How to Leverage Your Cannabis Business Plan for an Entrepreneur Pathway
The world is experiencing a wave of change wherein the prior negative stigma connected to cannabis use is becoming a thing of the past. Today, Cannabis is seen as a recreational & medical bandwagon offering lucrative business opportunities to the budding entrepreneurs. The entrepreneur who wants to take a path less traveled by. So, how to get a foothold in this rising industry and make it your Entrepreneur Pathway? Read on to know more… Cannabis Industry in Canada Canada was the second country after Uruguay to legalize cannabis across the country. It broke new ground of growth and by the end of 2020, the cannabis industry in Canada accounted for CA 2.6 billion. The industry witnessed 120% increase in its sales revenue in comparison to 2019. Ontario, Alberta, Quebec, and British Columbia are the prime markets that contribute 84% of the nation’s legal recreational sales. It is speculated that the cannabis industry in Canada will grow to USD 7.3 by 2025. Cannabis Business Plan In an industry where the sky seems to be the limit, a well-researched Cannabis Business Plan can do wonders. However, it is pivotal to understand that drafting a cannabis business plan is not an easy undertaking. It takes a depth of knowledge and research of the industry, identifying the market, understanding the operational ethics, scouting the competition, setting realistic milestones, structuring the management,
determining financial projections like any other business plan. However, a cannabis business asks for a focus on specific industry categories like cultivation, manufacturing, distribution, transportation, and retail as well. Challenges to Overcome A good business plan should always emphasize the strength of the cannabis business and the benefits it offers to society at large. The best way you can leverage your Entrepreneur Pathway is to write a formal cannabis business plan. It not only demonstrates professionalism but also portrays a clear picture of the business idea that customers need and want to appreciate. However, there are limitations and restrictions to be mindful about. · The regulations and legalities around the industry will keep shaping the Cannabis industry. Much like the Pharmaceutical & Healthcare industries, the Cannabis industry is also highly regulated with GMP and GPP standards to follow. · Understanding of Cannabis Business Taxes is another challenge. Canadian Federal Government has a special agreement with its territories under the name “Coordinated Cannabis Taxation Agreement”. Manitoba is exempted from this agreement. Besides this, all the provinces have additional duties on all the cannabis products as well. · Cannabis Business Banking is a major challenge as banks are apprehensive of working with Cannabis companies. Nonetheless, the ever-changing and evolving Cannabis Industry is a hot market that many giant companies want to enter and invest in. Especially in Canada, big pharmaceuticals are acquiring companies with cannabis implications. Canada has created a dedicated division in its Chamber of Commerce “The Cannabis Commerce Association of Canada” to support and boost the Cannabis businesses. Food for Thought Undoubtedly, the Cannabis industry has a huge potential for growth as well as vulnerability to constant legal changes. If you are looking to start a business in this rising industry, it is imperative to join hands with professional business plan writers and stay abreast to adapt to any change.