Cannabis retailer rules and regulations are constantly changing. In order to better understand cannabis retailers, it is important to collect data and study retailer licenses and multi-state enterprises who are both successful and those who fail.
Top 5 Cannabis Retailer Violations for 2018
Underage sales, non-compliant labeling & packaging, security & surveillance and other areas must be monitored at all times. By understanding what causes failure, we can learn how to be effective with cannabis compliance and better protect operational licenses. After thousands of cannabis compliance inspections, Adherence data illustrates where operators should focus on compliance activities in 2019.
Here are the Top 5 Violations for Cannabis Retailers in 2018:
- Inventory & Financial – the licensee does not reconcile all on-premises cannabis inventory with the state-mandated inventory tracking system and account for all variances as required.
- Business Records Required – the licensee does not have all financial business and tax documentation available as required (federal, state and/or local).
- Inventory & Financial – the business is not compliant with IRS regulations for 280e, CTRs and or required tax filings.
- Labeling Packaging & Product Safety – the licensee does not include all required warning statements and public safety information for all cannabis and cannabis products sold.
- Business Records Required – the licensee does not have accurate or materially complete tracking logs for the facility, including visitors, security and/or cannabis waste tracking.
- Implement routine compliance inspections from a trusted 3rd-party. Avoid fines, penalties, and further regulatory inspections. This is especially true of Point-of-Sale systems and state-mandated inventory tracking systems, which are the most problematic systems in terms of compliance.
- Implement routine compliance training services from a trusted 3rd-party for your management team and staff. Learn about safeguarding inventory and revenue and avoiding potential threats and vulnerabilities from the risk of breach, theft, cannabis diversion and waste.
- Be proactive and start now. Preparation and due diligence are needed to succeed in cannabis. Compliance saves time and money. Protect your business today.
To learn more about Adherence Compliance and speak with a compliance expert, call or text 855.582.9700.
Copyright © 2019 Adherence Compliance Inc.
If you enjoyed this post, be sure to check out our post on the Top 5 Cannabis Cultivation Violations for 2018.