Canna Business 101: Ancillary Businesses Get in on Action
Thus, while marijuana "manufacturing, distributing or dispensing" is federally unlawful, denied bankruptcy protection, and discriminatorily taxed, these prohibitions solely apply to cannabis growers, processors and sellers (and, theoretically, their landlords).
These bans do not apply to businesses providing products and services to aforementioned "plant touching" enterprises, commonly called "non-plant touching" business. These "ancillary businesses" include hydroponics and cultivation products, testing and lab services, lighting, packaging and warnings, security services and equipment, technology and software, banking and payment processing, insurance, "paraphernalia" (marijuana delivery systems) and professional training and education.
Before launch of medical marijuana, City Council to weigh where dispensaries can open
The current proposal is “overly restrictive,” said Steve Schain, a Philadelphia-based attorney with the Hoban Law Group, an international firm that focuses on cannabis law.
”The 500-foot rule is better for businesses than a 1000-foot rule, but in Philadelphia County it’s going to be hard to operate in that footprint,” Schain said. “Beyond limiting the inventory of available properties for dispensaries and grow houses, the rule will make it more difficult to build out a site so that it’s operational within six months of winning a license.“
Business owners replace idealists in legal-pot movement
"When a movement becomes an industry, of course the advocacy picture gets shuffled," said Bob Hoban, a Denver attorney specializing in marijuana law and a $1,000 donor to the Marijuana Policy Project. "It shifts away from activists to more traditional business interests, because the skill sets don't exactly transfer."
Business owners are replacing idealists in the pot-legalization movement as the nascent marijuana industry creates a broad base of new donors, many of them entrepreneurs willing to spend to change drug policy.
Unlike in the past, these supporters are not limited to a few wealthy people seeking change for personal reasons. They constitute a bigger coalition of business interests. And their support provides a significant financial advantage for pro-legalization campaigns.