The cannabis industry is worth billions of dollars annually and is set to grow exponentially. The legalization level is increasing to the point where over two-thirds of states have an MMJ program at least.
On the surface, a marijuana delivery service seems like an exceptional idea. It is a convenient way for cannabis lovers to have the herb brought to their door like pizza. Delivery services are also beneficial for MMJ patients with debilitating conditions.
However, it is essential to note that not every state with MMJ or recreational cannabis laws permit delivery. Indeed, it is a lot less prevalent than you think. Are you interested in learning more about a weed delivery service and whether you should start one? Keep reading.
What Is a Cannabis Delivery Service?
It is a term relating to individuals or companies that distribute marijuana via delivery. Some organizations offer hand delivery, while others have a mail order option. You can phone a business or complete the transaction online.
Each delivery service operates under the laws of the municipality they are located in. As such, this form of business can only function in areas where state and local law permits. It is a legitimate enterprise. However, at the time of writing, weed delivery services are limited to the following locations.
MMJ Delivery Only
- Arkansas: While delivery services are legal in Arkansas, there aren’t many of them.
- Arizona: MMJ cardholders in Arizona have been able to benefit from delivery since the state started permitting sales. Residents of places such as Tucson, Phoenix, and Flagstaff, in particular, have plenty of options.
- Delaware: At present, there is a delivery option in Delaware, but it may only be temporary.
- Florida: Some Medical Marijuana Treatment Centers (MMTCs) offer a delivery service.
- Louisiana: While marijuana delivery is legal in Louisiana, the program isn’t operational at the time of writing.
- Maryland: Home deliveries are legal as long as cardholders and caregivers are registered with the state’s Medical Cannabis Commissions. Also, dispensaries have to confirm that customers are officially registered before making the delivery.
- Michigan: The state of Michigan has made provisions for MMJ deliveries. At present, it also allows recreational users to benefit, though that could be temporary.
- Missouri: There are a handful of delivery services in Missouri.
- New Jersey: Cannabis delivery is new in NJ, so finding a reliable store may prove tricky.
- New Mexico: Operating an MMJ delivery service is legal in NM.
- New York: MMJ patients have a few options at limited locations.
- Ohio: Lawmakers in Ohio have decided to permit cannabis delivery services to operate.
- Pennsylvania: This state relaxed its rules to allow weed delivery in 2020.
- Rhode Island: You can avail of a limited number of services in RI.
- Washington, D.C: Delivery services became legal in April 2020.
Please note that in some states, cannabis delivery is only allowed temporarily due to the pandemic that is ongoing at the time of writing. Check your state’s laws once the crisis has died down a little.
- California: Golden State residents are fortunate because there are hundreds of MMJ and adult-use delivery services.
- Colorado: This state recently allowed deliveries, but it is a limited program at present.
- Maine: There are numerous cannabis delivery services in Maine.
- Massachusetts: This state recently voted in favor of adult-use cannabis delivery services. However, the program isn’t yet in play.
- Oregon: Residents of this state have a lot of options.
There are several cannabis delivery service options available, as well. These include:
- On-demand delivery. Order in the same way as you would a pizza.
- Schedule delivery, which is akin to purchasing something from Amazon. It takes longer to get to your house, but you may find that it is less expensive than on-demand.
- Subscription boxes. Subscribe with a dispensary and have a predetermined package delivered on the same day each month or week.
- There are also membership clubs offering outstanding deals.
A Few Things to Note About a Weed Delivery Service
- At present, 24/7 delivery services don’t exist anywhere.
- If you live in a medical card-only state, you need to show it to the person delivering your purchase. In adult-use states, a valid ID card is sufficient.
- In most places, you can only have cannabis delivered to a residential address.
- In the majority of states, you can’t get anyone to accept the delivery on your behalf. However, in California, most places allow anyone over the age of 21 to take the package.
- As long as you use a reputable dispensary, delivery is a safe practice.
- Delivery services must adhere rigidly to state law. Therefore, they won’t let you purchase more than the legal amount.
Looking to Setup a Weed Delivery Service? Here Are a Few Things to Note
There’s no question that a cannabis delivery service is potentially very lucrative. However, prospective entrepreneurs must realize that they face stiff competition and plenty of obstacles besides. Before you try to fulfill your dreams, here is some useful information.
Obtaining a Business License & Permit
You need to apply to the requisite state authority to get your business license. When applying, you have to provide proof of approval from the local jurisdiction you’re operating in. A handful of states offer separate recreational and medical licenses.
In Colorado, for instance, applying for both types will cost you $5,000. Then you have to pay another $2,000 licensing fee. After approval, you can apply for a delivery permit. If you want a permit that will last for over six months, you need to pay another $4,000. It is $2,000 for a short-term permit. All renewals cost $2,000.
In California, you need to apply for a non-storefront retailer license. The cost varies according to your projected annual gross revenue.
Delivery Compliance Regulations
All vehicles must be equipped with a GPS tracking device. This device must remain active in the vehicle’s interior at all times. In most states, couriers are not legally permitted to carry more than $3,000 worth of cannabis products at one time.
Also, drivers have to record every single transaction. They do this by creating a delivery request receipt. It includes customer and business information.
MMJ delivery transport manifests must also include the patient’s registry number or the primary caregiver’s registry number.
When hiring drivers, it is essential to perform a background check on their record and experience. Drivers must be aged 21+. They need to carry an employer ID badge, their driver’s license, and a copy of the business license.
You need a strategic plan which will lead to incremental sales growth. Your priorities are to grow your business and ensure your customers are happy with the service. Outline your target demographic. Are you looking to sell to younger clients, or do you want to focus on MMJ cardholders or seniors?
Consider setting a firm boundary on your delivery radius. This helps you outline how realistic your projected revenue is. You also avoid wasting money on extra staff, gas, insurance, and other expenses. Delivering to faraway addresses might not be worth your while.
It would help if you also found a reliable cannabis delivery partner. A growing number of businesses use a third-party fleet. This is because managing a fleet of your own is expensive and time-consuming.
Final Thoughts on Weed Delivery Services
We are blessed to live in an age where it is possible to get premium-quality cannabis sent to our door. It doesn’t matter if the weather is terrible or if an injury is stopping you from moving. You can rely on a delivery service to bring the weed to you. The best on-demand services get it to you in under an hour.
With the growth of the cannabis market and consumer thirst for convenience, it is tempting to form a delivery business. However, it isn’t necessarily legal in every state that allows the use of MMJ or recreational weed. If you want to operate in a state like California, you will also face fierce competition.
Entering the cannabis delivery sphere requires significant financial and time investments. You need to get the right license and permit. You have to hire trustworthy staff and pay their wages. Then there are the small matters of paying for a fleet and the different forms of insurance you need. Finally, you have to pay for all the products!
If you have the cash and the energy, it is possible to create a successful weed delivery service. However, it will require an immense amount of hard work.