Member Blog: Safeguarding Cannabis Businesses – Managing Product Liability and Ensuring Consumer Safety
The rapidly expanding cannabis industry presents unique challenges when it comes to managing product liability. As the sector continues to grow, businesses must prioritize quality control, labeling requirements, and consumer safety to protect their reputation and financial well-being. In this article, I will explore the various risks associated with product liability in the cannabis industry and discuss risk transfer strategies to safeguard businesses from claims related to cannabis products. One of the largest misconceptions I hear is that if a client is not making the product, they do not need product liability. Unfortunately, the reality in the industry is that in a product allegation, everyone through the entire supply chain could be named in a suit.
Quality Control and Labeling Requirements:
One of the key challenges in the cannabis industry is maintaining consistent product quality and ensuring accurate labeling. Product liability claims can arise if a consumer experiences adverse effects due to contaminated or mislabeled products. To mitigate these risks, cannabis businesses must implement robust quality control measures specific to what part of the supply chain.
From cultivation to manufacturing and distribution, every stakeholder should prioritize quality assurance practices. This includes regular testing for potency, contaminants, and pesticides. By adhering to rigorous standards, businesses can minimize the chances of their products causing harm to consumers and reduce the likelihood of product liability claims.
Accurate and compliant labeling plays a critical role in managing product liability risks. It’s vital for cannabis businesses to stay informed about the specific labeling requirements in their market, as laws and regulations vary across jurisdictions. Take California, for instance, where non-manufactured products have their own set of requirements, distinct from those for manufactured products. Whether it’s raw flower or gummies, each product category has its own labeling specifications.
Sadly, there have been instances where products were packaged to attract children or imitate popular snack brands. These cases highlight the deceptive packaging that misleads consumers and targets underage individuals. By ensuring proper labeling, businesses can offer transparency to consumers, building trust in their brand. Furthermore, accurate labeling of THC content is crucial to avoid potential product liability and advertising claims. By providing clear and precise information about THC levels, businesses can protect themselves while also meeting consumer expectations.
Consumer Safety and Education:
Cannabis businesses must prioritize consumer safety by providing clear instructions for product usage and appropriate warnings, especially for edibles and other products with specific dosage instructions. Consumers should be informed about potential risks, possible side effects, and any known allergens present in the product. Accessible information to consumers can help reduce the likelihood of product misuse and associated liability claims.
Insurance Strategies for Product Liability:
Product liability insurance is a critical component of risk management for cannabis businesses. The cost of insurance premiums is typically based on gross sales, meaning that the more products a company sells, the higher the associated risk. However, it is important to note that not all insurance policies cover product liability in the cannabis industry. Therefore, businesses should work with specialized brokers who understand the unique risks and challenges in this sector.
In addition to product liability insurance, implementing further risk transfer processes can play a significant role in reducing the likelihood of being involved in a lawsuit. Businesses should establish clear contracts and agreements between cultivators, manufacturers, and distributors, outlining each party’s responsibilities and liabilities. These agreements help allocate risks appropriately and provide a legal framework for dispute resolution.
Overall, managing product liability in the cannabis industry requires a proactive and comprehensive approach. By prioritizing quality control, adhering to labeling requirements, and ensuring consumer safety, businesses can minimize the risks associated with all aspects of the supply chain when it comes to product liability. Additionally, securing appropriate insurance coverage and implementing additional risk transfer processes can provide further protection and peace of mind. As the industry evolves, staying informed and proactive in risk management will be key to long-term success and sustainability in the cannabis market.
For more information, please reach out toValerie Taylor, Vice President, Liberty Company Insurance Brokers.
Member Blog: The Evolution of Cannabis-Friendly Banks and Credit Unions
If you are a cannabis-related business (CRB) looking for banking services, that search is becoming less demanding. With the U.S. cannabis market expected to exceed $70 billion by 2030, financial institutions are increasingly becoming aware of the opportunity to boost their bottom lines, while supporting the safety and economic development of their local communities. As friendlier cannabis banking legislation emerges from Washington, D.C., we expect to see thousands of financial institutions actively serving the industry, up from the approximately 250 banks and credit unions serving the industry today.
Early on, smaller credit unions were among the most prevalent pioneers in the industry. Even today, most banks and credit unions that are cannabis-friendly are less than $1 billion in size. That trend is changing rapidly, though, and with it, an increased level of sophistication is supporting the cannabis ecosystem. In fact, at least two banks with assets larger than $50 billion on the East and West Coast respectively have entered the market and by all accounts, have booming portfolios.
When looking for a banking partner, CRBs should consider a few key questions:
Does the bank or credit union have an existing cannabis portfolio?
What are the fees for service?
Can the financial institution provide ACH services for business-to-business transactions?
How does it handle cash deposits?
Deposit taking is the primary focus of cannabis-friendly financial institutions however there is activity in a few key areas relevant to the industry.
Lending
Fast-growing industries like cannabis are always in need of growth capital, and the banking sector has been slow to fill this void. The exception to this is in mature markets (such as Oregon, Colorado, and Massachusetts) where banks and credit unions in search of low-cost deposits are increasingly offering lending to attract legal cannabis operators to their institutions. While interest rates are still higher than typical business loans and generally require personal guarantees, the advent of cannabis lending is a welcomed relief to founders and others who have historically had to part with equity to meet capital needs.
Fortunately, lending is increasingly becoming mainstream. By our estimates, 50 or so banks and credit unions have opened their wallets in this regard, with most of the lending activity tied to commercial real estate. Equipment financing has also become more prevalent, and operating lines of credit are extended rarely to those firms with deep operational experience and more substantial balance sheets.
Payments
Until federal legalization occurs, the payments space will continue to include workarounds created by fintech entrepreneurs and others. ACH wallets tied to loyalty programs are often seen in medical markets, and until the end of 2022, cashless ATMs had widespread adoption on the adult-use side.
Most recently, PIN-based debit solutions running on the regional debit rails are gaining traction, and these options pass compliance hurdles that were not present with cashless ATMs. With their advent, merchants are also seeing an increase in sales of 20% or so as compared to cash-only environments.
Access to banking and financial services in the cannabis industry has come a long way in the last decade yet has a long way to go. There is a real advantage for early movers to provide services and we expect more and more financial institutions to recognize the opportunity and get involved.
Member Blog: Move Over Cannabis ERP – This is How You Breakdown Information Silos
As a licensed cannabis company, managing multiple data sources, systems, and processes that must remain in sync and compliant 24/7 comes with challenges not faced by traditional businesses.
Like every other business, however, you rely on a variety of software systems like inventory management, sales tracking, customer relationship management, financial systems, and more. And when these systems don’t communicate well, several issues you’re probably familiar with rise to the surface.
Maybe you’ve had to manually input data from one system into another or get custom code to get different systems to communicate, but these are time-consuming, error-prone, and inefficient. Let’s take a quick look at some of the other problems you’re likely to run into.
Data Inconsistencies: When systems don’t share information, it creates ‘data silos’ with discrepancies occurring everywhere. For example, your inventory system shows you’re out of a particular cannabis product, but a sales system shows overstock and offers the product at a steep discount. These inconsistencies lead to confusion, inefficiencies and lost profits.
Reduced Productivity: Employees manually entering and transferring data between systems is time-consuming and prone to error– the extra effort kills productivity. Don’t forget, staff need to fix those manually input errors manually when they could be working on more important things.
Poor Decision-Making: Blindspots can seriously impact decision-making without a unified view of your business data. If sales data is kept separate from inventory data, as in the example above, making accurate forecasts and planning for future needs is next to impossible.
Customer Dissatisfaction: Customer data should be shared between systems to maintain customer service. A customer could unknowingly purchase a back-ordered product or receive discount promotions for products they’ve already purchased, or the customer service team might need access to a customer’s full history when dealing with inquiries or complaints. It’s easy to see how conflicting or inaccessible customer data could lead to a bad customer experience.
Regulatory Compliance: In this industry, compliance with regulatory requirements is crucial. When integrated tracking and reporting systems are in play, ensuring compliance and avoiding fines or other penalties is much easier.
Increased Costs: The time and effort needed to rectify data inconsistencies and errors increase operational costs, especially when, for example, a cannabis company tries to add additional software to bridge the gaps between two systems. In the end, those two systems may communicate seamlessly, but you’re still left with data silos everywhere.
Cannabis ERP a Traditional Approach?
Until recently, what recommended solution effectively managed the following cannabis business activities?
Human resources
Accounting
Cultivation
Manufacturing
Distribution
Sales teams
Marketing
Retail
A platform called cannabis ERP, right? But there are a few single-suite disadvantages to an ERP solution by itself:
Difficult to select a single solution that fits the needs of the whole company
Longer implementation
Larger up-front Cost
Longer ROI
Requires shared vision by the entire company
Tied to one vendor’s vision & priorities
While a cannabis ERP may still be a great option for some companies, for a growing number of cannabis operators, cross-platform compatibility is a non-negotiable feature in today’s increasingly interconnected digital landscape. So what is the solution?
The New Approach to Cross-Compatibility
Cloud APIs (aka Application Programming Interfaces) are how you achieve cross-platform compatibility because they provide a set of rules and protocols that govern how different software components should interact. This makes it possible for other software systems, which may be built on various platforms and programming languages, to communicate and work together effectively.
In general terms, cannabis businesses might consider the following integrations for their operations:
Seed-to-Sale Tracking API: This type of API integration facilitates the tracking of cannabis plants from cultivation to the final sale, which is important for regulatory compliance. They can assist with inventory management, plant batch tracking, waste tracking, and sales reporting.
Point of Sale (POS) API: These APIs connect the POS system with other business applications like ERPs, CRM, or eCommerce platforms. They facilitate real-time inventory updates, sales data analysis, customer behavior tracking, and regulatory reporting.
eCommerce API: These APIs integrate online sales platforms with other business applications. They can help manage online orders, update inventory in real-time, and streamline shipping and customer service.
Laboratory Testing API: These APIs are useful for pulling test results directly from third-party labs into the company’s main system. They help ensure product quality and regulatory compliance by tracking potency, contaminants, and other metrics.
Payment Processing API: This type of API integration helps cannabis businesses connect with payment gateways that can handle the unique regulations of the cannabis industry. They manage transactions, refunds, and customer data related to payments.
Regulatory Reporting API: These APIs automatically compile and report data to state or national regulatory bodies. This can simplify compliance with the complex regulations that apply to the cannabis industry.
Customer Relationship Management (CRM) API: These APIs help integrate CRM platforms with other business applications, allowing companies to streamline customer communication, manage leads, track customer behavior, and more.
Supply Chain Management API: These APIs allow cannabis businesses to connect their systems with those of their suppliers or distributors, helping to streamline order placement, inventory updates, and other aspects of the supply chain.
