How to Start a Marijuana Business in Santa Monica ?

You can now legally have marijuana delivery service Santa Monica ,  for either medicinal or recreational reasons. Few want to or are able to grow their own, though. There is a huge demand for marijuana businesses in the city, and the law will soon allow for retail stores, cultivators, manufacturers, distributors, and even testing facilities.

Although laws are still under negotiation, cities must start to issue licenses and regulate cannabis businesses by January 1, 2018. If you are interested in starting a marijuana business, then laws are already in place, albeit subject to change. Here is what you need to know:

1. Prepare Your Marijuana Business
2. Make It Non-Profit
3. Comply with Collectives Regulations
4. Register Your Cannabis Business
5. Adhere to Changing Regulations

1. Prepare Your Marijuana Business

Currently, regulations change daily. Understand the laws applicable to your marijuana business in Santa Monica. Discuss your ideas with lawyers, investors and financiers. They may want to fund your project. Write a business plan, prepare every detail of it, and present it to potential interests.

2. Make It Non-Profit

Marijuana in Santa Monica can only be a non-profit business. Under current regulations, it is illegal to make profits off cannabis sales, as it is for legitimate patients. Any revenues must go toward distribution and cultivation, but you may not pocket money for yourself just yet.

3. Comply with Collectives Regulations

Under the California Safety and Health Code, cannabis distributors may only associate with collectives supplying actual patients. You will need to join a collective if you wish to cultivate cannabis or operate a marijuana delivery service. Non-compliance has legal consequences.

4. Register Your Cannabis Business

To benefit medical patients, set your business sup as a non-profit organization and register it under the Corporations or Food and Agricultural Code. You will need the correct forms for your business and pay tax for it accordingly. Even though it is non-profit, cannabis sales are still subject to tax.

This means that you need a permit to sell. It also requires you to apply for a zoning permit or business license. To have a cannabis business in Santa Monica, you must be able to prove that you are distributing solely to medical patients and nobody else.

Every patient must fill out a form clarifying his or her need for cannabis, and their caregivers must have Marijuana Cards or you may not serve them. All employees must also sign contracts stating that they understand and only sell to legitimate patients.

Additionally, any growers that supply you must be members of the same collective. They are also subject to strict regulations the collective must enforce. Failure to do so will be breaking the law, as purchasing outside of the collective does not comply with state regulations.

5. Adhere to Changing Regulations

Keeping abreast of changing regulations is the most important aspect of starting a marijuana delivery service in Santa Monica, or any other type of cannabis business. The industry is growing, and as a result, regulatory efforts are ongoing. As issues arise, new laws will deal with them. Stay within regulations.

Regardless of whether you wish to open a marijuana delivery service in Santa Monica or another type of weed business, understand that the industry is evolving and you need to keep up with it. Do not fall foul of the law or you will lose your license and legal status.


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