When to Consider a Cannabis ERP Solution

As widespread marijuana legalization continues across the US, several cannabis software products have come on the market. How can cannabis operators know exactly what capabilities they bring and what return on investment they can expect before they make a decision?


Cannabis is a rapidly growing industry with unique compliance demands. Deciding when to make the switch to a cannabis ERP system can be difficult. Seed-to-sale software is a tool for cannabis businesses to manage compliance, but a cannabis ERP system can manage compliance while also helping the business run more efficiently and automate processes. Quickbooks is great for many traditional businesses starting out, but Quickbooks lacks the capabilities needed to run a compliant and profitable cannabis business.


On the other hand, purpose-built ERP solutions include features that help cannabis businesses manage, track and analyze their inventory, sales, and customer data, but many cannabis operators are under the impression they need to reach a specific size before considering a cannabis ERP.


Here’s how to know when to transition to a cannabis ERP system to maximize benefits.


What is Cannabis ERP?

Cannabis enterprise resource planning (ERP) refers to the system that integrates all functional areas of a cannabis company’s processes into a unified system for a single source of truth.


The cannabis industry needed a purpose-built solution specific to the cannabis operator’s needs due to the nuances of a legitimate but complex industry in its early stages, growing faster than legislation can manage.


What costs are associated with Cannabis ERP?

Consider the initial costs of transitioning to cannabis ERP software. The most significant costs typically include:

  1. The upfront cost of the software
  2. Licensing and maintaining the software
  3. Training and support staff
  4. Compliance


Have you considered the cost of non-compliance?


From helping you to reduce and simplify costs to automating more processes, here are some of the most prominent benefits of cannabis ERP:


Increased Efficiency and Accuracy: A cannabis ERP solution can help increase efficiency and accuracy in the management of cannabis operations.

Improved Customer Service: A cannabis ERP solution can help improve customer service by providing a centralized platform for managing customer data and transactions.

Reduced Costs: A cannabis ERP solution can help reduce costs by providing a centralized platform for managing all aspects of cannabis operations.

Increased Profitability: A cannabis ERP solution can help increase profitability by providing a platform for tracking and managing all aspects of cannabis operations.


Dive Deeper: How much does ERP cost & when will I see a return on my investment?


Seed to Sale Software vs. Cannabis ERP Software

A cannabis ERP solution can help improve your business by providing you with a centralized system for managing your cannabis operations.


The most significant contrast between cannabis ERP and seed-to-sale software is that the cannabis ERP system brings a complete solution for businesses looking to improve their workflows. ERP helps cannabis businesses run smoothly and within compliance, but also includes inventory management systems, accounting systems, agricultural management systems (for cultivators), security systems, HR, and more.


An ERP solution meets many important business requirements, but seed-to-sale software compliance software focuses on just that: compliance.


A growth-minded cannabis business will inevitably reach the point where seed-to-sale software, despite the compliance and tracking benefits, begins to limit growth.


Take a look: Comparing seed-to-sale software with cannabis ERP


When to transition

There’s no way around it; weighing the cost vs. benefits of implementing cannabis ERP software is a challenging process. However, using the guide and understanding your cannabis company’s needs will make it significantly easier.


With cannabis industry software to manage other important security considerations, including privacy, accessibility, and customer data, organizations can maintain adherence in an industry where federal and state laws vary significantly.


Timing is crucial to this process. It can take anywhere from a few weeks to a few months to transition to a cannabis ERP solution. You’ll want to plan to incorporate time to train your staff to adopt a new way of doing things.


Cannabis businesses of all sizes are taking advantage of ERP for everything from process automation to end-to-end supply chain management. Consult with industry experts and sit through demos before making the best strategic decision for your company’s software needs.


We take the time to evaluate your needs and offer all of these options to get you the right fit.


Contact our team of cannabis experts to discuss how we can help your business stay compliant and grow with industry-tested Cannabis ERP.




What are the benefits of transitioning to ERP systems?

There are many benefits to transitioning to an ERP system, including increased efficiency and productivity, improved data accuracy and visibility, and reduced costs. ERP systems can also help businesses to scale and grow by providing them with the tools they need to manage complex processes and operations.


What are the most significant costs to be aware of?

Some of these costs include initial software cost, cost of compliance within the software, and training employees for the new ERP software.


How do I know it’s time to switch to ERP?

The current processes you use for business management might work great today. However, if you plan on growing your cannabis business, it might be time to look for a more comprehensive solution that can streamline your business and help with compliance at the same time.


Not sure what software is right for you?

Check out our software comparison to learn which is the right fit for your business.

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