Cloud APIs allow different software systems to communicate with each other in a standardized way, automating the sharing of data and functions between systems. With cloud APIs, operators can significantly reduce data silos, cross-platform incompatibility, and integration challenges and move toward a best-of-breed approach.
So, What’s it Really Mean to be Best-of-Breed?
The best-of-breed phrase describes software or technology considered the best or most superior within its specific category, niche, or industry and implies that a software system excels in features, functionality, and performance compared to its competitors.
So instead of picking an all-in-one software like a cannabis ERP, you can choose any software you want, and cloud APIs will connect them.
Imagine having to assemble a dream team for the Olympics. Not just any team… a dream team. Of course, you’d want to select the best players for each position to create the best possible teams, the individuals who consistently perform for the team. Where would you start?
Choosing the top performers for their respective roles puts your team in a position for the highest chance of success. Think about it, when each player brings a unique set of skills and expertise to their job, they ultimately level up to the team’s overall performance.
Seamless Integration: High-Performing Tech Stack for Cannabis Operations
Integrating your preferred systems for tracking inventory, sales, compliance with regulations, etc., is no longer the same headache it once was. With cloud APIs enabling software, applications, and services, you can operate effectively across multiple platforms and systems.
Communicating between systems is important for several reasons:
Greater reach and accessibility: Cross-platform compatibility allows a software or service to be used by a larger user base as it operates on multiple different systems rather than being confined to just one.
Efficiency and cost-effectiveness: By ensuring their solutions are cross-platform compatible, developers write code once and deploy it across multiple platforms, which saves time and resources in development and maintenance.
Improved user experience: With cross-platform compatibility, users interact with a service or application on the platform of their choice, leading to a better user experience.
Cannabis has so many different verticals within, and so many different pieces of specific software need to talk to each other, you need someone to integrate your cloud, a partner that you can grow with.
It’s a growth strategy, improving decision-making and transparency with software solutions that fit today’s and future needs
Companies can buy software in phases
A modularized software approach grows and changes with you
Supports flexibility and high-growth
Rolled out in non-sequential phases
Departmental decision making
One partner, but not tied to one system
Functional-specific support
The one size fits all methodology has passed with the increased adoption of cloud technology with the Best of Breed approach saving you time and money. With superior levels of accuracy, transparency, and automation, you can finally streamline business processes that allow you to capitalize on growth.
Canna Suite’s single-partner approach for software selection, integration, support, and reporting means you can select different software solutions that fit each department’s needs. If you’d like to learn more about breaking down your data silos, check out our recorded webinar.
Member Blog: Protect Your Cannabis Intellectual Property to Stay Competitive in a Changing Landscape
In 2021, massive China-based e-cigarette manufacturer Shenzhen Smoore Technology Limited (the parent company of CCELL) initiated a proceeding before the US International Trade Commission (ITC) in which it alleged that Advanced Vapor Devices (AVD) and 37 other vape hardware companies infringed upon its patents.
After roughly a year and a half of legal proceedings, the ITC ruled that the vape hardware companies did not infringe on CCELL’s intellectual property related to ceramic core vape cartridges. This was a victory for not only the US cannabis vaping sector but the cannabis industry as a whole.
From our perspective, CCELL’s litigation appeared as an attempt to drain competitors’ resources and eliminate competition. By refusing to stand aside, we were ultimately vindicated by the ITC’s ruling.
The Implications of CCELL’s ITC Proceeding
CCELL alleged that AVD and the other respondents had infringed upon three of its patents. However, the ITC ultimately ruled that one of CCELL’s patents was improperly obtained and the respondents’ products did not infringe on the other two patents. The ITC also determined that CCELL failed to establish a “domestic industry,” which is required for ITC claims since such proceedings are designed to protect US interest in fair trade.
The more worrisome part is that, had CCELL been successful in proving its allegations, the ITC would have barred the importation of the infringing products, resulting in CCELL gaining a stranglehold on ceramic core vaporization technology. This would have had a far-reaching impact on the broader vape industry. By eliminating the competition, CCELL would have placed itself in a position to control the market, pricing, and timing of new product releases. Inevitably, customers would have faced the prospect of higher prices and slower innovation cycles—both natural results of decreased competition.
We firmly believe consumers deserve the innovation, variety, quality, and fair pricing that competition brings. In our view, the industry is large enough to handle fair competition. Commercial success should come as a result of offering better products, service, and prices—not from using litigious tactics to drain competitors’ resources.
How the Vape Industry Fought Back
Our response to the lawsuit involved deep intellectual property (IP) research and engaging the right advisors, without whom we could not have succeeded while shouldering the burden of the litigation. During the litigation, we continued to capture further market share, gain clients and support our current clients by doubling down on our strategy of creating high-quality products and delivering exceptional customer service.
Operating from a cannabis-centric perspective that does not appreciate a bully in the industry, we put together a joint defense group, including The Blinc Group and Greentank, among others. After all, we are competitors—not enemies.
Together, we’re able to cooperate on policy reform, laws and lobbying that benefit the entire industry and prevent monopolies. All while maintaining healthy competition that promotes innovation. When push came to shove, the vape industry proved that cannabis companies could successfully work together in the industry’s best interest.
A Catalyst to Focus on IP Now
The ITC case should be a wake-up call to cannabis companies to focus on developing and protecting their own intellectual property. Developing and owning IP grants companies a competitive advantage in the marketplace that protects their novel inventions.
Companies outside of cannabis certainly understand this. Merely securing a cannabis-related patent does not violate any federal laws. Companies in other industries (pharma, agriculture, CPG, etc.) can and already have started to gain a toehold in cannabis through their IP.
If anything, the ITC case is a preview of things to come. If cannabis companies don’t get ahead of the curve, they may find themselves as the targets of successful infringement proceedings. Worse, this could result in them being unable to bring certain products to market.
Some of these cases will be valid—companies deserve to reap the rewards of real innovation arising from investments in R&D. Some will be trolling. Yet others will be similar to our situation, where a well-capitalized company uses its resources to put competitors through the wringer. To be clear, earning and enforcing patents is, for the most part, good practice. Patents incentivize innovation and stimulate healthy competition by rewarding parties who create novel inventions. Those patents encourage competitors to come up with their own innovations. If a technology is unavailable because it’s patented, competitors are forced to invest more in their own R&D to create their own innovations. This becomes a flywheel as all companies try to out-innovate each other, ultimately benefiting consumers. But it is critical to not abuse the process and not allow others to do so either. Healthy competition promotes true innovation. And that benefits all of us.
IP will be a key factor in shaping the industry’s future. Despite the multitude of present-day challenges our industry faces, it is crucial for companies to prioritize investment in IP if they are aiming for longevity. Many companies look at the costs associated with IP as an operating expense, while it would more appropriately be viewed as an investment. You must devote the resources now to have differentiated, innovative and proprietary products in the future.
Member Blog: Understanding Alfalfa Mosaic Virus – The Four Key Aspects of its Symptoms, Effects, and Transmission Strategies
As a cannabis cultivator, staying vigilant about the health of your crops is paramount. Among the array of plant viruses that can impact your harvest, the Alfalfa Mosaic Virus (AMV) stands out as a considerable threat. This formidable plant virus primarily affects leguminous crops, but it doesn’t spare cannabis. Part of the Alfamovirus genus in the Bromoviridae family, AMV can inflict serious economic losses in agricultural settings.
Four Key AMV Symptoms
Recognizing AMV in your cannabis cultivation starts with understanding the symptoms. Here are the four major signs you should be on the lookout for:
Mosaic Patterns: Watch out for irregular light and dark green areas on the leaves. This mottling gives the foliage a unique marbled appearance, indicating a potential AMV infection.
Leaf Yellowing: One of the classic signs of plant stress, leaf yellowing, can signal an AMV infection in your cannabis plants. This can range from mild to severe and may occur independently or alongside mosaic patterns.
Stunted Growth: Is your cannabis crop not reaching its usual height? This could be due to AMV infection, as it often stunts plant growth.
Leaf Distortion: AMV may also cause cannabis leaves to become twisted, curled, or deformed, disrupting their photosynthetic abilities.
The severity of these symptoms can vary depending on the plant’s developmental stage and the specific environmental conditions. For professional guidance, contact us at (530) 220-8754.
Four Critical AMV Effects
AMV can significantly impact your cannabis cultivation efficiency and yield. The primary effects of an AMV infection include:
Reduced Yield: AMV interferes with normal cannabis growth, often leading to a reduction in productivity and a lower overall yield.
Decreased Crop Quality: Visible symptoms like mosaic patterns and leaf yellowing can impact the visual appeal of your cannabis crops, potentially affecting their market value.
Impaired Photosynthesis: The virus-induced symptoms can disrupt chlorophyll function, causing a decline in the photosynthetic capacity and overall weakened growth.
Weakened Plant Health: AMV can compromise the immune response and physiological functions of your cannabis plants, making them more susceptible to secondary infections.
Four Modes of AMV Transmission
Controlling AMV in your cannabis crops involves understanding how the virus spreads:
Non-Persistent Aphid Transmission: In this type of transmission, aphids act as carriers of the virus without being affected or changed by it. The virus attaches to the mouthparts (stylets) of the aphid and is transferred to the next plant when the aphid feeds. The key aspect of non-persistent transmission is its speed; the virus can be transmitted quickly, usually within minutes to a few hours of the aphid feeding on an infected plant. This type of transmission does not require the virus to enter or multiply within the body of the aphid.
Persistent Aphid Transmission: This type of transmission involves a longer-term relationship between the virus and the aphid. The aphid ingests the virus, which then enters the insect’s body and may even multiply within it. The virus remains within the aphid for extended periods, sometimes for the lifespan of the aphid. The virus is then passed to healthy plants when the infected aphid feeds on them. The transmission process in this case is slower than in non-persistent transmission, often taking hours to days before the virus can be passed on to a new host plant.
Mechanical Transmission: This refers to the physical transfer of the virus from an infected plant to a healthy one, often through human activities. It can occur when farming tools or machinery contaminated with the virus are used across multiple plants, leading to the spread of AMV.
Infected Plant Material: This involves the transmission of the virus via seeds, cuttings, or other parts of the plant that are already infected with AMV. Such materials can carry the viral particles, thus spreading the virus to new plants.
In conclusion, understanding the Alfalfa Mosaic Virus (AMV) is crucial for cannabis cultivators. Recognizing the symptoms, understanding its effects, and knowing its modes of transmission are the first steps to protecting your crops and ensuring a healthy yield. Regular testing, early detection, and proper disease management practices can help you mitigate the impact of AMV in your cannabis cultivation.
Please, ensure you are taking all necessary steps to keep your cultivation safe, as well as our community. Plant pathogens are an enemy we all face, and we all must take responsibility for preventing and educating one another. That’s why we’ve developed a downloadable poster for you to keep your cultivation crew informed about top-tier Biosecurity Measures for Plant Pathogen spread prevention.
