Domestically in the United States, licensed cannabis business owners are working hard to deliver superior value to their customers while also maintaining compliance with state and local agencies. To say the least, the challenges facing these businesses can be both daunting and uncertain. Not only is there very little, if any, assistance for these companies, everyone is walking on egg shells to ensure their licenses are not revoked and they are not fined large sums of money.
Just across the border, Canadian provinces are extending incentives to cannabis-related companies in a variety of ways:
- Job creation subsidies
- Land grants
- Tax credits
And, the federal government in Canada has provided grants that can be used for R&D (e.g. soil and light analysis).
These benefits are not simply about market revenue potential (Canada’s entire population is less than the state of California). What it provides is a distinct competitive advantage for the operators compared to their U.S. counterparts. Not only are they able to focus on operational efficiencies, advances in data analytics, superior customer segmentation, etc., they have the ability to focus on innovation and push the boundaries in both the medical and recreational markets. What will the impact be in the U.S.? Only time will tell. But, having a system of support that encourages growth certainly provides a more robust alternative.
You can learn more about the Canadian legal support programs here:
https://mjbizdaily.com/canadian-provinces-local-government-programs-boost-burgeoning-cannabis-industry/