If you are interested in delivering medical cannabis, there are a number of important things you will need to know. This is not the sort of thing that you can do casually, as there are numerous laws and regulations that apply. The more information you get, the more likely you are to get through this process without any major issues.
A lot of states that have legalized medical or recreational marijuana have put regulations in place to allow for direct delivery to customers. These regulations serve to reduce congestion at dispensaries while improving the ease of doing business for both retailers and customers. However, the direct delivery of cannabis does not come without its risks. To protect both delivery personnel and consumers, legal states that allow direct delivery usually put extra measures in place. Here is a summary of the important precautions observed across legal states in America:
- The delivery process starts when the delivery personnel leaves the premises with the cannabis product and ends when the delivery employee returns to the premises.
- During the process, the delivery personnel must not engage in other activities except necessary vehicle repair, fueling, or rest. Some states do not allow drivers to fuel vehicles while on active delivery runs.
- Licensed retailers must not accept deliveries that are in excess of the amount of cannabis an individual can purchase at once, as specified by the state’s board.
- Before setting out for delivery, the delivery personnel must confirm the age and identity of the person placing the order. In most states, individuals placing orders for the first time must present themselves and submit a government-issued ID at the dispensary.
- The delivery personnel can only travel in an enclosed motor vehicle. The cannabis product must be locked in a box and must not be visible to the public.
- Delivery personnel must not leave the vehicle unattended at any time unless it’s locked and equipped with an active vehicle alarm system.
- The vehicle used for delivering cannabis products must be fitted with a dedicated GPS device. The retailer must be able to identify the position of the delivery vehicle at all times and must be ready to provide the information to the relevant authorities on request.
- The delivery personnel must not carry cannabis products above a specified amount, as set by the state’s regulatory board. In Massachusetts, for example, the specified amount is $10,000 while it’s $5,000 in California.
- The delivery personnel can only carry out deliveries for one licensed retailer at a time.
- The personnel must always travel with an inventory ledger that contains relevant details on all scheduled deliveries.
- In states like Massachusetts, delivery personnel must wear a camera, and the licensed dispensary must keep the video feed for at least 30 days.
- The delivery personnel must not deliver to prohibited locations such as College dormitories, other University Housing, federal properties, etc.
- Before delivering any cannabis product, the delivery personnel must verify that the identity of the person receiving the order matches the information provided about the customer that placed the order. The delivery personnel can only deliver to the person placing the order and not a proxy. Also, the order must be delivered at the customer’s residential address.
- The customer receiving the order must sign to confirm that the cannabis product has been delivered as ordered.
- The delivery personnel must return all undelivered cannabis products to the retailer’s inventory upon returning to the premises.
- The necessary report must be completed at the end of each driver shift and must be saved for the period specified by the states board.
It’s vital to note that some of the rules highlighted above may differ from state to state. In any case, your state’s cannabis control board has the final say on the regulations guiding cannabis deliveries. Thus, it would be best if you familiarized yourself with the set regulations to ensure you continually stay on the right side of the law.
Obtaining a Business License
The first thing that you will need to do is obtain a business license that will allow you to deliver marijuana in your state. If you are not going to operate out of a brick-and-mortar dispensary, you’ll need to obtain a non-storefront business license.
Those who want to start a dispensary with a physical storefront location will need to get a traditional retailer business license. Keep in mind that the application process can take up to several months.
If you receive your business license, you’ll have to give a copy of it to each of your drivers. This will show any authorities that they are legally allowed to deliver cannabis.
Compliance Regulations
Your cannabis delivery business will need to conform to all of the relevant regulations laid out by the state and local governments. It is crucial that you have an intimate knowledge and understanding of these regulations before getting started.
One of the more important regulations pertaining to cannabis delivery businesses is GPS tracking on all vehicles. You will need to make sure that every vehicle you use to deliver cannabis to customers can be tracked by GPS.
Failing to adhere to all these regulations can results in some very substantial fines, so you need to be in full compliance at all times. You will not be able to transport more than $3,000 of cannabis at one time in any of your vehicles.
You’ll also need to have all of your drivers meticulously record each transaction on a daily basis. The receipt that is generated for these transactions should include details for the customer and your business.
Hiring Your Staff
You will need to be very careful about who you choose to hire for your medical cannabis delivery business. It is important that you take the time to vet each potential employee by running a background check and interviewing them individually.
You want to be sure that whoever you hire is going to abide by the laws and regulations of this industry. Even just one lazy or incompetent employee can cost you a lot of money in fines if any regulations are violated.
It is also a good idea to take a close look at the driving record of each person you are thinking about hiring. You need to know that they are reliable and don’t have a long history of traffic citations and/or accidents.
Dispatching
If you want to run a successful medical marijuana delivery business, you need to have a reliable dispatcher. This person is responsible for assigning orders to drivers, so they play an essential role in keeping your business running smoothly.
You can have each of your delivery employees download an app on their smartphone that sends the dispatcher a GPS signal, so they always know their location. This will help you keep track of all your drivers at any given time.
You should take some time to look into different software options so you can find the right one for dispatching purposes. There are a variety of these apps available, but some of them are better than others.
Final Thoughts
While starting a cannabis delivery business can be quite challenging, it can also be extremely lucrative. It is imperative that you educate yourself on all of the laws and regulations of your state and municipality beforehand. This will greatly decrease the chances of experiencing any big problems later on down the line.