Let’s continue to grow safe and healthy cannabis!
Member Blog: The Drawbacks of Doing Your Own Payroll
The cannabis industry is unique in that there are many issues to consider when it comes to payroll. Doing payroll in-house can prove to be a complex endeavor and can have many drawbacks along the way. For instance, it can be difficult to keep up with ever-changing laws and regulations relating to payroll taxes, safety net contributions, and labor law compliance. Additionally, in-house payroll requires comprehensive knowledge to compute withholdings and deductions from employee wages, which can prove to be challenging.
Using a third-party payroll provider can help to improve accuracy and ease the burden of managing employee payroll. Third-party payroll providers can handle all the complexities involved in payroll, such as withholdings, benefit deductions, and payroll tax filings, freeing up valuable time and resources. Furthermore, a third-party payroll provider will be securely monitoring and tracking payroll changes, ensuring compliance with the latest payroll regulations.
In general, doing payroll in-house can be a complex endeavor that requires specialized knowledge and can be a resource-consuming task, but in a heavily regulated industry like cannabis this is especially true. For these reasons, cannabis businesses who switch to a third-party payroll provider often find the benefits far outweigh any obstacles.
Business owners have their minds set on ensuring the growth and stability of their businesses, figuring out modes to cut down costs along the line. Particularly, budding businesses in a bid to satisfy this widespread phenomenon, decide on DIY payroll – choosing to oversee the bookkeeping and accounting arm of their businesses. The common misconception is that payroll outsourcing options constitute a financial burden, contrariwise, the costs incurred from consistent errors (as is always the case) sum up to impact much more extensive financial repercussions on the company.
It is noteworthy that the convincing nature of DIY payroll also bears characteristic flaws which could pose serious threats to your business enterprise. Details on the drawbacks of doing your payroll are highlighted in this article.
Extreme Dependency
Seeing that you and/or another member of your workforce is solely charged with the responsibility in addition to other work-related assignments, chances are that your company finances will take a nosedive if you or the designated other is unavailable for any reason. This isn’t the same if you outsource, as payroll software and service providers are unfazed by such challenges.
Reduced Productivity
Settling financial statements and record keeping are time-consuming processes. Therefore, taking this up yourself would suggest that precious time and labor that could be spent on other vital aspects of the business will be diverted, influencing the work rate and eventual results.
In addition, payroll requires rapt attention to detail, precision, and patience. There is increased stress and the resultant frustration that could result could negatively impact productivity.
Heightened Susceptibility to Errors
Payroll is a complex system of procedures, requiring well-trained and skillful personnel. Experienced service providers are prone to errors and sometimes make mistakes, the chances, therefore, are that if you handle it yourself, you will make grave errors.
Miscalculating Profits
Inaccurate bookkeeping can lead to miscalculation of profit. Unpaid invoices would remain unnoticed, and the establishment suffers losses.
Missing Important Deadlines
The workload makes missing deadlines a high possibility. Poor handling of documents and vital information can result in missing payment dates, ignoring tax information and forgetting payment bonuses and overtime, to mention a few. This could result in noncompliance with government rules and your business might spend a large chunk satisfying fees and fines.
Cash Flow Problems
With inaccurate bookkeeping, there is no adequate knowledge of cash inflow and outflow. This common DIY payroll challenge could lead to payroll issues in the long run and set your business up for a downturn.
Apprehension by Regulatory Agencies
With DIY payroll, you may have inaccurate books, payment issues, consistent complaints, and noncompliance with state and federal laws. This would ignite the swift actions of government agencies like the Internal Revenue Service (IRS) and your business may suffer grave repercussions.
Indeed, the complications accompanying DIY payroll may outweigh the advantages proposed, hence the need to consider helpful payroll services to ease the burden and help your business focus.
Having an effective payroll system is crucial for Human Capital Management, an important ingredient for business growth and advancement.
Member Blog: Transportation Woes – The Unique Risks Cannabis Businesses Face and the Need for Specialized Insurance
In recent years, the cannabis industry has continued to grow with the legalization movement gaining momentum across the globe. As the market expands, so do the unique risks that cannabis businesses face, particularly when it comes to transportation. From theft and accidents to regulatory compliance, navigating the road to success in the cannabis industry requires adequate insurance coverage. In this blog post, I will explore the specific risks cannabis businesses encounter during transportation and the increasing importance of insurance products tailored to these challenges.
The Rising Threat of Theft
Protecting your valuable cargo from theft is a constant concern for cannabis businesses, especially during transportation. The high value of cannabis products makes them an attractive target for criminals. With high value products and cash amounts involved, the consequences can be devastating. That’s why it’s crucial for cannabis businesses to invest in insurance policies that specifically address theft risks during transportation. These policies can provide coverage for stolen goods, ensuring that businesses can recover from such losses and continue to thrive.
On the Road
Whether a retail delivery or wholesale distributor, transporting cannabis comes with its own set of challenges, particularly when it comes to employee safety, accidents and liability. Cannabis businesses must comply with strict regulations regarding transportation, including proper labeling, packaging, storing, tracking and secure transport methods. Additionally, accidents involving cannabis delivery vehicles can result in property damage, bodily injury, or even fatalities. Insurance products tailored to cannabis transportation risks can provide coverage for these eventualities, protecting businesses from costly lawsuits and providing peace of mind.
Staying Compliant
Navigating regulatory compliance with ever-changing regulations is a top priority and can be a challenge for any cannabis business. When it comes to transportation, the rules can be even more complex. Each jurisdiction has its own set of regulations governing cannabis transportation, such as licensing requirements, transport manifest requirements, and restrictions on the quantity of cannabis allowed per shipment. Failure to comply with these regulations can lead to significant penalties or even the suspension or loss of a cannabis license. Insurance products designed for the cannabis industry can help businesses stay compliant by providing coverage for regulatory fines and legal expenses.
Tailored Insurance
Meeting the unique needs of the cannabis industry and recognizing the unique risks faced by cannabis businesses, insurance providers have developed specialized products to address these challenges. Cannabis transport insurance policies offer elements of risk transfer strategies by providing comprehensive coverages, including theft, auto damage, liability and employee injury, while simultaneously meeting regulatory compliance issues. These tailored insurance solutions are essential for cannabis businesses, providing financial protection and ensuring business continuity in the face of inherent risk.
In general, the transportation of cannabis presents unique risks for businesses operating in the industry. From the constant threat of theft to accidents and regulatory compliance challenges, cannabis businesses must be prepared to face these risks head-on. Insurance products tailored to the specific needs of the cannabis industry offer crucial protection, allowing businesses to navigate the road to success with confidence. Investing in this insurance is not just a wise business decision — it is an essential step towards safeguarding the future of your cannabis business.
Member Blog: The Importance of Storing Cannabis Properly
Cannabis is affected by humidity.
Yes, cannabis is definitely affected by humidity. Cannabis plants are sensitive to changes in temperature and humidity levels, both during cultivation and after harvesting.
During cultivation, cannabis plants need a specific range of temperature and humidity levels to thrive. Too much humidity can lead to the growth of mold and mildew, while too little humidity can cause the plants to dry out and become brittle.
After harvesting, cannabis buds need to be dried and cured to preserve their quality and potency. During this process, it is important to control the humidity levels to ensure that the buds dry slowly and evenly. If the humidity levels are too high, the buds can become moldy, while if they are too low, the buds can dry out too quickly and lose their potency.
In addition, the humidity level can also affect the storage of cannabis. If the humidity levels are too high, it can cause the buds to become moldy, while if they are too low, it can cause the buds to become brittle and lose their flavor and potency.
Therefore, it is important to control the humidity levels during the cultivation, drying, curing, and storage of cannabis to ensure that the buds are of high quality, potent, and safe for consumption.
How can dry cannabis lose potency?
When cannabis is dried and cured, it naturally loses moisture. However, if the cannabis becomes too dry, it can begin to lose potency.
This is because the active compounds in cannabis, such as THC and CBD, are stored in the trichomes on the surface of the buds. When the buds become too dry, the trichomes can become brittle and break off, causing the loss of these valuable compounds.
In addition, when cannabis becomes too dry, it can also affect the flavor and aroma of the buds. The terpenes, which are responsible for the characteristic smells and tastes of different strains, can degrade over time if the buds are too dry.
Therefore, it is important to store cannabis at the correct humidity levels to ensure that it stays fresh and potent. The ideal humidity range for storing cannabis is between 59% and 63% relative humidity. If the buds become too dry, you can try to rehydrate them by adding a humidifying device, such as a moisture pack, to the storage container. However, it is important to be careful not to add too much moisture, as this can cause the buds to become moldy or develop other quality issues.
Cannabis potency versus humidity
The potency of cannabis can be affected by humidity levels. When cannabis is stored at a high humidity level, it can cause the breakdown of THC and other cannabinoids, decreasing potency. On the other hand, if cannabis is stored at a low humidity level, it can cause the buds to become dry and brittle, which can also lead to a decrease in potency.
Therefore, it is important to store cannabis in a controlled environment with the appropriate humidity level. This can be achieved using specialized storage containers, such as airtight jars or humidors, designed to maintain a consistent humidity level. It is also important to monitor the humidity levels regularly and adjust as necessary to ensure that the cannabis stays fresh and potent.
Cannabis taste versus low humidity
When the terpenes are lost, the flavor of the cannabis can become harsh, bitter, or stale. This can make the smoking experience less enjoyable and may also indicate a decrease in potency.
If the buds have become too dry, it is possible to rehydrate them by adding a humidifying device, such as a moisture pack, to the storage container. However, it is important to be careful not to add too much moisture, as this can cause the buds to become moldy or develop other quality issues.
Committee Blog: Defining Legal Hemp – It Isn’t Always Simple Math
If you are a cannabis-related business, and are looking to accept credit cards, it is only possible to do so if you are selling a product that is defined as legal hemp by the 2018 Farm Bill.
The 2018 Farm Bill provides that:
“The term ‘hemp’ means the plant Cannabis sativa L. and any part of that plant, including the seeds thereof and all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of isomers, whether growing or not, with a delta-9 tetrahydrocannabinol concentration of not more than 0.3 percent on a dry weight basis.”
For the most part, it’s pretty cut-and-dry. Marijuana is a schedule 1 drug. Hemp is not. If your product has less than .3% Delta-9 on a dry weight basis, it’s not marijuana, it’s hemp. And since it’s hemp, it’s federally legal. And since it’s federally legal, it can be purchased with checks, credit cards, or debit cards. Hemp products are, reductively, as incendiary as a stick of butter.
Of course, there is the law and there is how acquiring banks—banks that offer merchant accounts—interpret the law. Across the U.S., there are hundreds of acquiring banks. Of those, only six or seven offer merchant accounts to hemp businesses.
That’s it, plus payment service provider Square.
