelstrom.

But thanks to the judge, at least unlicensed marijuana businesses can now stay open while the state reviews their applications. And as for shops that don’t get licenses, the state can’t shut down ‘em down until 60 days after a final decision from regulators.

So there’s some justice, at least.

To stay in the know on the latest in the cannabis industry – in both Michigan and beyond – keep checking back with our blog.

The post Unlicensed Provisioning Centers Can Stay Open… for Now appeared first on GROW Cannabis Marketing.