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The Best Way to Manage Your Cannabis Business

Look to Proven Industry Experts

The global market for cannabis is stronger than ever. In fact, it is projected to grow to $148.9 billion by 2031. As the market grows, new challenges arise for business owners in the industry. Managing those challenges properly is crucial, no matter which sector you’re in or how far along your business is.

Pay Attention to Labels

The labeling of cannabis products is one of the most overlooked challenges facing cannabis retailers today. However, industry expert Patrick McManamon, owner of Cannasure, an insurance provider for cannabis business owners, advises clients on this issue regularly.

“The mislabeling of products has continued to be a problem in the industry. The professional advice provided by ‘budtenders’ should be managed closely, as some states like Michigan are expanding their consumer protection laws,” said McManamon in an interview with Advisors Magazine.

In addtion, two cannabis consumers recently sued a California cannabis company because they were selling products that contained a lower percentage of THC than they advertised. On top of that, multistate cannabis operator Curaleaf just paid out $100,000 over mislabeled products.

Cannasure is a member of professional associations within the cannabis industry – such as NCIA, USCC, CCIA and others – which helps to keep the firm up-to-date on the latest industry news and inform their clients on issues such as mislabeling among others.

Labels Aren’t the Only Thing Being Overlooked by Cannabis Business Owners

Each sector in the cannabis industry has unique challenges. Retailers are managing the challenge of mislabeling. Cultivation and processing operations must handle equipment and ensure their facilities are up to par. Edible manufacturers have specific guidelines they must adhere to. But one thing is universal in the cannabis industry: the failure to properly manage the challenges presented within the industry.

“Every business has the opportunity for growth but when operators are hands-on and in the day-to-day operations for their company it is difficult to see things from a different lens. Bringing in experienced outsiders with networks and new technology can be a game-changer for any operation,” said Cory Waggoner, the founder and CEO of Higher Yields Consulting, a Denver-based cannabis consulting firm.

Waggoner has been working in the cannabis industry since 2009 and has run his own consulting company since 2015. Under his leadership, Higher Yields has done work all over the US and internationally earning the reputation as a go-to consulting resource in the cannabis industry.

Whether you are a startup company looking to make its mark in the cannabis industry or an established cannabis brand, the failure to properly manage challenges can cause major setbacks. Curaleaf has been around for years and has business all over the country, yet they have been paying for their mislabeling mistake. Mislabeling might have been something business owners could get away with in the industry a few years ago, but times are changing.

“Businesses will have to shift their thinking because what worked 5-10 years ago isn’t going to work in 2023,” Waggoner explained.

Many entrepreneurs come into the cannabis industry with big aspirations and set huge goals for themselves once they start their business, however, ambition must be paired with research, knowledge, and strategy – something that industry experts can provide to help owners build a productive and profitable cannabis business.

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