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What type of Marijuana Business do you have?

Marijuana Business Types

Dispensary

A dispensary (also known as Collectives, Medical Marijuana Centers, Retail Marijuana
Stores, Marijuana Treatment Centers and a bevy of other names) are storefront retail
locations where patients or customers go to acquire marijuana in raw (grams or ounces of
dried buds) or infused product (edibles/ingestibles, oils, dabs, lotions, etc) forms.
Of all the businesses to start in the marijuana industry, these are usually the hardest to
open, most expensive, mostly heavily regulated/scrutinized, most competitive for both
licensing and for customers, but also the most lucrative.
Cultivation
A cultivation business (also known as a legal grow, cultivation facility, grow house and a
lot of other names) is one where the business will grow marijuana and then provide it to
dispensaries, delivery services and infused product manufacturers.
These are the second hardest businesses to start due to the same factors that a
dispensary will face.
Delivery Service
A delivery service is a service that delivers marijuana and infused products to the
customer’s via a courier service-type model. This model requires you to house the
product at a central location and deliver it to customers within driving distance of the
central location.
A mistake a lot of potential business owners make is they think this means they can
deliver product via the mail. This is not true and highly illegal. Every state with marijuana
regulations specifically prohibits mailing product to customers/patients.

The reasons for this are:

    1. There’s no way to track who the product is actually going to – which is a large
      concern for states – especially when product can easily reach minors this way.
    2. Mailing services (Fedex, UPS and USPS) have to follow federal guidelines and
      cannot be trafficking illegal or banned products interstate or across state lines.
      Infused Product Manufacturer

usually not at the same facility. There’s a few different types of infused products that a
business can manufacture, normally, an infused product manufacturer will specialize in
one of these areas:

Extractions/Concentrates

The science of cannabis concentrate extraction functions on the solubility of the
cannabinoids and other active ingredients of the cannabis plant. Most
cannabinoids are not water soluble, so to extract them properly the cannabinoids
must be dissolved in a solvent. In cannabis extraction, solvents are the chemicals
used to remove the cannabinoids from the cannabis plant. Butane, hexane,
isopropyl alcohol and ethanol are all solvents that are commonly used in cannabis
concentrate extraction. When cannabis flowers are submerged in these solvents,
the cannabinoids, terpenes and other active ingredients are dissolved into the
liquid solvent. The remaining solid plant matter is filtered out and the liquid solvent
and cannabinoid mixture is purged to remove all solvents, leaving only
cannabinoids and other active compounds of the cannabis plant. Incredible
scientific precision is required to properly remove all trace solvents from a
cannabis concentrate. Any residual solvents can be harmful to patients, which is
why CannLabs offers residual solvent testing to dispensaries and manufacturers
who are concerned with the safety of their cannabis concentrates. Different
extraction methods are used to create cannabis concentrates, all with varying
degrees of effectiveness. The yield of a preparation of cannabis concentrates,
the potency of the concentrates and their overall safety are all determined by the
quality of an extract artist’s method.

Edibles

Foods created using various types of extractions of the marijuana plant.
Commonly: brownies, suckers, drinks and other foods.
Testing Facility
These are essential scientific labs where manufacturers of processed marijuana and
infused manufacturers have to send their product(s) to be tested for potency and
pesticides and other contaminants
Unless you’ve got a scientific background and/or lab experience, you’re going to have an
extremely difficult time starting one of these businesses because they’re expensive and
highly regulated.

Testing Facility

These are essential scientific labs where manufacturers of processed marijuana and
infused manufacturers have to send their product(s) to be tested for potency and
pesticides and other contaminants
Unless you’ve got a scientific background and/or lab experience, you’re going to have an
extremely difficult time starting one of these businesses because they’re expensive and
highly regulated.