The immediate problem for the few acquiring banks that have, laudably, said, “Yes,” to hemp is, “how do we distinguish products that are .3% Delta-9 or less (and therefore, yawningly legal) from those that are over .3% Delta-9 (and therefore, illegal as angel dust)?”
Enter the Certificate of Analysis, or COA, or lab report. While there is nothing in the law stating that COAs are required to prove that a product is within the federally legal limit, their role is sacrosanct during the boarding process. For every hemp-derived product, there must be a corresponding COA proving that the product being sold is hemp, and not marijuana.
Fortunately, there are labs across the nation. The U.S. Department of Agriculture website lists 85, as of May 2023. Manufacturers and businesses ship their samples to these labs. The labs run their tests and the COAs are issued.
Simple, right?
Not really.
There are no standards in place for these reports. No templates. Every laboratory’s COAs—while substantively providing the same information—look a little different. Furthermore, most bankers haven’t seen a lab report since high school chemistry, and you’ve got a recipe for confusion or misunderstanding (frequently both).
This COA, when it was initially presented to the bank, was rejected. To the underwriter, it was an open and shut case.
When the bank opened its door to offering acquiring to hemp businesses, its policy was to reject anything with greater than .3% Delta-9 by weight.
The top of this COA showed an instance of Delta 9 that read .189%. That passed muster, certainly. However, when he delved further into the analyte detail, he noted additional Delta-9 figures in excess of the .3% limit:
10.368 in the mg/unit cell
1.892 in the mg/g cell
It was not clear to the bank’s underwriter which of the two—per-unit or per-gram—corresponded with the by-weight percentage he was to be mindful of, but both were certainly over the .3% limit.
So, open and shut case: DECLINED
The salesperson that brought the merchant to this bank was surprised by the rejection. He hadn’t looked at the COAs very closely, but it seemed unlikely that this merchant had been selling products on her website that were in excess of .3% Delta-9.
Why? Because if the merchant had been selling products on its website in excess of .3% Delta-9, it would have been engaging in egregious felony drug trafficking. The salesperson doubted that was the case.
The salesperson did something he didn’t normally do: he took out his calculator.
He wanted to know why it read .189% Delta 9 at the top, but 10.368 in the analyte table. He noted the unit size at the bottom of the page was a gummy weighing 5.480g.
For the sake of simplicity, he multiplied that by 1000 to convert it to milligrams. That made it 5480 mg
Then he entered the onerous 10.368mg from the mg/unit figure in the analyte table and divided it by 5480mg. The resulting calculation netted the following total: .0018919.
Next, he converted it to a percent, and found that the result was .189%, which matched the figure at the top of the COA, exactly.
The next day, the salesperson presented the COA to the bank, with the markings and The Equation just as shown here.
It was an open and shut case: ACCEPTED
This situation is an example of why banks and credit unions unknowingly reject compliant hemp businesses from merchant processing solutions. As stated, a simple mathematical calculation was the difference between being accepted or rejected for necessary merchant processing services. Without proper merchant servicing not only are cannabis businesses’ profitability affected because they can only take cash; cash is also not as traceable or auditable as electronic transactions.
In general, businesses providing services to the cannabis industry are often challenged with disentangling legal risks with the benefits of their necessary services providing more transparency. With enhanced knowledge of the cannabis industry and its parameters, the cannabis industry will recognize a greater participation by all businesses necessary for the life of the industry thereby enhancing cannabis businesses’ likelihood to succeed but also enhancing the legitimacy and regulation of the industry.
Member Blog: Exactly How – and When – Does Glove Contamination Occur?
Justine Charneau, Head of Cannabis Industry Sales, Eagle Protect
Cannabis workers who regularly wear disposable gloves have every right to be surprised – shocked even – that the products they’re pulling from an unopened box may be contaminated with any number of harmful pathogens and chemicals, yeast species, or a variety of distinct genera of fungi – all of which are capable of leading to costly product recalls. After all, these gloves just came out of a brand new box, completely unused. But that’s precisely what a multi-year metagenomic testing and analysis study recently uncovered about contamination threats on the interior and exterior surfaces of nitrile gloves.
The threats were present because the gloves were contaminated prior to packing and shipping them to your supplier. contamination occurs during the manufacturing stage due to glove manufacturers operating in sub-standard facilities, compounded by their efforts to cut corners and save costs during the production process. Below, we trace the arc of surface pathogen transmission – from its primary source to the end user.
Polluted Water Sources
How does contamination first enter the manufacturing supply chain? In both a figurative and literal sense – the biggest threat comes from upstream. Many overseas glove manufacturers aren’t operating with clean water sources, using putrid water which can be polluted with agricultural fertilizers and pesticides, as well as industrial wastewater and both human and animal sewage. Glove manufacturing uses an abundance of hot water in several phases of production, so polluted water sources contribute to contamination.
Inferior Raw Materials
Contamination can be introduced with poor quality raw materials. While it saves money, gloves produced with cheap materials can include toxic chemical compounds and other unsafe filler ingredients. Chemical contamination in gloves caused a recent cannabis recall. Inferior raw materials can also greatly decrease the durability and performance of the glove and can easily cause skin irritations for the glove user.
Former Cleaning & Drying
The threat of contamination is further compounded when manufacturers fail to raise the water tank temperatures high enough to kill microbes. Formers, the ceramic, hand-shaped molds used in glove manufacturing, undergo cleaning processes involving hot water and bleach. When the water temperature and chlorine concentration aren’t high enough, or, if the wash water and brushes are not thoroughly cleaned between production stages, microbial contamination can occur.
Inadequate Drying Procedures
Following the former cleaning and drying stage, gloves are vulcanized (heat-treated) in ovens to both strengthen and elasticize them. Gloves are then subjected to the drying process in large industrial ovens that also require routine cleaning. But for some glove manufacturers , simply shortening the drying cycle in tumblers that aren’t routinely cleaned can slash utility costs. The result? These inadequate drying procedures leave products damp, where they’re much more susceptible to airborne microbial contamination.
The Packing Room
After the drying stage, gloves are boxed. New tech manufacturing does this automatically, however, gloves can also be packaged in unhygienic or unsanitary open-air packing rooms where human skin contaminants, including fecal matter, can contaminate gloves. These unsanitary conditions can further expose gloves to contamination, right before they’re packed into boxes.
As you can see, each of the production stages in the glove manufacturing process comes with its own set of contamination risks. If you’re inclined to think that government and industry regulations, oversight, and compliance requirements are designed to prevent such contamination risks, you’re going to be sorely disappointed. But that’s a topic for the next blog in our contamination series, so stay tuned.
Member Blog: Pre-Roll Market Industry Trends and Growth Potential
Having the ability to identify trends in the cannabis industry is vital for producers to build a successful brand, and the biggest trend in ther cannabis industry right now is pre-rolls. Growing at 12% YoY in the US and 38% YoY in Canada, pre-rolls are the fastest growing cannabis product in the world of legal cannabis, and it’s not close.
This trend could be chalked up to a sudden rise in popularity and as something that will decline once another hot trend appears; however, we believe that the rise of pre-rolls is more than just a flash in the pan. In fact, after looking over the sales data we received from Headset, we believe that pre-rolls will not only continue their growth, but they will become the bestselling cannabis products by 2030.
Here’s why!
Prices Fall, Sales Rise, Both Stabilize
Over the past few years, the wholesale price of flower has dropped dramatically in mature markets, and cheaper cannabis costs have allowed producers to source higher quality flower for their pre-rolls. Combined with the advances in pre-roll making machinery, quality pre-rolls are now able to be sold at a lower retail price, which has driven strong growth for the category.
As you can see from the graph, pre-roll sales have steadily increased as prices have fallen, but the last two years have seen both sales and prices begin to stabilize. The pre-roll segment that has seen the most growth during this time is infused pre-rolls. Customers love high THC percentages, and producers are happy to finally be able to offer it to them in an affordable pre-roll form.
Pre-Rolls have the Least Amount of Price Compression
It’s not just pre-roll prices that are falling. Prices are down across the board, but even though prices for all cannabis products declines over time, pre-rolls are showing the least amount of price compression. In other words, if you are in the business of selling cannabis, and you are worried about declining margins, pre-rolls are a category you should be expanding into to maintain and boost profitability.
You can also see from the graph that Canada has actually seen the average price of a pre-roll increase, but there is nuance to this data. This does not mean that pre-rolls are getting more expensive for Canadian consumers. This data shows just how popular infused pre-rolls are becoming. They are becoming so popular that people are choosing to buy them over regular, more affordable pre-rolls, and that change in buying habits has increased the average sales price for pre-rolls.
Pre-Roll Multi-Packs
Another interesting trend we see in the sales data is that pre-roll multi-packs have become extremely popular. In 2018, multi-packs of pre-rolls only made up 27.7% of the market in Oregon, Washington, and Colorado. By 2023, multi-packs make up 47.62% of the market—representing a growth of about 20% over 5 years. Also, Since 2021, we have seen an almost 400% growth in multi-packs that have a volume of 2 or 5 grams as well as steady growth across most other sizes.
Buying pre-rolls by the pack is a lot more convenient for consumers. It means not making a special trip to the dispensary every time a pre-roll is wanted. The rise in their popularity is a sign that consumers are investing in pre-rolls as a staple in their cannabis routine. Because they know they will continue to enjoy pre-rolls, they buy multiples at a time for convenience, and it’s this kind of product loyalty that moves a product from a trend into something more.
Wallet Share by Age
Another interesting thing about pre-rolls is that, when it comes to wallet share, they are the most consistent product segment across all age groups. Other products show a significant increase or decrease in popularity with each new generation; however, pre-rolls steadily hover between 12.8% and 14.5% in each group and even show a slight increase with the younger generations.
It’s also important to note the decline of flower with younger generations. Why this is significant is because, at their core, pre-rolls are a flower product, and they are not following the same decline in sales. They distinguish themselves from loose flower by providing consumers a way to enjoy their flower without extra paraphernalia. In this way, we think pre-rolls could start to eat into the flower market, as they better meet the consumption needs of flower customers.
Pre-Roll Attachment Rates
Another big reason why pre-rolls will remain a dominant product segment in the future is that they are the perfect add-on item at the point of sale. The data shows that, when a person walks into a dispensary, they will add-on a pre-roll 15.5% to 23.3% of the time. In fact, in all product segments, pre-rolls either have the highest attachment rate or are within a single percentage point of the leader.
In other words, no matter what a customer is interested in purchasing, it doesn’t take a lot of convincing to get them to add on a pre-roll. They’re reasonably priced, made with quality materials, and incredibly convenient. Whether they want to consume it right away or want to save it for later, pre-rolls have become something flower lovers like to have on-hand for whenever, and that makes it more than a trend. That makes it a staple.
Convenience Impacting Pre-Roll Purchasing
Cannabis is starting to make its way into mainstream culture. You can’t buy it at your local grocery store, like you can buy wine or cigarettes, but it’s out there. The legalization of cannabis has opened the door to innovation in the cannabis industry, and those innovations are starting to have an impact on everything—especially consumption.
