MJ Startup Businesses

Starting up a Marijuana Business

If you are looking to start a marijuana business, there is a lot to consider. You will want to first familiarize yourself with your state’s statutes governing the legal cultivation, manufacturing, distribution and use of medical and/or recreational marijuana. Secondly, you will want to familiarize yourself with your state’s regulatory structure and authority for regulating the same, including all rules and regulations for licensing. Next, you will want to check your local county and municipality’s rules.

Most states that have legalized cannabis in some form have a dual licensing structure, whereby the state and the local jurisdiction in which your business operates issues a license.

Next, you will want to properly protect yourself from personal liability associated with operating a business. You will generally have the option to form a partnership, limited liability partnership, or corporation. You should consult an attorney to determine which entity type is most appropriate for your business. You will then want to determine how your company will be funded or capitalized. The most common forms of funding for marijuana businesses are self-funding, debt financing and equity financing. Which form of funding you choose will be based on a number of circumstances, including your personal financial situation, what types of funding your state allows for marijuana companies, and certain restrictions your state imposes on types of funding.

Next you will begin the license application process. This can be a time and labor-intensive process, as most marijuana business applications require in-depth disclosure of personal information, including financial information, other business interests owned, a criminal history background check and fingerprinting. While someone can complete the appropriate license application on their own, it is advisable to have an attorney assist in the process and complete a final review of the license application prior to submission in order to ensure the greatest chance of success in obtaining the license. Typically, each license application will require a floor plan diagram of your facility, including location of surveillance cameras for security. You will also need to ensure full compliance with permit requirements and fire and safety codes. Once your application is completed you will submit it together with the required filing fee. If your license is granted, there may be an additional licensing fee.

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  • Background in the drug enforcement arena

    <b>Background</b> in the drug enforcement arena
  • Offering more than 10 years of experience in the mj industry

    Offering more than <b>10 years</b> of experience in the mj industry
  • Close relationships with state & local officials

    Close <b>relationships</b> with state & local officials
  • We produce results

    We <b>produce</b> results