3 Things for a Startup Marijuana Business

Starting up your own legal marijuana business opens up a lot of opportunities

The annual growth in the marijuana industry has exploded at a rate near 75% in each of the last three years. This report is from the The ArcView Group, which is a market research company based out of Oakland, CA.

The report assumes the nation will see new millionaires if not billionaires in the coming years who are getting in now and taking advantage.

The road to super success in the marijuana business, however, is layered with obstacles and challenges. There are challenges, but for anyone determined to meet and overcome them, the opportunity is there.

Finding your niche

How to build a startup marijuana business will depend greatly on the phase of the industry you want to be apart of.

The retail part of the industry is one of the most heavily regulated. The high taxes imposed make it less appealing than other industry sectors.

The growing part of the industry is not subject to those same taxes and it offers a more hands-on experience to the entrepreneur.

Business opportunities for market research and testing are beginning to rise as well.3 Things for a Startup Marijuana Business

There are even side industries springing up in the area of edible marijuana products, which are currently a huge growth niche in the market.

 

Legal issues

When considering the marijuana industry, it would be a good idea to consult with a legal firm familiar with governmental rules and regulations. Whcih would also include those imposed by state, city, and county because all businesses have local codes and regulations.

It’s also important to be aware with the location of your business. There are still federal laws regarding any kind of cultivation or distribution of controlled substances within 1,000ft of public places like schools and parks.

Something else worth considering a startup marijuana business it’s an all-cash business. This means you may have to take extra security precautions when taking large sums of money to the bank. While this may sound unlikely, you only have to be robbed once on the way to the bank before you and your business are seriously impacted.

Financing your business

Unless you have enough to invest yourself, you’ll need to find investment partners who can help you. For your startup marijuana business, you’ll need to purchase materials, property, and what’s n needed for your particular niche business.

Many investors will be turned off by these obstacles and the difficulty of getting established in the industry. Although, there are investors who understand the industry’s bottom line potential and the extraordinary opportunities in the marijuana industry.