I. Launching Your Dispensary Service: Day One 1)

How to Start and Market a Medical Marijuana Delivery Service
17 concrete steps you can take in 3 days to create an ongoing profitable business in a growth industry
I. LAUNCHING YOUR DISPENSARY SERVICE

Day One
1) Get the State Card
Go the Department of Health and Human Services in your home county and obtain an ID card as
a patient and/or caregiver. If practicable, go with another person and get cards that identify
each of you as care giver for the other. Why? Because the caregiver card allows you to carry a
given amount of marijuana for each person in your care; when doing deliveries, and stopped for
any reason by law enforcement, this can help with respect to quantity.
2) Confirm the politics and applicable regulations of the county and municipalities involved; you
know that you are not welcome everywhere. A local lawyer plugged into the 420 scene is
helpful. This may involve days or even weeks, in fact. Assuming it is not a problem, proceed as
below.
3) Target Your Collective’s Client Base

Decide on target clients for your collective and name it.
 Your health club friends who are 420 users?

 Your girl friend’s breast cancer friends, some of whom use medical marijuana?
 Online leads? Craigslist?
Brainstorm and be imaginative. Then come up with a suitable name. [your county] Support Group could be a name;
whatever seems to address your client base.
4) Draft a mission statement.

Set forth your objectives and the means by which you intend to achieve those objectives. How
much money do you have to invest? How will you advertise? Do you expect to hire one or more
employees? Do you want to avoid doing deliveries in off hours? Do you need an investor? Write it
all down. This is your business plan.
5) Become an Unincorporated Non-Profit Association. It is cheap and organic, meaning it will be in
existence the moment you create it. For $10 you can be a collective with only you as the
member/operator here and now. Sooner or later you will have to morph into a mutual non-
profit association as it is the form your collective will pay taxes, but this will get you going. To
form an unincorporated non-profit association, go online for the Secretary of State Form
LP/UNA; then send a $10 check under the name of your association.
Day Two
6) Obtain an URL that goes with the name of your collective, using either org. or com.
7) Decide on a physical address for the collective and get a phone number.
8) Get a fax number at www.fax.com.
9) Go to https://sal.ww4.irs.gov/modiein/idividual/indix.jsp and obtain a FEIN number.

10) Go to your bank with print outs of your unincorporated non-profit association papers
and set up a bank account under the FEIN number.
11) Go to your town’s State Board of Equalization office and obtain the form for a Seller’s
Permit. You will be asked to estimate a projected gross and pay a down payment against that
amount to obtain the permit.
12) Google the words “business license” and the name of the municipality where you are
located, download its business license form, fill it out and take it to them, saying that you
will be operating a home healthcare delivery service from your home address.
13) With the Seller’s Permit, the FEIN number, a bank account number, and personal
identification, you will receive your business license.
Day Three
14) Create a web site. You do not need much; keep it simple.
15) Obtain a patient intake system, either software or as a license from a provider with
servers abroad. Although what you are doing IS legal, there are some simple advantages to
having servers totally out of reach of law enforcement. These systems also allow you to keep
track of your members’ buying habits and other preferences. One system, from
GreenlifeCaregiver.com; it has everything you need and is only $50/month (I believe). When
signing up a new client get her of his initial records by phone, fax or e-mail. Verify their doctor
with a phone call and get their recommendation info online if possible. If they have an ID from a
Patient ID Center or the county you can verify them real time.
16) Order business cards online.
17) Initiate the paperwork for the mutual benefit nonprofit corporation. These entities are formed
solely for the benefit of its members, similar to a tennis club or golf club. Individuals pay to join, and
their memberships can be bought and sold. The corporation, in its bylaws, determines how many
members to have and who can be a member. Since it is not a charity, it cannot be a 501(c) (3).
Membership disputes and any other membership matter are all addressed in the membership
agreement. This work can be done with a lawyer at your leisure, now that you are already in
business.
Day Four and After
II. MARKETING YOUR DISPENSARY SERVICE

Goal: 6 deliveries per day with an average purchase of 1/4 ounce @ $110 = $660; 30 delivery days per
month = 180 deliveries @ $110 = $19,800; cost of goods (40 ounces @ $300/ounce) = $12,000; annual
gross profit = $7,800 x 12 = $93,600
1) Choose circle of friends or work acquaintances to “infiltrate” and make a point of going to
functions, parties, events, whatever. Introduce yourself and hand out your card.
2) Cultivate word of mouth advertising by providing good product and good service.
3) Generate more business by web advertising (webzines, weblogs, google click campaigns) and by
print ads in magazines and newspapers and alternative weeklies.
4) Community bill boards
5) Craigslist.
6) Create a “patient tree” and offer discounts for referrals
Practice Tips
 Use a reliable vehicle with all your paperwork in one or more neat envelops in your glove compartment;
use copies of originals.
 Make sure all lights on the car are working and that your registration is current.
 Package everything in closed envelopes with proper labeling.
 Do not carry more than you need to be carrying.
 KEEP EVERYTHING IN THE TRUNK. Cash and supplies. Remember the county caregiver cards with respect
to quantity in your possession.
 Money? You will find yourself with large amounts of cash on occasion. Use an ordinary envelop and keep
it in the trunk.
 Use of menus? That is the question de jour these days. Many dispensaries change product so often it is
impossible to keep up with the changes. This is also where many web sites are becoming competitive. It is
a fast changing business, especially as it becomes more and more socially acceptable. And sometimes
everything depends on your suppliers.
 Contact The Law Offices of Douglas Slain if you have any questions. Email [email protected].

I. Launching Your Dispensary Service: Day One 1)

Uploaded by

Copyright:

Available Formats

I. Launching Your Dispensary Service: Day One 1)

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

I. Launching Your Dispensary Service: Day One 1)

Uploaded by

Copyright:

Available Formats

How to Start and Market a Medical Marijuana Delivery Service

I. LAUNCHING YOUR DISPENSARY SERVICE

3) Target Your Collective’s Client Base

 Your health club friends who are 420 users?

4) Draft a mission statement.

8) Get a fax number at www.fax.com.

9) Go to https://sal.ww4.irs.gov/modiein/idividual/indix.jsp and obtain a FEIN number.

16) Order business cards online.

Day Four and After

II. MARKETING YOUR DISPENSARY SERVICE

You might also like