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cannabis business compliance

The Vital Job of Cannabis Business Compliance Manager

Cannabis Business ComplianceOne of your jobs as a business owner involves keeping your expenses lower than your revenues so that you can actually have a profit. This means cutting out expenses that are not necessary. However, in the Cannabis business, there are some expenses that take top priority.

The director of compliance is perhaps the most important job in your entire company. Whether you are a cultivator, testing lab, distributor, manufacturer, or retail dispensary, you have the duty to comply with regulations. The penalties for non-compliance can range from stiff fines to the law enforcers shutting down your business. Lack of compliance can even keep you from ever working in the Cannabis industry again. Another problem to consider is that if you are found with even one minor violation, the inspectors will make sure to visit you again and again and again.

Dispensaries tend to be the first place we think of in terms of cannabis business compliance. Cannabis business regulations cover how flower and other products can be displayed and stored. Ages of customers must be checked before they are allowed to enter the selling area. Records of customer traffic must be kept . There are limits to how much cannabis can be bought by a single customer in a day. Packaging and lab analysis must be checked against invoices. Budtenders must follow certain protocols in showing, describing, and selling your products. In addition, the dispensary must be maintained in a clean and orderly manner.

The normal duties of all cannabis business compliance managers include monitoring any changes in state and local regulations. They also include developing and maintaining records,  policies and procedures so that there are no illegal unethical or unprofessional behavior practices among your employees. Compliance managers should also conduct regularly scheduled audits of inventory, finances, and facility operations. When questionable behavior, product handling, facilities maintenance, and record-keeping are found, the compliance manager is responsible for making sure these problems are corrected immediately.

All other businesses in the Cannabis industry must also comply with rules and regulations, not just dispensaries. This means all your employees must be trained to fully understand all cannabis business compliance risks, even ones they may not encounter normally. One careless employee can put your entire enterprise at risk for fines or closure by authorities. That is why a cannabis business compliance manager is a vital job function for your business.

Cannabis Business ComplianceAll cultivators need a farm manager. This job includes activities of monitoring facilities maintenance, employee training, production costs, and harvest. However, it also includes dealing with the testing lab, which is one of the most important parts of producing and selling marijuana. The testing lab must receive adequate samples that are clearly identified. If you don’t submit product to the testing lab in exactly the way they need it, your entire crop might be at risk of being rejected. You cannot sell cannabis without a full analysis from your testing lab.

Manufacturers also have a strict set of requirements they must follow. Compliance requires that your products carry a full set of ingredients and Cannabis testing lab analysis. Although laws differ from state to state, your compliance manager it’s responsible for monitoring every ingredient, the entire production chain, and every analysis that goes into producing your final product. Failure to do this adequately means your product will not be accepted for sale by any responsible retailer and could put you and your entire operation in legal jeopardy.

Distributors are a key part of the seed-to-sale compliance requirements of cannabis industry regulations. Distributors must keep accurate records of the entire chain from grower to testing lab to manufacturer, and finally, to retailers. This is an extremely important job that can put your entire supply chain into risk with the authorities, not to mention your own company.

There are no regulations that can be safely ignored. If you don’t have time to monitor compliance, it is in your best interest to hire a responsible person to train to handle all compliance duties.

 


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Author

George

Founder & CEO of 420 College.

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