As cannabis legalization sweeps across the country for medical and recreational adult use, the reduced stigmas about marijuana make way for a wealth of opportunity that cannabis companies and those who support them can get excited about.
With more Americans opening up to cannabis legalization and new realistic and viable professional avenues for producers and manufacturers to explore, the steady growth continues to attract investor attention who see tremendous business opportunities for entrepreneurs and investors.
It’s no surprise since growth in any industry attracts investor capital. Interestingly, aside from the growing pool of angel investors and venture capital firms, big box brands like Coca-Cola want to get in on the action.
With merger and acquisition activity remaining high in 2019 and 2020, it’s clear that some cannabis companies are considering consolidation or investor funding to achieve growth.
With an increasing number of new cannabis businesses popping up in the supply chain each year, cannabis entrepreneurs looking to attract investors need a competitive advantage. Cannabis operators armed with a plan and a modern cannabis ERP system get just such an advantage.
The Cannabis Business Plan
A cannabis business plan serves as your roadmap, whether you are seeking to attract investors or not. Think of it like taking a road trip. Is it possible to take the journey without a map and arrive safely at your destination without one? Sure, but are you at risk of taking a wrong turn on the way, too?
Business plans are also crucial for attracting investors to determine if your business is worth putting money into. Instead of risking wrong turns, a cannabis business plan helps guide you by letting you see the bigger picture, plan, and make better decisions on your road to the future–especially when that includes being acquired or growing through investment funding.
Cannabis Business Plan Essentials
You need a business plan that proves you know the industry and have started a well-thought and profitable cannabis business.
The essentials of a cannabis business plan include:
- Executive Summary
- Management team
- Product or Service
- Business Model
- Sales and Marketing
- Operating Plan
- Regulatory Consideration
- Exit Strategy
Read more about Cannabis Business Plans
The Proof is in the Pudding
As you can see, cannabis investors want to know about you, your senior management, and the company stakeholders. They want an analysis of the market, your company, your competition, and your financial state to justify their involvement. You should be able to clearly define these roles while illustrating operational efficiencies with the challenges and opportunities that lie ahead.
By assessing your cannabis company without a modern, industry-tested ERP system, you are leaving your business’s future to guesswork. Choosing the right enterprise resource planning (ERP) system builds a foundation for proving your worth and keeping an edge for achieving your expansion goals, investors or not.
When you have invested in cannabis ERP, you make it easier for investors to invest in you. ERP delivers value to growers, distributors, edibles manufacturers, and retailers by capturing seed-to-sale visibility while ensuring regulatory compliance. No investor will even consider your company if you can’t demonstrate sound business practices and regulatory compliance.
Attracting Cannabis Funding with Cannabis Technology
Cannabis companies make themselves more attractive to investors and buyers by implementing the right cannabis industry software, achieving better profit margins and operational efficiencies.
As you pursue funding, financing, or investors, you need to be able to produce an accurate financial picture and that you’ve met rigorous audit requirements. You’ll want a quicker, more precise way to share the numbers than rifling through countless spreadsheets.
A newer, more robust cannabis accounting solution can deliver real-time reporting for an accurate picture of cash position, cannabis accounting procedures, and account aging in a few clicks.
With the expansion of the market continuing to unfold, so too does the massive flood of new businesses and investors looking to capitalize on this once-in-a-generation opportunity.
Cannabis entrepreneurs improve the visibility and credibility of their company with the right cannabis ERP solution that presents their unique operational efficiencies. Leveraging seed-to-sale ERP as an investment in your cannabis company’s future will allow you to continue to grow and diversify with new products, new consumers, or new investors.
Whether you intend to expand your operations through organic growth, investor funding or by merging with other cannabis operations, cannabis ERP includes built-in accounting features to help you scale.
Ready to take your cannabis business to the next level and attract investors? Find out if Cannabis ERP is right for you.