Flower needs paraphernalia to be consumed, and, if you are just trying to enjoy cannabis, sometimes you just don’t want the hassle. Pre-Rolls are unique in that they offer the consumer flower as well as a way to consume it, so it’s not too much a leap to think that pre-roll could keep expanding and start eating into flower sales.
In this way, cannabis can be compared to tobacco. Even though people can buy loose tobacco and roll their own cigarettes or use a pipe, most people are buying pre-rolled products. Even though the tobacco quality, smoking experience, and price point can be better when you buy loose tobacco, most people are choosing the convenient option. It shouldn’t surprise us that cannabis starting to fall into this pattern as the market matures.
Final Thoughts on The Pre-Roll Market
The data lets us know that pre-rolls are doing amazing things when it comes to sales, but it is also giving us hints as to trends in consumption methods. Pre-rolls are a flower product, and it’s clear from the data that flower consumers are buying into the convenience of pre-rolls. This is more than just a trend, but a shift in the preferences around flower consumption. Because of this shift, we can see pre-rolls taking on a more prominent role as the cannabis industry continues its expansion.
For a more in-depth look at the pre-roll industry, be sure to check out the State of the Pre-Roll White Paper, and, if you have any questions, feel free to reach out to the Pre-Roll Experts at Custom Cones USA.
Committee Blog: Optimizing the Cannabis Dispensary Experience – An In-depth Look at Terpenes, Cannabinoids, and THC for Superior Customer Service
The cannabis industry has experienced rapid growth in recent years, with more and more states legalizing its use for medical and recreational purposes. As a result, cannabis dispensaries are becoming increasingly popular, with many people visiting them for the first time. For dispensary owners, managers, and budtenders, it’s essential to provide a positive customer experience to build brand loyalty and attract repeat business. This blog will discuss the importance of focusing on the customer experience at cannabis dispensaries and how understanding terpenes, cannabinoids, and THC percentages can improve the overall experience for both new and experienced users.
Understanding the Customer Experience
What makes a great customer experience at a cannabis dispensary? A positive experience can be characterized by:
Knowledgeable Staff:
Budtenders and other staff members should be well-trained and able to provide accurate and easily digestible information on various cannabis products, including their effects and appropriate dosages.
Welcoming Atmosphere:
Dispensaries should be clean, well-organized, and aesthetically pleasing, making customers feel comfortable and at ease during their visit.
Product Selection:
A wide variety of high-quality cannabis products should be available to cater to the diverse preferences and needs of customers.
Personalized Recommendations:
Budtenders should be able to make personalized recommendations based on the customer’s preferences, desired effects, and level of experience with cannabis.
Terpenes, Cannabinoids, and THC: Key Components of Cannabis
To provide an exceptional customer experience, it’s essential for dispensary staff to understand the key components of cannabis, including terpenes, cannabinoids, and THC percentages. These components play a significant role in the overall effects of cannabis and can help staff make tailored recommendations for customers.
Terpenes:
Terpenes are aromatic compounds found in many plants, including cannabis. They give each strain its unique aroma and taste, and they can also have therapeutic effects. There are over 100 different terpenes in cannabis, with some of the most common ones being myrcene, limonene, and pinene. Understanding the terpene profile of a specific strain can help staff recommend products based on the desired flavor and aroma, as well as the potential therapeutic benefits.
Cannabinoids:
Cannabinoids are the chemical compounds found in cannabis that interact with the body’s endocannabinoid system, producing various effects. Many Cannabis products advertise “full-spectrum” CBD, meaning that the product not only contains CBD, but can also contain the other cannabinoids as well as terpenes, essential oils, and up to 0.3% THC. There are over 100 different cannabinoids in cannabis, with THC (tetrahydrocannabinol) and CBD (cannabidiol) being the most well-known. THC is responsible for the psychoactive effects of cannabis, while CBD has various therapeutic effects without causing a “high.” Dispensary staff should be familiar with the different cannabinoids and their effects to help customers choose products based on their desired experience.
THC Percentages:
The THC percentage of a cannabis product indicates the concentration of THC, which largely determines the psychoactive effects of the product. Generally, higher THC percentages lead to more potent effects. However, it’s important to note that the overall effects of a cannabis product are influenced by other factors, such as the terpene profile and the presence of other cannabinoids. Dispensary staff should be able to explain the significance of THC percentages and guide customers in selecting products with appropriate potency levels.
Educating Customers and Tailoring Recommendations
Dispensary staff should prioritize educating customers about terpenes, cannabinoids, and THC percentages to help them make informed decisions about their purchases. By understanding these components, customers can better tailor their cannabis experience to their preferences and needs.
For example, a customer looking for a relaxing experience may be interested in a strain high in myrcene, a terpene known for its sedative and relaxing effects. In contrast, someone seeking a more uplifting and energizing experience might prefer a strain with a higher concentration of limonene, which is associated with elevated mood and increased energy. Additionally, customers with little to no experience with cannabis may prefer strains with lower THC percentages to avoid overwhelming psychoactive effects.
When assisting customers, dispensary staff should ask about their preferences, desired effects, and experience level with cannabis. Based on this information, they can recommend strains and products that align with the customer’s goals while considering the terpene profile, cannabinoid content, and THC percentage. This personalized approach can help customers feel more confident in their purchases and lead to a more satisfying experience.
For HR Professionals: Training and Development
To ensure that dispensary staff can effectively educate customers and provide tailored recommendations, it’s crucial for HR professionals to invest in comprehensive training and development programs. Training should cover a wide range of topics, including:
Cannabis Fundamentals:
Staff should have a solid understanding of cannabis basics, such as the differences between indica, sativa, and hybrid strains, and the various forms of cannabis product, methods of ingestion and their varying timing of effects (e.g., flower, edibles, concentrates, tinctures, and topicals, vaping, eating, and drinking).
Terpenes, Cannabinoids, and THC:
As discussed earlier, staff should be well-versed in the role of terpenes, cannabinoids, and THC percentages in determining the effects of cannabis products.
Customer Service Skills:
Staff should be trained in effective communication, active listening, and empathy to better understand and serve their customers.
Compliance and Regulations:
Dispensary staff should be knowledgeable about state and local regulations regarding cannabis sales, as well as safety protocols and best practices for handling cannabis products.
By providing thorough training and development opportunities, HR professionals can ensure that dispensary staff are equipped to deliver an exceptional customer experience.
The Role of Technology in Enhancing the Customer Experience
As the cannabis industry continues to grow and evolve, technology is playing an increasingly important role in enhancing the customer experience at dispensaries. In this section, we’ll explore several innovative technologies and tools that can help dispensary owners, managers, and staff provide an even better experience for their customers.
Point-of-Sale (POS) Systems:
Modern POS systems designed specifically for cannabis dispensaries can streamline the sales process and improve the customer experience. These systems can track customer preferences, manage inventory, calculate taxes, and ensure compliance with state and local regulations. By investing in a robust POS system, dispensaries can provide a more efficient and personalized service for their customers.
Digital Menus:
Instead of relying on printed menus that can quickly become outdated, dispensaries can use digital menus to display their product offerings. These menus can be easily updated to reflect current inventory, and they can also include detailed information about each product, such as terpene profiles, cannabinoid content, and THC percentages. By providing customers with easy access to this information, digital menus can help them make more informed decisions about their purchases.
Online Resources and Mobile Apps:
Dispensaries can enhance the customer experience by offering online resources and mobile apps that provide valuable information and tools related to cannabis consumption. For example, they can develop educational content about terpenes, cannabinoids, and THC percentages or create interactive tools that help customers determine their ideal dosage based on their preferences and experience level. By providing customers with access to these resources, dispensaries can support them in their cannabis journey and help them make more informed decisions.
Customer Engagement and Community Building
Another crucial aspect of providing an exceptional customer experience at cannabis dispensaries is fostering a sense of community and engagement among customers.
Events:
Hosting events such as product launches, tastings, and guest speaker sessions can provide customers with an opportunity to learn more about cannabis, sample new products, and connect with other like-minded individuals. These events can also help establish a dispensary as a trusted source of information and a hub for the local cannabis community.
Educational Workshops:
Dispensaries can offer workshops that focus on various aspects of cannabis, such as understanding terpenes, cannabinoids, and THC percentages, cooking with cannabis, or cultivating cannabis at home. These workshops can help customers gain a deeper understanding of cannabis and its various uses, ultimately improving their overall experience.
Social Media:
Actively engaging with customers on social media platforms can help dispensaries stay connected with their audience, provide real-time updates on products and promotions, and gather valuable feedback. Dispensaries can also use social media to share educational content, answer customer questions, and participate in industry-related conversations.
Loyalty Programs:
Dispensaries can implement loyalty programs that reward customers for their repeat business, encouraging them to return and further engage with the dispensary. Loyalty programs can include discounts, exclusive promotions, or early access to new products, and can be an effective way to strengthen the customer-dispensary relationship.
Focusing on the customer experience at cannabis dispensaries is crucial for building brand loyalty, attracting repeat business, and maintaining a competitive edge in the growing cannabis industry. Dispensary owners, managers, and budtenders must prioritize educating customers about terpenes, cannabinoids, and THC percentages to help them make informed decisions and tailor their cannabis experience to their preferences and needs. HR professionals play a key role in ensuring that staff receive comprehensive training and development, enabling them to provide exceptional service and create a positive customer experience. By investing in the customer experience, dispensaries can set themselves apart and thrive in the competitive cannabis market.
Member Blog: Creative Promotion Ideas To Increase The Footfall In Your Dispensary
With the legalization of cannabis in several states, the demand for cannabis-infused products continues to rise. This has led to a surge in the number of dispensaries across the US.
According to recent reports by statistics, there are over 5500 legal dispensaries catering to the growing customer base.
Perhaps, it won’t be wrong to say that the competition level in this industry is fierce. And that’s why you, as a dispensary owner, have to find ways to set yourselves apart and attract footfall to your store.
The question arises: How can you make your dispensary stand out from the rest?
Well, in this article, we will explore creative promotion ideas that can help you boost your dispensary and drive success. So, let’s get started!
Listing Your Dispensary
One of the first steps to promote your dispensary is to ensure it is listed in all the relevant directories and online platforms. This includes popular review websites, local business directories, and cannabis-specific platforms.
Of course, the laws concerning cannabis businesses vary from state to state, so it’s crucial that you adhere to them.
Let’s suppose you have a dispensary in Maryland. In that case, your target customers will probably search online for the best maryland dispensaries and then visit them. They may even place their order online to get the products delivered to their doorstep.
However, if you haven’t registered yourself for these listening sessions, you’ll likely lose potential customers and, thereby, sales.
To avoid such a situation, you must list your dispensary as soon as possible. It’ll increase your chances of being discovered by customers and help you boost your customer base.
