How to Make Money in the Cannabis Industry
Cannabis sales can reach about $17 billion in the US alone this year, according to BDS Analytics and ArcView Market Research, and that’s thanks to its legalization in more states. Business models are expanding as new opportunities are legalized. For instance, in many places in Europe it is now legal to purchase marijuana seeds on the internet. So if you’re looking to profit from pot, check out the following ways to get started.
The marijuana business is one of the emerging industries in the world.
In the US and Canada, you can now find different cannabis-related companies are already listed on stock exchanges.
Several companies in the US are attracting venture capital money along with exchange-traded fund. There are now over four dozens of weed-related stocks.
To make money, you can buy stocks or use an ETF.
You can expect stocks to become a long-term investment in the cannabis industry. However, it will be wise to diversify to reduce the risk by not risking everything on one endeavor.
On the other hand, you can use an ETF, which is designed to secure the large stockholders and give them a stable and steady return.
You might also want to buy a commercial cannabis operation, such as in the medical cannabis markets. Choose a company with expansion plans and can handle future weed alternatives. But just like in stocks, you should diversify your portfolio.
Offering business services to dispensaries or cultivators
If you don’t want to be a part of the supply chain, like for CBD products, you can still make money in the industry and contribute to the canna culture.
You can still profit from marijuana even without having contact to the plant.
One of the ways to do that is to offer services to those involved in the grower and dispensary sectors.
Did you know that these businesses also need support to keep their business running just as any other business does? They also need POS software and cannabis SEO help that can accommodate marijuana-based businesses.
For example, digitalizing a business requires a dedicated SEO agency that can tailor a specific plan and execute to promote and market it online.
But even if you don’t exclusively focus on growers, dispensaries or delivery services, you can still come up with unique offers like….
- Trademark and patent law services for cannabis businesses
- Real estate for dispensaries
- Financial and banking services for dispensaries
- Social media management and blogging
- Video production and photography for dispensaries
- Interior design and custom furniture
- Insurance services
- Market research
Another way to make money in the cannabis industry for those who have the drive and motivation to innovate is to open a paraphernalia shop or a dispensary if pot is legal in your state. The Ann Arbor Dispensary in Michigan is an excellent example of this method. They have become very successful and are known for their high quality products and service.
You might also want to open a retail shop with focus on selling edibles and cannabis oils or try a paraphernalia shop for cannabis devices like vaporizers and vape pens.
However, consider the licensing fees and state applications as well as working capital. Some states may also require $100,000+ on hand.
Find Profitable Jobs in the industry
While weed is a new sector, it is a promising one that offers many jobs.
According to Whitney Economics and Leafly, the US alone now has 211,000 jobs for fulltime cannabis workers.
While the positions vary, you can still find one that can pay well depending on your skills and the ways you’re marketing yourself.
One job available is for a budtender and trimmer, who cleans and beautifies the buds before selling them.
While it might sound like a boring job, it pays well. You’ll also give advice to customers about the different strains and ring up customers.
Or if you have a specific knowledge base about the cannabis plant and special certifications you can be a marijuana doctor.
If you want to make money in the cannabis industry, try investing, offering services to dispensaries and growers, working in the sector or becoming an entrepreneur. The choice is yours.
How to Make Money in the Cannabis Industry Cannabis sales can reach about $17 billion in the US alone this year, according to BDS Analytics and ArcView Market Research, and that’s thanks to its
How to Be a Marijuana Dealer Starting Up
Selling Weed 101
The world of marijuana sales has changed dramatically since the trend of medical and recreational legalization began nearly 25 years ago. But, there is one trait a dealer needed to succeed now, then, or any time between: hustle.
How to Start Selling Weed as a Black Market Marijuana Dealer
Prior to the legalization of medical and/or recreational cannabis in most states of the Union, the only way to become a marijuana dealer was on the black market. While we certainly don’t recommend anyone to break any laws prohibiting the sale of certain substances, these were some of the best tips for selling weed back in the day:
- Acquire marijuana: To start selling weed, you would either need to grow at least a few marijuana plants or find one or more connections who were able to provide you with a consistent supply.
