As you can probably imagine, the best businesses don’t succeed by chance. Instead, more often than not, the entrepreneurs who come out on top are those who possess the insight to craft stellar business plans, and the talent to execute them with precision.
The Importance of Business Plans
With countless enterprises currently clamoring for licenses and investments, competition in cannabis industry is off the charts. The first step in setting your organization apart from the pack is presenting a strong business plan to investors and local governing bodies.
Doing so is the best way to demonstrate to these gatekeepers that your organization is deserving of these necessary endowments by being best fit to provide retail cannabis sales to the public.
Furthermore, although the stigma around the cannabis industry is slowly dissipating, there are still those who hold their own prejudices based on old stereotypes. For that reason, it’s all the more imperative that your organization has a plan to prove to investors, real estate agencies, and other entities that you are professional, resourceful, and capable of success.
What Are the Components of a Business Plan?
Although the structure of business plans is malleable depending on your goals, there are six main sections that all cannabis dispensaries should include:
- Executive Summary
- A comprehensive overview off all key details and topics covered in the plan
- Mission, vision, and goal
- Current pitfalls in the market
- Products and services
- Project Scope and Objectives
- Management team
- Marketing plan
- Sales plan
- Location & facilities
- Launching strategy
- Sales forecast
- Market Overview
- Target market
- State laws
- Competitive advantage
- Value proposition
- Financial Plan
- Profit and loss forecast
- Cash flow statement
- Balance Sheet
- Legal Compliance
- Address all the laws your organization is subject to
- Plan to remain legally compliant with all regulations
Specifics Steps For Your Dispensary
Since these reports are typically quite long and densely packed with technical information, it’s often useful to hire an experienced business plan writer or grant writer to help you lay everything out in a concise, easy to understand format.
However, if you prefer to do it yourself, services like LivePlan provide templates to guide you through the business plan creation process with ease.
When doing market research, pay particular attention to what sets your brand apart from the existing competition. Are your products and services more efficient, ethical, convenient, or better in any other way than what’s already out there? If so, identifying these key ways that you add value to the marketplace can be the foundation on which your business plan is based. The rest will all be about how you will leverage this competitive advantage through maximizing your resources at hand.
Positive Outcomes of Having a Clear Business Plan
Although a lot of time and effort are necessary in crafting the perfect plan, the hard work is more than worth it. Entrepreneurs with a business plan are twice as likely to grow their business and secure funding than those without one. Furthermore, possessing such a document will make securing state licensing far easier. All in all, taking the time to write such a plan will give your dispensary the proper organization and direction necessary to successfully navigate the competition currently present in the cannabis industry, and help you to rise above the rest.