Are you considering launching your own weed venture? Wondering where you should set up your cannabis business?

Unfortunately, you can’t just drop down into any spot that speaks to you. There are all sorts of restrictions in place in terms of where you’re allowed to put your business – even within municipalities that have opted in.

And once you extricate yourself from all of the red (or green) tape of landing a geographical spot, there are still MANY other considerations. We’ll break it all down here.

How to Set Up Your Cannabis Business

There are three major questions you’ll need to consider (and answer correctly) when choosing a place for your cannabis business.

  1. Where I Am Allowed to Set Up Shop?

Just because your state has legalized marijuana, that doesn’t mean the city/town/village/hamlet you’re considering is cool with you opening a cannabis business there. And even in the municipalities where they’ve given the thumbs up to cannabis operations, some are more restrictive than others. For example, they may be comfy with a production facility or other B2B business, but won’t embrace a dispensary.

Once you do find a community that’s open to the possibility of your business, your work has just begun. You’ll need to ensure city managers and council members, as well as the folks who make up the zoning authority, they you’re going to be a good thing for their community.

Among the logistical things they’ll want to know are whether you have a security plan in place to thwart thieves, what sort of protection will be utilized to protect against underaged access, and is there any potential of traffic congestion.

But they’ll also want to know if you’re a member of the proposed community, how your profits will benefit them, and will you be hiring candidates who live in that community.

Which brings us to our next question.

  1. Who Makes Up the Community Where You Want to Settle?

You’ll want to have a full-on understanding of the demographics where you plan to establish your business. That means attaining general demographic statistics that include intel on racial, gender, and generational make-up.

In addition, get yourself familiar with the community’s economic profile. Being familiar with stats on income, employment, education, and other socioeconomic factors is key.

It should come as no big surprise that many of the more successful cannabis business ventures are established in municipalities that have been disproportionately impacted by the ‘war’ on drugs. For these businesses, it’s all about giving back to the community.

And it works. By opening a community-oriented business in a blighted area, you have the opportunity to break the cycle of economic disinvestment, high rates of imprisonment, and generational trauma these communities have experienced. Furthermore, being involved in community-based organizations, social engagement programs, and charitable contributions is also investing in your business.

It’s a win-win.

  1. Will It Be Sustainable?

This is one of the trickier questions. B2B businesses typically set up in low-cost areas without much population. But for dispensaries, they need to be where the action is. With so many regulations, finding a compliant location can mean extra expenses you weren’t anticipating.

Plus, depending on the state where you live, you may be required to secure real estate that satisfies all of the legal requirements before you can even get a state license or permit to operate. This is a high-risk situation because if you’re not granted a license, you’re suddenly stuck with real estate. Some states are shifting away from the model. If yours hasn’t, then you’ll want to strongly consider whether putting a canna-biz there is worth the risk.

You’ve Got This… and We’ve Got You

If your intentions to set up a cannabis business are honorable and you’re working from an altruistic viewpoint, you could have a thriving business that helps revive a struggling community.

So when you’re ready to start thinking about how you want to market your new business, contact us.

With nearly a decade of cannabis specific marketing under our belts, we know every in and out of the business. More importantly, we know how to get you noticed.