- Know your market: Did your prospective customers want eighths of high grade nugs (and the prices they sell for) or half ounces of mids? Or maybe you should skip the retail market entirely and wholesale pot by the pound. You had to put your personal preferences aside and stock what they wanted.
- Weigh it and bag it up: It’s tempting to give everyone a fat sack, and it will certainly motivate customers to keep your number on speedial. But it will also cut into your bottomline. If you wanted to make money selling weed, you had to take a measured approach to generosity.
- Put yourself out there! But not too much…: The key to making a profit selling weed on the black market and surviving as a free man was to market aggressively to everyone who was cool — and no one else. Loose lips sink ships, and trusting the wrong person could bring your venture to a quick and unfortunate end.
Selling Weed Prices and Weights
Perhaps the most important question you would be faced with when selling weed on the underground market is what prices you should give to the various weights. Weed dealers almost universally employ Imperial weight measurements for their bags, ranging from an eighth to a quarter pound (or more). For our purposes here, we will focus on the most commonly employed retail weights and prices:
- Eighth: Although the weight of a proper eighth in practice is a hotly debated subject, in principle it is simply an eighth of an ounce, or 3.5 grams in metric. When I was growing up, we called this a “20 sack,” and it is also known as a “dub” in other parts of the country. As the name implies, it retailed for $20, but those prices have changed — both with the passage of time and varying geography. The price today ranges from about $20 to $50.
- Quarter: This is just double the size of an eighth at 7 grams. However, it often retails for a bit less than double the price, as you usually see some discount for volume. Prices generally range from $30 to $90.
- Ounce: An ounce is 28.35 grams, and you will definitely need to provide a substantial discount over the per gram price here compared to eighths and quarters. The price for an ounce varies tremendously depending on what market you are in. In states like California where weed is seemingly everywhere, they retail for as little as $100. But in less fortunate parts of the country, people pay upwards of $350 for a high quality ounce. $200 to $300 is fairly typical.
If you ever want to scope out your competition, you can check the prices being reported in your market at the website PriceofWeed.com.
How to Sell Weed as a Legal Marijuana Dealer
Dealing marijuana is a completely different game now in the states where it has been legalized medically or recreationally. Getting started selling weed now is a lot more difficult than buying a quarter pound and a box of sandwich bags. But the opportunity is still there for anyone ready to work for it, and the upside is that you can now actually get rich selling weed without risking a prison sentence.
Tips on Selling Weed in a Legal Market
- Know the rules: Compliance is the name of the game in legal cannabis markets. Read the laws and the rules, and if you know them backwards and forwards, you will always be able to find work in the cannabis industry.
- Know the strains and products: The illicit market did not offer much in the way of choice. Dealers could sell basically anything, because consumers couldn’t just go down the street to a dispensary. Now, you need to understand numerous strains and their effects (or, better yet, understand the effects of various cannabinoid profiles), as well as a host of products like edibles, concentrates, and topicals.
- Network: And now you can do it without worrying about the cops! Regardless of whether you are looking to get hired or looking for investors for your cannabusiness, you have to seek them out. Industry conferences and job fairs can be excellent ways to connect, but also pricey. If you are looking for a cheaper alternative, seek out industry-oriented groups and pages on social media and engage — and this is key — constructively.
Following these tips on selling weed will not guarantee that you get rich. But, they will give you a shot at following your cannabis dreams in what is currently a nearly $15 billion a year industry in the United States and projected to hit $100 billion worldwide by the end of the decade!
Final Thoughts on What You Need to Sell Weed in Today’s Market
Starting out as a weed dealer has changed a lot since the 90’s. Prior to any kind of medical or recreational legalization of cannabis, you had to cultivate a stable and highly trustworthy network of both suppliers and customers. Even then, making money dealing weed was difficult, with the threat of arrest always looming.
Breaking into the cannabis industry may be more of a challenge than becoming a weed dealer 20 years ago, but the opportunities are now nearly unlimited!
Thinking of selling weed to make money? You’ll need a few things first. Check out these tips for how to sell weed to make a profit and what you should buy when you’re starting out.