The cannabis insurance brokers at MFE Insurance recently released a blog post educating readers on how to open a marijuana dispensary. Opening this type of business carries several risks of which new business owners should be aware.
To open a successful marijuana dispensary, business owners should take several initial steps. The first is to build an experienced team to both operate the dispensary and handle the daily business activities and business development behind it. Next, develop a business plan that clearly outlines your goals, procedures, and other important information. Raising capital and pricing your products properly, in addition to other financial needs, should also be considered. You can then select your ideal location and target market, building the dispensary layout and branding around these factors. Finally, consider the risks involved in your new venture and purchase the necessary insurance policies. At this point, new dispensary owners will have a strong foundational plan on which to build their business.
Dispensaries open business owners up to a variety of risks, some of which are unique to the cannabis industry. They must adhere to local regulations, establish safe growing and processing practices, and be protected from theft. As such, creating a package of insurance policies can be a smart business move. General liability insurance can cover claims of bodily injury and property damage that occurs at your dispensary, while product liability insurance protects specifically against claims resulting from the use of your product. Excess liability insurance can help cover costs that exceed your primary plan's limits. Dispensaries should also consider workers' compensation, auto, equipment breakdown, cyber liability, and loss of income insurance, among other options, depending on your business's needs.
Speak to a cannabis insurance broker for more information about the insurance policies your new dispensary should consider and the risks involved in opening a dispensary. MFE Insurance can help your dispensary secure a custom package of insurance policies designed to meet your business's needs and protect you from common liabilities. The agency has years of experience in helping dispensary owners protect their investments in their companies. For more information, contact MFE Insurance at 213-266-7990 or online at https://www.mfeinsurance.com/.