How Can My MMJ Business Prepare for the MMRSA Laws?

While California’s MMJ industry awaits the upcoming MMRSA regulatory system, business owners should utilize this pre-implementation period to anticipate and prepare for changes their businesses will inevitably have to make. Every currently-operating MMJ business will have to adjust, and compliance under the laws may require nothing short of a complete business overhaul. Failing to anticipate what your business must do could result in a myriad of problems that jeopardize your income – or even your entire business.

Under the laws, current MMJ business owners are allotted a time extension on necessary business adjustments. However, early preparation and recognition of the changes your business will have to make gives you several advantages:

First, you’ll not only know in advance what compliance will cost your business – you’ll also have longer to determine the best way for your MMJ business to fund it. From owners wishing to expand their businesses in the next few years to those just simply wanting to maintain reliable projections and budgets, an early understanding of what the MMRSA laws mean to your business may be key to meeting your goals and help you avoid disastrous financial pitfalls.

Second, taking steps now conveniently safeguards your peace of mind in knowing that your business’s application for a MMRSA license won’t be denied. The state’s grant of priority license application for businesses in operation prior to January 1, 2016, is contingent upon the MMJ business being in “good standing” with both the state and its locality. Reviewing your business now for future necessary changes allows you to ensure your current operations are fully compliant as well. As the list of MMRSA license applicants is sure to be long, you don’t want to discover red flags that are grounds for priority application denial at the last minute, moving you back in the line. Similarly, if you wish to start an MMJ business (or began operating your MMJ business after January 1, 2016), early preparation affords you an opportunity to invest your money wisely by avoiding implementations that will soon be unacceptable. Every new business owner knows that start-up capital can go fast – make sure you’re using yours on procedures that will ensure you receive licensing and protect you for several years.

Third, early professional assistance in making sure your MMJ business is compliant ensures that you did not overlook any aspects of the necessary changes. These could be matters relating to legal compliance, or they could be simple operational factors that affect how smoothly your MMJ business runs while transitioning. For example, some businesses may have to relocate to maintain compliance, as new laws regarding water use, landscaping, and waste will make previously-acceptable locations illegal. Dispensaries that use delivery drivers must ensure both the drivers and recipients possess certain paperwork; preparing your customers can help you avoid hiccups in day-to-day operations, giving you an edge on unprepared MMJ entities. Given the overwhelming nature of the MMRSA laws, the consequences of “not knowing what you don’t know” will likely prove disastrous for many businesses. Professional experts with experience in compliance can point out requirements you’ve overlooked.

Finally, early preparation may actually increase your business’s income and help its reputation. Given that all MMJ businesses must eventually make these changes, those who are proactive in getting a head start enjoy advantages such as:

• Knowing that their decisions are well-contemplated.
• Opportunities to merge compliance projects with positive aesthetic changes to the MMJ business, giving it a newer look and unique feel.
• Ensuring that clients and customers are informed – particularly if changes require temporary business closures or order delays.
• A reputation as a business that cares about its employees, as the ability to give advanced notice regarding changes, new training, or temporary closures shows they are valued.
• A reputation as a business that is reliable, professional, and completely legal under CA law.

In short, there is no better time than now to begin preparing your MMJ business for the changes to come, and professional assistance is highly recommended. Doing so will not only afford you time to contemplate the best strategies for your business’s transition, along with how to fund it – it will also provide you with the confidence of knowing that your MMJ business is prepared to operate both successfully and compliantly under the new laws for years to come.