Nevertheless, make sure to provide accurate and up-to-date information, such as your address, contact details, and business hours. Also, ensure your patients have medical cards before you sell them any product, and your products have less than 0.03% THC in them.
Create Engaging Social Media Campaigns
Social media platforms like Facebook, Instagram, and Twitter are no longer mere mediums to connect and communicate. These have become powerful tools to promote businesses, including dispensaries.
You can use these platforms to share updates about new products, educational content about cannabis, and any special promotions or events you have planned. In addition, you can encourage target customers to follow your pages and engage with your content by offering incentives such as exclusive discounts or giveaways.
Regardless of the platform you use, each has a few guidelines that adhere to the regulations of specific states. It’s essential to familiarize yourself with these guidelines to avoid legal issues. Some general principles that you can follow include:
No Misleading Claims: It’s important to provide accurate information about your products and services. Avoid making any exaggerated or misleading claims about the benefits or effects of cannabis.
No depiction of consumption: In some states, it is prohibited to depict cannabis consumption in any form. So, be mindful of this when creating visual content for your social media campaigns.
No Image That Might Appeal To Children: Cannabis products can only be sold to people over the age of 21. In order to maintain a professional and responsible image, you must avoid using cartoons, animals, or any other picture that may attract kids.
The key here is to be transparent, informative and focused on building a positive reputation for your dispensary within the boundaries of the law.
Also, be consistent on social media. Regularly post relevant content and respond promptly to comments and inquiries. It’ll help create a positive and trustworthy online presence for your dispensary.
Loyalty Programs
Loyalty programs are a great way to reward and retain customers who regularly visit your dispensary. These programs encourage them to make frequent purchases to get discounts and special perks. At the same time, it makes them feel special, creates a sense of appreciation, and builds a robust relationship with your store.
For example, you can start a loyalty program called “Green Leaf Rewards.” When customers sign up for the program, they receive a loyalty card or a digital account. Every time they purchase at your dispensary, they earn points that collect over time.
Once they reach a certain number of points, let’s say 100, they become eligible for various rewards. These rewards could include discounts on future purchases, exclusive access to new product releases, or free merchandise.
Apart from point-based systems, you can also include referral rewards. This means that when a customer refers a friend to your dispensary, the existing customer and the referred friend receive a reward.
This not only incentivizes your loyal customers to spread the word about your dispensary but also attracts new customers eager to take advantage of the referral benefits.
Hosting Educational Workshops
Last but not least, there are several myths and misconceptions surrounding the use of cannabis. This makes it important to provide accurate information to the public. And hosting educational workshops can be an effective way to bust these myths and offer valuable insights to your target audience.
You can present scientific facts and research findings to help attendees understand the potential benefits and risks associated with cannabis use. Also, emphasize the importance of responsible consumption and the legal guidelines in place to ensure safety.
You can even invite industry experts to your workshops to beat the competition and boost your business credibility. These experts may include healthcare professionals, researchers, or experienced individuals with in-depth knowledge of cannabis. Make sure to foster an open and non-judgmental atmosphere, ensuring that everyone’s perspectives are respected.
Even so, it’s important to note that these workshops are not meant to encourage cannabis consumption but rather to educate individuals so they can make informed decisions. You must advise them to connect with their healthcare professionals, especially if they use cannabis for medical aid.
To Sum It All Up
Cannabis is a growing industry and highly competitive industry. That’s why it’s essential to differentiate yourself from the competition and build your creditworthiness. Fortunately, with the right mix of creative promotion ideas discussed in this article, your dispensary can become a go-to destination for cannabis enthusiasts, fostering growth and achieving long-term success. So what are you waiting for? Try these promotion strategies right away!
Committee Blog: Searching Through the Weeds – Identify, Attract, and Retain the Top Employment Prospects
Cannabis is one of the most heavily regulated industries, which brings a few more challenges that increase the difficulty locating prospects. This can make finding people who have the right skills and experiences a tricky endeavor, often fraught with risks. Small startup endeavors, vertically integrated companies and even MSO’s can run the gamut in terms of who is doing what day to day. Since we do not yet have the type of standardization that exists in more mature industries, it can be challenging to figure out who to hire, and with what titles.
Here are some tips, tricks, and best practices to attract the best prospects and hire suitable candidates that will bring value, commitment, and success to your business.
Try Not to Rush
Whether creating a new position, replacing an employee, or even expanding operations, the tendency is to want to fill a job with someone competent and available as soon as possible. But in order to find the best person, to not only perform the duties of the job but also enhance your workplace culture, grow, and evolve with your business, it takes time.
Clearly Define the Position
When posting a job listing, include more than a simple description of the duties to be performed. Instead, clearly define what the job entails, include what qualities a viable candidate should possess, and outline the culture and values of your business that you believe a potential hire should share. This structure will allow candidates to grasp a complete understanding of the job and match their strengths and interests to the description of the ideal candidate. Producing a clear understanding for both employer and employee about what is expected and how to excel.
Recruit Through Multiple Channels
Since so many qualified candidates could come from a wide range of other industries, it is vital to cast a wide net when searching for potential applicants. There are job boards that specialize in the cannabis industry, such as Viridian Staffing. Others like Indeed are effective places to get a lot of traffic on your job listings. Using social media like Facebook, Instagram, and LinkedIn can raise your visibility and reach those already in the job market. You could also connect with those that may be open to changing their career path but are not aware of the many opportunities available in the cannabis industry. Also, networking through cannabis-related events and membership associations such as the NCIA can also yield knowledgeable and ambitious candidates.
Looking at Comparable Industries and Transferable Skills
Business owners and recruiters can benefit from looking within a highly regulated sector to find talented employees with a solid knowledge base. The banking, pharmaceutical, alcohol, tobacco, and gaming industries have been around much longer than regulated cannabis. Recruiting talent from these comparable industry models can provide your business with relatable business perspectives and best practices that can benefit your workplace and complement your staff.
Much like the consumer-packaged goods industry, the cannabis industry sells products to the public and needs to hire talent in areas including sales, marketing, retail/distribution, HR, finance/accounting and legal/compliance. Some cannabis companies have often recruited and hired professionals who developed their skill sets in other industries.
Perform Pre-employment Screenings
In any industry as highly regulated the way cannabis is, having stringent pre-employment screenings and background checks is essential to ensuring your business remains compliant with all state laws and restrictions. Hiring unqualified employees can result in fines, penalties, and closures, so it is paramount that your business put procedures in place to screen any potential candidate. Pre-employment screenings should include:
A criminal and civil records search.
Restricted party search.
Professional license investigation.
A National Sex Offender Registry search.
A National Record Locator search.
A review of any previous compliance issues at past cannabis-related businesses.
Human Resources
During the recruiting process, identify candidates who have an established personal brand and who differentiate themselves. Employees will need to have a robust work ethic, attention to detail, able to work effectively in a team environment and possess the ability to merge their ambitions with the goals of the team and the company. Identifying and targeting candidates with and without cannabis industry experience can lead to recruiting success. This approach can broaden your recruiting net, differentiate your cannabis company, and provide the ‘edge’ you need to stand out from other potential employers.
Wages, Benefits, and Culture
One of the most essential steps is to ensure that your base salary, bonus structures and benefits packages are current and comprehensive is critical to attracting talented professionals that can take your business to the next level. Cannabis companies should look for candidates who understand the importance of your company’s specific goals and demands.
Training and Engaging
Your core employee onboarding compliance training package and continuing education plan offers a foundation to build upon. Significant areas of the industry are grappling with high turnover rates, particularly among those who do not succeed in the first few months of employment. Employee training and onboarding will help stem those departures.
A safe environment is created by assessing risk and using proper equipment, policies, and procedures to reduce or stop events or situations that could happen. As a security professional in the cannabis market, you will need a solid knowledge of security systems. Understanding the cannabis marketplace and the required security is essential to running a problem-free operation.
Closing
Remember that most people who are being hired don’t have any cannabis experience, or have very limited cannabis experience, or have legacy market cannabis experience. These individuals don’t yet understand all the compliance nuances and requirements that are needed to operate in a licensed business. Sometimes it’s the soft skills, personal qualities, and cultural fit that may make a candidate a better fit for a role than someone with more regulated cannabis-specific experience. A unique approach, clearly defined roles, a wide recruiting strategy, and transferable skills are the name of the game.
Member Blog: What Is New Hire Reporting and Why Is It Critical for Cannabis Companies
Cannabis is amongst the fastest growing industries in America, and it is also one of the most inexperienced. From the individual employee to the entire organization, the lack of commercial and regulatory knowledge can be a real burden for those facing it.
As an employer, one of the most common regulations you are responsible for is the reporting of any new hires to your state, or federal, governing body. Although new hire reporting can become quite recurrent, it is also critical to your business operations.
What is New Hire Reporting?
New Hire reporting is a process by which you, as an employer, report information on newly hired and rehired employees to a designated state agency shortly after the date of hire. As an employer, you play a key role in this important program by reporting all your newly hired employees to your state.
The Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) of 1996, known as welfare reform, requires all employers to report certain information on their newly hired employees to a designated state agency.
Who is considered a newly hired employee?
The law defines a “newly hired employee” as an employee who has not previously been employed by the employer; or was previously employed by the employer but has been separated from such prior employment and rehired.
Is the reporting process difficult?
The majority of the information you submit is already collected when your employee completes a W4 form. Still, the reporting process is an additional requirement, which may possibly add time and expense to your company’s operations. To ease the process, states are working together with employers, offering them a variety of reporting methods.
New Hire reporting is one of the many services we offer at Tesseon to reduce your burden and help you to stay in compliance.
Does New Hire reporting benefit employers?
A potential benefit to employers is the reduction and prevention of fraudulent unemployment and workers’ compensation payments. Timely receipt of New Hire data allows each state to cross-match this data against its active workers’ compensation and unemployment insurance claimant files to either stop or recover erroneous payments. States have saved millions of dollars of erroneous unemployment insurance payments because of these cross-matches.
What is done with the New Hire information?
States match New Hire reports against their child support records to locate parents, establish a child support order, or enforce an existing order. In addition to matching within a state, states transmit the New Hire reports to the National Directory of New Hires.
State agencies operating employment security (unemployment insurance) and workers’ compensation programs have access to their state New Hire information to detect and prevent erroneous benefit payments.
In addition, each state can conduct matches between its own New Hire database and other state programs to prevent unlawful or erroneous receipt of public assistance, including welfare, food stamps and Medicaid payments.
How is the data safeguarded after it is submitted?
Security and privacy of New Hire data are important issues for all those involved in this nationwide program. Federal law requires all states to establish safeguards for confidential information handled by the state agency.
All state data is transmitted over secure and dedicated lines to the National Directory of New Hire (NDNH). Federal law also requires that the Secretary of Health and Human Services (HHS) establish and implement safeguards to protect the integrity and security of information in the NDNH, and restrict access to and use of the information to authorized persons and for authorized purposes.
