Cannabis is on the rise. With legalization occurring in more and more states, entrepreneurs can finally take their shot at the cannabis industry with relative ease.
While various benefits come with starting a cannabis company, the industry is also one of the most strictly regulated sectors. A slight deviation from requirements can cost you big time, so it’s important that you make good decisions every time.
If you’re a cannabis company, you’ve likely been hit with a lot of decisions to make lately. As the industry is still developing, many new obstacles can arise. This article will walk you through some of the best ways to make decisions for your cannabusiness and why it’s important to do so quickly and efficiently.
Prepare Your Cannabis Business Strategy
The first step in making the right decisions for your company is to prepare a cannabis business strategy. A sound cannabis business strategy will help you match your current action with the business’s long-term goals.
Cannabis business operators need to figure out what they want from their operations and how best to achieve it. They also have to plan for growth and new opportunities that may arise along the way.
For example, if you consider adding edibles or topicals as an extension, you should plan for the cost of new equipment, finding a supplier, and managing the production process. This is how you’ll calculate potential expenses you could incur through this expansion.
Preparing your cannabis business strategy is more than just preparing to answer an investor’s question on pitch day. It helps you strategize what type of product or service will best suit your clientele, how much time it will take to produce them, and how they will serve to company’s long-term goals.
Track KPIs Properly
You’ll want to track key performance indicators (KPIs) throughout your operations to measure your performance. This is how you know if the strategy and tactics are working or not, which helps you make good decisions as a cannabis company owner.
KPIs also help in securing loans, partnerships, and investments.
For example, you may choose specific metrics like the number of new customers acquired per month on social media (a KPI) or conversion rates. This will give you an understanding of which areas of your marketing campaigns are delivering the best results.
It’s also important that KPIs stay current with changing trends and be relevant for all cannabis companies. Consider what you consider success, then determine which KPIs you can use to track your success.

Hire the Right People & Agencies
The cannabis industry is a fast-growing landscape with new regulations and legislation. Therefore, it’s crucial to hire the right people and agencies. They’ll help you avoid fines, enjoy available incentives, stay on track by setting their own KPIs, and meet your long-term goals.
Cannabis companies need experienced leaders who have dealt with this space’s challenges before. They’re invaluable to any company entering the cannabis landscape.
Agencies have experience with legal issues, marketing, and graphic design to help bring your business to its full potential.
One option is to hire a PR agency to craft stories that resonate with readers and customers alike – even if the audience is not likely to convert right now.
We always recommend hiring professional CPAs and lawyers experienced in the cannabis sector. They will help you prepare your books of accounts properly and meet all legal requirements for this industry, which can be confusing due to moving regulations.
Create Your Cannabis Company’s Standard Operating Procedures (SOPs) Where Applicable
The importance of having well-structured cannabis SOPs in place cannot be overstated. With so many other business necessities to juggle, it’s easy for some operational aspects to slip through the cracks.
A manual that outlines all current procedures and operations would help with this issue by providing an accessible reference document on hand at all times. Then, if anyone ever has a question about how things should be done, they can refer to the cannabis SOPs.
SOPs for your cannabis business will save you time and money by facilitating efficient communication and operation. You’ll have a way of doing things that’s easy to replicate – and simple to scale.
It’s essential that your cannabis SOPs are well-structured, reviewed regularly for possible changes or updates, and communicated to all team members involved in the processes.
We’ve only scratched the surface of decision-making in this article. If you’re operating a cannabis company that needs help with anything – from branding to marketing – let us know!
Our team is always ready and willing to lend their expertise to entrepreneurs looking for guidance navigating the cannabis space.
What other decisions have been tough? Let us know in the comments below or reach out to us directly at al@alpacannabis.com.