Basic Steps to Start-Up

Here are the steps you must follow:

1) Depending on your state, you’ll probably have to become a medical marijuana patient.

2) You’ll want to install your business structure by incorporating and setting up your business within the legal confines of your state’s and cities laws.

3) You’ll need to get your business licensed on the state, city and possibly county levels for that location. Some states, cities and counties may not require this, but it’s up to you to determine if it’s required or not. If it is, you MUST acquire those licenses.

4) Now that you’re fully licensed, you’re all setup to start delivering marijuana legally. All you’ve got to do now is run your business to the exact letter of the law, making sure your business is operating in total compliance with the laws. You’ll need to keep thorough records and have complete control over the operations of your business and verify patients and a few other procedures.

For full details on how to transform your dispensary into a delivery service consult the TWB Dispensary Guide and use the TWB 10-week course.

These Packages Include:

  • Definition and Cost – how much money will he need to start the business
  • Laws – this gives an overview of federal, state, and city/county rules and regulations for medical marijuana
  • Business Plan – details about the business and how it will be run. Required to submit with your license applications
  • Corporate Bylaws – document that safeguards owners from liability
  • Licenses – State and city and county licenses – What information to fill them out with and how and where to submit them
  • Company formation- this pertains to incorporation
  • Get Doctor’s Recommendation
  • Step by step guide on how to become a licensed patient/caregiver
  • Draft Business Plan
  • How to Open Bank Account includes step by step guide in filing EIN
  • Selling product- who are qualified to get medical marijuana
  • Operations-banking, inventory control, and hiring employees


Here are is a nice summary of information you’ll need to gather:

Business Incorporation – How to incorporate your company in your state, how to choose the best business name for your company (it matters, a lot) and how to acquire your Employer ID Number (EIN).

State and City Laws – Contact us with questions you’re likely to have on the confusing jargon for your State laws to understand it in plain and simple English exactly what you need to know and do to be in legal compliance with all the laws regarding your marijuana business.

Licensing & Permitting – In order to legally run your business, you’ll need to be licensed on the state, county and city levels. Find your City and County regulations to ensure whether you need to be licensed at those levels or not, and if your state requires you to become a registered Patient and/or Caregiver.

Business Documents – When applying for licenses & permits as well as bank, credit and all other types of business accounts, a Business Plan, Corporate Bylaws (with language absolving you of any liability should legal action be taken against you), Banking Resolutions, and other business documents may be required.

Operations Forms & Procedures – After getting licensed, you’ll need to run the operations of your business to the exact letter of the law which include forms and procedures for running your business to the letter of the law for your state. They will cover areas like: how to acquire your product, possession and sales limits, managing inventory and everything else you’ll need to know and do to be legally complaint.

Customer Forms & Procedures – How to deal with  customers from start to finish including possession limits as dictated by state laws, Collective Agreements, Customer forms and any other legally-required documents to deal with your customers and make sure you’re in total compliance.

Employee Forms & Procedures – Fully-customized documents and procedures that show you how to hire employees and volunteers, how to background check potential employees and volunteers, how to deal with payroll, employee non-disclosure agreements as well as all documents required by your state, like employee and volunteer applications. Keep in mind that one bad employee can get your business shut down. Don’t take this lightly.

Record Keeping Procedures – To run a legally complaint business, you’re going to have to keep good records for every aspect of your business. This includes everything from tracking customers, employees and inventory. Keep the best, most detailed records in case you’re ever audited.




What Is The Easiest Way To Launch?

This really depends on how much cash flow you have out the gate. It takes money to launch any business, and even more when your business is dealing with high end medication.

A commonly overlooked factor that is essential is to build enough money into your model to properly compensate your growers and vendors who come in especially if they have quality product. You can end up offering exclusivity to them and their meds and offer them a decent amount donation wise so they do not need to go to any other collective when they have fresh meds available. This is a very sound strategy especially new collectives.


Where Can Someone Go For Legal or Other Advice?

One of the best ways for you to get started in your state is by getting this guide here which will have everything you will need to go from the possibility of launching a collective to actually DOING IT. You can also do well by going through a medical marijuana business lawyer which can also be located by checking out and the many resources and links posted on that site.

No matter what you decide to do as far as business model, you will want to verify that when you do setup you are going about it 100% by the book because if you do not the feds WILL come and get you lol. It really isn’t funny however it can and does still happen even in California even with Obama saying he was going to leave them alone.

Right now most collectives in California including Harborside has been forced into the delivery business model so before you go too far verify that your city and state are still allowing new collectives the ability to launch.


As Far As Long Term Stability Which MMJ Business Model Works Best?

Right now nothing compares to setting up a delivery service where you can either meet the patient in a public area or actually deliver to their apartment, house or wherever they might be at the time. Now there are plenty of states where setting up a “storefront” style of collective is very possible however if and when the feds decide that they don’t like you, you will be the first to get served with papers along with your landlord who is renting/leasing the building to you.

With a collective you will have to make sure and have enough start up capital not only for the medication itself but also for all of your employees because no one works for free even in a non-profit business model.


Would It Be Wise To Grow Your Own Meds And Clones?

There are many pros to growing your own meds and cutting your own clones however one of the most beneficial things that you can do as a collective owner is by making sure to involve local growers and offer their medication, extracts, clones and other medical marijuana items in your collective.

The main point of the collective is for those who grow to help those who do not have the ability to donate towards their meds or other mmj related items. You being the collective should however verify the legitimacy of the clones as well as make sure that the meds they bring in are free from pesticide, mold or anything else that could cause a potential health risk for the patients who go through your collective.