Where and how do companies send New Hire information?
New Hire reports should be sent to the State Directory of New Hire in the state where the employee works. Federal law identifies three methods for submitting New Hire information: first class mail, magnetic tapes, or electronically. For employer convenience, states offer additional options such as fax, email, phone, and website transmissions. Your state New Hire contact can provide you with instructions on where and how to send New Hire information.
Federal employers report New Hire data directly to the National Directory of New Hire.
What information must an employer report?
Federal law requires you to collect and report these seven data elements:
Employee’s name
Employee’s address
Social Security number
Date of hire (the date the employee first performs services for pay)
Employer’s name
Employer’s address
Federal Employer Identification number (FEIN)
Some states require additional data, please check your state’s specific reporting requirements.
Are there penalties for failing to report New Hires?
States have the option of imposing civil monetary penalties for noncompliance. Federal law mandates that if a state chooses to impose a penalty on employers for failure to report, the fine may not exceed $25 per newly hired employee. If there is a conspiracy between the employer and employee not to report, that penalty may not exceed $500 per newly hired employee. States may also impose non-monetary civil penalties under state law for noncompliance.
Is New Hire reporting required for independent contractors?
Some states do require the reporting of independent contractors. However, federal law does not require it. Contact the person identified on the State New Hire Reporting Contacts and Program Information matrix for state-specific requirements.
How soon must I submit a report after hiring someone?
Federal law mandates that New Hires be reported within 20 days of the date of hire. However, states are given the option of establishing reporting time frames that may be shorter than 20 days. You must adhere to the reporting time frame of the state to which you report. Be sure to check with your state New Hire contact to learn your state’s requirements.
What form is used to send New Hire reports?
Reports must be made either on a copy of the W4 form or, at your option, an equivalent form developed by you. Some states have developed an alternate form for reporting, but its use is optional.
Options for multistate employers to report new hires?
If you are a multistate employer, you have two reporting options:
Report newly hired employees to the states where they work, or
Select one state where your employees work and report all your new hires to the selected state.
If you choose to report all new employees to one state (option B), you must:
Register with HHS as a multistate employer
Designate the state that you will report
Submit your new hires electronically or by magnetic tape to the state you have chosen, no more than twice a month (12 to 16 days apart)
There are two ways to register as a multistate employer, either online or by downloading and filling out the designated paper form (PDF).
Once you complete the registration as a multistate employer, report employees to the state that you have chosen.
Need advice for your business?
At Tesseon we understand that your organization may need help getting things done. That is why we offer stand-alone services for areas that can be a challenge to any business. With our in-house expertise and award-winning support we can help you handle any business challenge that comes your way.
Member Blog: Building Trust for Your Brand in a Distrustful World
by Gary Paulin, VP of Sales and Client Services at Lightning Labels
“Trust,” “like,” and “respect” are three time-tested criteria for deciding everything from friendships to business relationships. Despite all the trendy buzzwords and expensive technology-driven “customer service” programs that purport to increase sales revenues, most buying decisions revolve around trusting, liking, and respecting the company.
It’s that basic. And that human. Too many companies are trying to supplement—or even supplant—the value of human interaction with the latest shiny technology tools. People still matter, in some ways more than ever before in an increasingly impersonal world. Many consumers crave top-notch customer experiences shaped by people doing right by the customer in every way possible.
Key to success is achieving a balance between human and technology interaction where the two support each other. While technology can be a valuable support system in the relationship-building process, it isn’t the solution in and of itself.
For example, technology that automates perfunctory pieces of the customer journey can free up more human resources for personal interactions. One primary example is a call center where much of the intake process is automated, getting more people more quickly into the queue to talk to someone. (In smaller companies, this truly can mean the difference between employees filling much of their time with routine, non-interactive tasks and actually talking with consumers—where human participation is most valuable.)
Technology itself drives—or drives away—trust, likeability, and respect
A report released by Ernst & Young (EY) notes that the technology itself adds to or detracts from customer engagement. In part, it noted: “This isn’t just a question of choosing the right technologies…It’s crucial that digital innovation protects and nurtures the relationship with the consumer. Three things matter here: trust, respect and value. Can people trust you to use technology responsibly and safely? Do they feel you are using technology to help them, or to take advantage of them? Is the value they get from an innovation fair, considering how much your business benefits?”
The EY report continues, “Consumers remain wary about the impact of new technologies…They can become highly reliant on a tool, while also worrying about its risks to their mental and financial wellbeing. For example, people take the constant connectivity of their mobile devices for granted, yet they increasingly want to turn off alerts and reminders because they find that persistent connectivity overwhelming.”
What are key takeaways for cannabis industry purveyors?
Assess what you’re doing well and not so well in the trust, like, and respect categories. If you receive substantial reviews through credible non-curated platforms such as Google, see what people are saying about customer service, product quality, technology interactions, et al. Ask questions when customers are on-site or on the phone to help assess what they feel is working well and what needs improvement. Get them live and in the moment for more authentic information. If you must follow the online survey trend, use responses as part of the total picture. Make sure it doesn’t take respondents too much time, and ask thoughtful, probing questions that address the areas of trust, likeability, and respect.
Synthesize reviews, discussions, and survey results to chart a course for better outcomes. Companies can be too linear. For example, they examine only survey results and base future enhancements on those findings. Get input from multiple sources, then synthesize findings and feedback to chart a course for improvement. It’s not unlike the job of a good reporter. One source provides information. Then, the reporter attempts to verify with at least a couple other reliable sources before coming to conclusions. This is a case where being a good reporter will lead to better outcomes.
It’s way past time to address the tried-and-true cornerstones of how best to build and maintain solid relationships. And understand that enduring solutions come from multiple sources, with technology playing an appropriate support—not be-all, end-all—role.
Video: NCIA Today – Thursday, April 20, 2023
It’s the 4/20 Cannabis Industry Update!
Join NCIA Director of Communication Bethany Moore for an update on what’s going on with NCIA and our members.
NCIA Today – Thursday, April 6, 2023
Join NCIA Director of Communication Bethany Moore for an update on what’s going on with NCIA and our members. This week we discuss 13 women scientists you NEED to know, our recent podcast check-ins with members of the New York State Office of Cannabis Management, discuss a recent letter NCIA sent to the Congressional Banking and Finance Committees, and look forward to the remainder of our city events coast-to-coast leading up to Lobby Days in May.
Video: NCIA Today – Friday, March 10, 2023
NCIA Director of Communications Bethany Moore checks in with what’s going on across the country with the National Cannabis Industry Association’s membership, board, allies, and staff.
Video: NCIA Today – Thursday, December 15, 2022
It’s the final episode of NCIA Today for the year 2022! NCIA Director of Communications Bethany Moore checks in with what’s going on across the country with the National Cannabis Industry Association’s membership, board, allies, and staff. Join us every other Thursday on Facebook for NCIA Today Live.
Video: NCIA Today – Thursday, January 27, 2022
NCIA Deputy Director of Communications Bethany Moore checks in with what’s going on across the country with the National Cannabis Industry Association’s membership, board, allies, and staff. Join us every other Thursday on Facebook for NCIA Today Live.
Video Newsletter: We’re going to D.C. in May, and so should you…
One of our most impactful events of the year is just two months away, and NCIA wants you to be there with us in Washington, D.C.
In this month’s video newsletter, hear from NCIA executive director Aaron Smith, as well as NCIA members Steve DeAngelo of Harborside Health Center, Jaime Lewis of Mountain Medicine, Brian Caldwell of Triple C Collective, and Ean Seeb of Denver Relief, as they share their stories about joining NCIA on Capitol Hill for our annual Cannabis Industry Lobby Days.
Register today for NCIA’s 6th Annual Cannabis Industry Lobby Days, May 12-13.
To make the most out of the Lobby Days experience, register early so that we can begin the process of setting up meetings for you on the Hill. Members who register before April 30th will be entered to win admission and travel expenses for two at NCIA’s Cannabis Business Summit & Expo, including airfare and lodging.
Video Newsletter: Member Spotlight on Cresco Labs from Chicago
This month, NCIA’s video newsletter introduces you to one of our members based in Chicago.
Cresco Labs is a medical cannabis company licensed to develop and operate medical cannabis cultivation centers in Illinois.
James Beard Award-winning chef Mindy Segal recently joined the team to head up the edible product line at Cresco Labs. Meet Mindy, as well as Cresco CEO and founder Charles Bachtell, as they share a bit about their company partnership and how they got involved in the National Cannabis Industry Association.
You can meet the Cresco Labs team and more than 3,000 other cannabis industry leaders at the 2016 Cannabis Business Summit in Oakland, CA, June 20-22. Get your tickets today!
Want your voice heard in our nation’s capitol on issues affecting the cannabis industry? Join us for our 6th Annual NCIA Member Lobby Days in Washington, D.C., on May 12 & 13, 2016.
Video Newsletter: 5 Years of Advocacy, Education, and Community
Even if you couldn’t attend NCIA’s 5th Anniversary Banquet held in Las Vegas on November 11th, you can still reflect on five years of industry advocacy, education, and community with a few of our founding members in this video presentation.
We are proud of the nearly 1,000 member-businesses that have come together as the unified voice of the cannabis industry.
Not yet a member of NCIA? It’s never too late to get involved in paving a prosperous future for the cannabis industry — join today!
Special Thanks to: Christie Lunsford, Jay and Diane Czarkowski, Brian Vicente, Ean Seeb, Erich Pearson, Étienne Fontán, Julianna Carella, Jill Lamoureux, Rob Kampia, and Steve DeAngelo.
Video Newsletter: Meet Your NCIA Team!
In this month’s edition of NCIA’s video newsletter, meet the entire NCIA team working on your behalf.
(Bonus: canine mascots!)
Not sure you’ll be making it to Vegas just yet? You can still support NCIA’s fifth anniversary by making a generous contribution to our annual fundraising drive today! All proceeds support our work defending the cannabis industry in Washington, D.C.
VIDEO: What do members have to say about NCIA?
NCIA co-founder Aaron Smith invites you to hear from a few of our members about why NCIA’s work is important to their businesses. Watch testimonials provided by Khadijah Adams of Marijuana Investments & Private Retreats, AC Braddock of Eden Labs, Ralph Morgan of O.penVAPE, and Tae Darnell of SURNA.
We appreciate the nearly 1,000 members that make up our network of responsible cannabis businesses.
NCIA Member Profile: Canuvo Medical Cannabis Dispensary
NCIA recently had an opportunity to speak with Glenn Peterson, co-founder of Canuvo, a state-licensed medical cannabis dispensary in York County, Maine. Canuvo offers naturally grown medical cannabis in a wide selection of strains, private discreet consultations with trained staff, public workshops, and education.
