Running a cannabis-related business in the United States is becoming easier. In fact, as of now, it is one of the fastest growing industries in the country and is predicted to expand in 2015. However, operating a marijuana business may be a bit trickier than you would believe, especially given the differences between state and federal laws regarding the sale of cannabis.
However, there are resources available for businesses in these states, and marijuana business consulting agencies can often point them in the right direction. Here are three strategies that cannabis consultants may use to help your business:
Licensing a marijuana business isn’t easy, no matter if it’s a business for recreational cannabis or medical marijuana. These businesses are subject to strict state regulations in order to keep operating legally. In order to obtain the right cannabis business licenses, it may be necessary to work with a marijuana business consulting agency to make sure that your business complies with every letter of the law.
Once a cannabis business has gotten off the ground, the next challenge comes with marketing products. From developing a brand to figuring out the ins and outs of advertising, many of these businesses find that they need guidance in order to set themselves apart from their competition. Recreational and medical marijuana business branding consultants can help you find the right marketing strategies to create a one-of-a-kind business in a thriving industry.
Tax season has begun, but with it come some serious complications for cannabis businesses. Legally, cannabis is allowed for recreational use in four states (Alaska, Colorado, Oregon, and Washington) and for medical use in 23 states and the District of Columbia. However, all of these states impose different taxes on their cannabis products; for instance, Washington state charges a 25% tax at the producer, processor, and retail levels.
But filing federal taxes is another matter. Businesses are technically breaking federal law by selling cannabis even if the state allows it. While they risk criminal charges for distribution of this substance, they face the greater penalty of tax evasion if they don’t file at all. In addition to that, most of these businesses are not eligible for tax deductions that non-cannabis businesses would receive. Working with a marijuana business consulting firm, however, can make the tax process a little bit easier.