Today we’re going to speak about the best way to put a cannabis business application together. The agenda for today is essentially we’re going to begin with exactly what makes a software successful and then we’re likely to break it into sections with financials, location, architects, security standard operating procedures, staffing, community benefits, labor, and lots of other things that we’re planning to tie up neatly ultimately.
Just a couple things to provide you with an idea of whatever we do here at Green Growth CPAs. Perform tax preparation and we’ve completed over 500 annual tax statements for cannabis operators spread across all verticals, so that’s dispensary distribution, cultivation, manufacturing, delivery, and testing. We have over 300 clients located in various states. We have now clients from California, Colorado, Michigan, Oregon, and Washington.
We’ve also performed spanning a dozen audit related projects during the last year and we’re expected to hit seven digits in revenues within our second full business year. Perform want you to find out that there exists a thorough and deep knowledge of tax compliance and assurance related requirements for your cannabis industry and this includes cannabis licensing. We can help you with tax preparation and planning, auditing and assurance, business plans, and anything else associated with operating a business inside the cannabis industry.
So like I said, we’re going to begin with exactly what makes a software successful. I believe what all applicants prospective and current applicants really learn along the way would be that the instructions and understanding them is about 80 percent of passing an effective application. You have to understand what the city or the state wants, the way they wanted delivered. Many of the time, you understand, the headers in the requirements may be misleading.
Like I said, you understand, they could say, oh, we must have a business plan, however when you read the requirements are what they’re asking for. It offers nothing related to your typical notion of what your own business plan actually is. So half the battle or over half of the battle is really being aware of what could they be seeking, just how do they desire me to submit this and and then submitting it. You’re going to desire to thoroughly address every portion of the application in detail. You desire to ensure that you recognize the prerequisites. Although more often than not applications do have the identical requirements. They might want specifics that other applications don’t.
As an example, let’s say Lynwood, the town of Lynwood in California. They desire a cannabis business plan that will require you to definitely demonstrate and explain your day-to-day operations, which includes cash handling practices, a small amount of security, some inventory and record keeping where versus the town of LA which may say, oh, we wish your own business plan that wants one to show financials what your company’s mission and vision is, which is pretty much what you’d expect in a strategic business plan. So simply be careful and check out the descriptions from the headers because sometimes the headers may be misleading.
Next you’re going to need to surround yourself using the right people. You need to show inside the application that you have the correct team set up to perform an effective operation. Usually they will request the owners or licensees to add a brief writeup demonstrating expertise in either the cannabis industry or related field, and when you don’t have this experience, you’re going to wish to find people who do and may include them in your team.
You’re also likely to wish to have solid financial projections and security measures to stop fraud. As you know, cannabis is really a highly regulated industry and these are the two pillars that a lot of states, if not all of those, would like you to pay attention to. You’re also going to want to vet your partners, do your due diligence. You will need to go via a background check and this background check is needed by all cities and states.
Another really important thing that you need to consider before even obtaining cannabiscultivationconsulting.com is you’re likely to want to ensure that you have enough money to develop out and operate for at least six months to some year. We get lots of inquiries from potential clients who would like to go into the cannabis industry and they’re always amazed by the amount of money actually is put into building out and operating a cannabis business before it will become profitable and also you know, there’s hardly any other way round the financials, you know, cities and states is not going to issue permits to individuals that can’t demonstrate a financial capacity to start up a business and keep it running. And second, if someone. We all do get a lot of clients which do not have expertise in the cannabis cannabis industry.
On the other hand they have expertise in business, successful business, and that is something that cities look at also because not everyone could have cannabis industry experience because it is illegal. It had been illegal on the state level and it is now legal. So that you know, if you are able to show some sort of expertise in the cannabis industry, you already know that’s a self revealing, however, if you don’t, then you will need to consider putting a group of people together that may show strengths in operation, finance, HR, that all soon add up to an organization.
As an example. We get plenty of inquiries from individuals who want to become cannabis business operators that have no training even running their own business therefore they may have some money, you understand, that they’ve inherited or or some friends, a team of friends that, hey, you understand, decide some day that, hey, we should enter into the cannabis industry and when we pool our money together, we can easily start one end and quite often they actually do have the funds for.
But the question is who definitely are the group members? And plenty of enough time, you may have to pay to outsource for these particular qualified team members. If you’re going to do get into medical cannabis, you might like to use a doctor or perhaps a pharmacist in some way, shape or form on your own staffing plan. A minimum of for that first six to 12 months. This always strengthens your odds of being issued a permit and a license simply because you know even if you have the money, you need to have the staff and also the members to trudge forward successfully in this particular industry and remain compliant because which is a really big issue…compliance. And when track and trace is fully operational and vodnsg throughout the board, compliance is going to be one of the big determinants of whether cannabis business will be successful. So if I were you, a good thing to perform is to go into your bank accounts or maybe your asset portfolios and see exactly how much money you may have, the amount of money you’re likely to need to raise, and how much money you’re going to must placed into this cannabis business. Because it’s not cheap.
You’re also planning to want to have a very solid understanding of state and native regulations. Usually, applicants will hire consultants to achieve this for them. Regulations may be tricky just because they’re very vague. There’s lots of wiggle room, so you’re going to wish to find somebody that can be either a part of your team to assist you with compliance moving forward, or you’re likely to desire to engage the services of an organization or even a consulting group that may accomplish this for you personally like us.
The final thing that you’re really gonna want to take into account prior to applying for a cannabis business licenses is wondering what will set my business apart from everybody else’s? And a lot of enough time this is accomplished through, you know, giving back to a major city, but it’s a little more about community integration, you know, flipping the concept of cannabis is bad into how cannabis can actually be useful, the actual way it can reach out and touch lives, you already know, across the board, whether it’s for patients or consumers and particularly for that community where you’re going to put together.