Cannabis Industry Sector:
Medical Cannabis Provider
NCIA Member Since:
2013
How do you uniquely serve the cannabis industry?
I am a patient, former caregiver, and possibly the last regular person to obtain a contested state license in a highly regulated state and finance the project entirely myself. I have done every job in cultivation, manufacturing, and dispensing until I could replace myself with the best staff possible, which gives me a unique understanding of my business and this industry. I am also blessed to have my wife, sister, and daughter work by my side and watch my back at Canuvo. As a vertically integrated state, we cultivate & manufacture everything we sell. In addition to our 80-strain library, we offer concentrates, edibles, lotion, salves, capsules, and oils. We love coming up with new delivery systems!
I have been the President of the Maine Association of Dispensary Operators (MeADO) since its inception in 2012. Each year MeADO has passed multiple bills into law, both on their own and in collaboration with other stake holders. As the President of MeADO I have an active presence in our statehouse lobbying for patients and dispensaries. Personally I attend as many regional and national NCIA events as possible including Lobby Days in DC.
Why should patients looking for medical cannabis services go to Canuvo?
Selection: We have a large strain library of over 80 strains and growing, 15 to 24 of which are available each day. With so many different patient preferences, goals, and needs, it is important to us to offer an expansive, constantly rotating menu.
Education: The industry is expanding and there is always information to share regardless of how seasoned the patient is. In addition to a wide selection of dosing options, we have a loaning library and the opportunity for patients to have a one-on-one consultation. This way we can get to know our patients as individuals, offer guidance, and help them understand why and how their medication works.
Privacy: We are located in a former doctor’s office and are fortunate enough to dispense out of multiple examining rooms. This allows the patient to discuss their medical goals and concerns without being overheard.
What is the medical marijuana community like in Maine? Where do you see it going?
Maine has had a medical cannabis program since 1999. It allowed patients to grow for themselves or have a caregiver (who is limited to 5 patients) grow for you. In 2010 the dispensary model was added to increase patients’ access to safe, inspected medical cannabis. Our edibles are produced in a state-licensed kitchen, our cannabis is grown without pesticides, and we keep normal business hours. The dispensaries added a level of professionalism previously lacking in the industry.
I anticipate legislation and referendum efforts for adult use in Maine shortly. I believe all adults should have access for personal use in addition to medicinal. Though most adults can benefit, I hope to exempt qualified medical patients from the sales tax, excise tax, and driving under the influence provisions. There is no lack of cannabis in Maine. There is no need for the steep ‘sin tax‘ in Maine like Colorado and Washington to entice support. It only serves to drive the consumer to the unregulated, non-taxpaying black market. Though our program in the state of Maine is small compared to other states (only 8 licensed dispensaries), our state’s cannabis program scored #1 in the country last month by Americans For Safe Access as based on a criteria of 40 considerations.
Why did you get involved in NCIA?
Glenn Peterson, Canuvo Co-Founder
We learned of NCIA while consulting with Kayvan Khalatbari from Denver Relief Consulting. It made sense for us to join so we could meet and learn from other members, contribute to the effort, and keep our fingers on the pulse of the industry. The member contacts have been invaluable. NCIA is the spear point for the cannabis industry and efforts to bring forth meaningful needed change to our industry.
If you are a member of NCIA and would like to contribute to the NCIA blog, please contact Development Officer Bethany Moore by emailing bethany@thecannabisindustry.org.
Washington State Opens Legal Adult-Use Sales
Washington became the second state to begin legal adult-use sales of cannabis when five state-licensed retail stores opened their doors on July 8. Although opening day was somewhat subdued by the small number of licensed stores and concerns about temporarily tight inventories, the mood was nonetheless celebratory and sales were brisk. According to Washington’s Liquor Control Board, which oversees I-502 cannabis regulation, approximately $1.27 million in adult-use cannabis purchases took place in the first ten days of legal sales.
The overall impact of Washington’s adult-use legalization program will take some time to assess, as the state is rolling out retail licenses slowly. (As of July 21, only 24 of the eventual 334 available retail licenses had been issued.) Cultivation and infused-product licenses have also been slow in coming, which has made it impossible for the state’s cannabis producers to fully supply I-502 demand in the opening weeks. Retail operations have experienced shortages and temporary outages.
Questions also still remain about the future of Washington’s medical marijuana industry, which has operated legally (though without a state-level regulatory program) for more than a decade.
Still, despite the questions and challenges Washington’s market will face in the coming weeks and months, the opening of legal adult-use sales marks another hugely historic step toward the end of marijuana prohibition and the growth of a legitimate, successful, and beneficial cannabis industry.
Cannabis Carnival: Industry. Reform. Community.
By Brian Gilbert, NCIA events coordinator
The National Cannabis Industry Association branched out into the world of live music production this past month with “Cannabis Carnival,” presented by NCIA and O.penVAPE at Cervantes’ Masterpiece Ballroom in conjunction with the inaugural Cannabis Business Summit in Denver. A multi-sensory concert and fundraising experience, it was a night that certainly won’t be forgotten soon. NCIA brought together more than 750 people to celebrate the work of cannabis policy reform and the establishment of a legitimate, responsible industry to help fuel the continued fight toward the end of marijuana prohibition. The event buzzed with cannabusiness leaders from around the country, along with local live music fans and cannabis enthusiasts alike.
The musical acts for the evening matched the diversity of the cannabis community as a whole, featuring rock, funk, electronica, and even a percussion-centered, psychedelic electronic marching band. (Hey, why not?) Denver-area musicians were spotlighted throughout the event, with Bear Antler starting the night with their Colorado-flavored brand of unapologetic rock & roll, the premier drug policy reform producer Erothyme laying down gracious melodies, and local favorites SunSquabi carrying the groove late into the night with their high-energy, dance-inducing set featuring flow performances from Surka Noelle.
The highlight for many attendees was the undeniably engaging, objectively terrifying, and supremely entertaining madness that is The Itchy-O Marching Band. Featuring a large drum corps, accompanied by guitars, synthesizers, inventive electronic noisemakers, and a dancing Chinese dragon, Itchy-O’s black-masked performers put on a memorable spectacle.
Austin-based duo The Nadis Warriors, who have been taking the live electronic music world by storm, closed out the evening with a driving electronica-filled headlining slot, accompanied by special guest drummer Allen Aucoin of trance-fusion pioneers The Disco Biscuits. Their special set also featured aerial silk performances from the talented Ariana Airyfairy, topping off a dramatic and celebratory night.
Keeping in the carnival theme, our generous sponsors were able to gain some serious brand exposure while offering attendees fun, cannabis-themed activities to occupy their time. With promotional booths from Good Chemistry & The Farm offering giveaways & prizes, the Cannabis Camera “Bud Booth” sponsored by Surna Inc. snapping away in the VIP area, and the always popular O.penVAPE Bus holding down the sidewalk party out front all night, there were plenty of things for cannabis carnival-goers to engage in. For our VIP guests, Three Tomatoes Catering even came through with a delicious buffet spread.
In addition to our sponsor offerings, a number of local artists joined us to showcase their live painting skills in our “Visionary Arts Gallery”. Designed to inspire and uplift those in attendance and harness their collective energy for positive change, the gallery featured work from Chance Roberts, Molly Gardner,Adam Psybe, and Stephen Kruse. We were honored to have such talented artists join us for this event and hope this trend of combining art, performance, music and reform continues.
The response to NCIA’s first-ever concert event was exciting. In one night we were able to bring together the cannabis industry, the drug policy reform movement, and the live music community to achieve something greater than the sum of its parts. The power of the emerging cannabis industry can amplify the reform movement’s message of a responsible, sensible, and conscious society. With your help we can achieve that goal, so don’t think this is the last you’ve heard from these cannabis carnies! Plans are in the works to spread this event across the country, and we can’t wait to tell you more as things develop.
Thank you again to all our Cannabis Carnival attendees! You can relive the magic with a full photo album from the event here: http://on.fb.me/1m1eF5v
And a final, huge thanks to all our generous sponsors for making this event possible. We couldn’t have done it without you!
Special thanks as well to Kat Rutt Design for her great work on the Carnival poster and promotional materials!
D.C. Update: Victories in House Show Momentum for Cannabis Legislation
As Washington State celebrates its first retail sales of marijuana, and one state after another continues lowering the burdens to accessing medicinal marijuana, across the country in the “other” Washington (D.C.), Congress continues to lag public opinion polls and is slow to embrace the marijuana movement sweeping the nation.
But even as stand-alone legislation to address issues like banking access and unfair taxation has remained bottled up in Congressional committees, two recent victories show that positive momentum is gathering and progress is being achieved.
Every year Congress appropriates funds for the government to operate in the upcoming fiscal year. This is usually accomplished in 13 separate appropriations bills, each of which affects different departments. Each appropriations bill has to pass the House and Senate before it’s signed by the President, and in some years Congress consolidates multiple appropriations bills into one large bill. Gridlock and partisanship have gotten so bad in recent years that the “normal” budget process has not worked and government has been shut down. But this year, the appropriations process has presented an opportunity to offer amendments affecting the marijuana movement.
The specific appropriations legislation funding the Department of Justice was debated on May 30 in the House of Representatives, and Congressmen Dana Rohrabacher (R-CA) and Sam Farr (D-CA) introduced an amendment that would forbid the Department of Justice from using federal funds to interfere with medical marijuana patients or caregivers who are compliant with state and local laws. A similar amendment has been proposed in Congress before but never met with success. This time, the amendment was approved by a 219-189 vote, including the support of 49 Republicans.
Although there are still several challenges to surmount before the amendment’s language can become law, the vote was nonetheless historic as the first time in history the House of Representatives passed pro-marijuana legislation and agreed that individual states should be allowed to determine its own marijuana laws.
In the Senate, a bipartisan amendment introduced by Senators Rand Paul (R-KY) and Cory Booker (D-NJ) would accomplish the same goals as the Rohrabacher-Farr amendment, but Republican and Democrat Senators can’t even agree on debate procedures, so the legislation languishes and we continue to wait until Senate leaders bring appropriations bills up for a vote.
This month, the House debated the Financial Services Appropriations bill, which funds the Department of the Treasury. During that debate, Representatives Denny Heck (D-WA), Ed Perlmutter (D-CO), Dana Rohrabacher (R-CA), and Barbara Lee (D-CA) offered an amendment that would forbid the use of federal funds to penalize financial institutions for serving cannabis businesses that are operating in compliance with state and local laws. In a vote that sent a strong message of support for opening up banking access to the legal industry, the House passed the amendment 231-192.
That amendment faces the same challenges of a gridlocked Senate that the Rohrabacher-Farr amendment does. But the combination of these two votes in the Republican-controlled House shows that the work of NCIA and our allied organizations to educate federal legislators about our issues is having a very real impact.
This site uses cookies. By using this site or closing this notice, you agree to the use of cookies and our privacy policy.
Austin-based duo 
