3 Reasons to Get Cannabis Track and Trace Software Now, Not Later
As the entire industry continues preparing for the coming California cannabis market, business owners find themselves in a variety of different positions from operating legal businesses to applying for a license in their local municipality. The one question on everyone’s mind is, “Should I purchase a cannabis track and trace software before I’m required to report to the state’s Cannabis Activity Tracking system?” The answer is, yes, and here are three reasons why you’ll want to do it sooner than later:
1) Be Proactive – Get ahead and stay ahead of the curve. Being proactive about compliance will greatly help your licensing process when the state issues official licenses. By having a cannabis track and trace system in use before applying, it will allow you to get a leg up on other businesses and also stand out to the licensing board since you have been operating legally while tracking all of your product at your facility for months. As part of the new MAUCRSA laws, when an application is received by the state, the local municipality in which they’re operating has 60 days to report to the state on whether or not that business is currently in compliance. If the applicant is not in compliance, the state will automatically reject the license application. So having a system in place should address any outstanding compliance concerns in regards to record keeping and reporting. Additionally, record keeping will play a major role in staying compliant with the Board of Equalization, who also handles licensed cannabis business taxes. If you have not reviewed the new Tax Guidelines from the passing of Prop 64, you can find them here.
2) Adaptability – We are all aware that California has been operating in a grey-legal market for almost 20 years. The learning curve of adapting to a cannabis software can be difficult. Being able to adopt track and trace software now will not only help employees with that learning curve, but it will also shape your new SOPs and workflows, all of which will be crucial components to staying compliant and avoiding hefty fines. Time is of the essence, so adapt now and watch when everyone’s scrambling in 6 months to get into a compliant workflow that you’ve already mastered.
3) Business Intelligence – Tracking cannabis isn’t always about compliance, and cannabis software isn’t just about tracking. Being able to monitor your business and get real-time data to make better, more informed decisions is huge in a competitive market. As more money is invested into the California market, more sophisticated businesses will turn to business intelligence to become more efficient and will eventually bypass other companies that are operating loosely, especially once California allows large cultivation licenses and opens the door for unrestricted growth in 2023.
So where do you start your research? Start by performing your due diligence and explore the different cannabis track and trace software options. You need to understand how the state’s, and your local municipality’s, rules and regulations will require you to track, monitor and report on your inventory, then you need to find a flexible solution that will let you do it. Flexibility will be the key in an immature market because rules and regulations will continue to change as we go, so a flexible system that will change along with it is a necessity.
How are you preparing your California operations for compliance? Let us know in the comments below.
This article was written by Taylor Jones, Senior Sales Executive, BioTrack. Taylor has helped provide hundreds of licensed cannabis businesses to launch a compliant system that meets their business needs. Whether you’re 6 months or 6 days from getting licensed, give him a call to make sure you’re setup for success!
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