Because of the high-cost of entry and limited permits, the field for startup medical marijuana businesses is very narrow. The Medical Marijuana Act states that to form a medical marijuana organization, you must be in good financial standing and have the capital to run and secure your proposed medical marijuana business from illegal activity. Illegal activity will also prohibit you from investing in, owning, or working in a medical marijuana business.
In addition to lack of proven financial ability, a person can be disqualified from forming a medical marijuana business, investing in a medical marijuana business, and even working or volunteering at a medical marijuana business because of the following circumstances:
- The person does not have good “moral character.”
- The person has been convicted for the sale or possession of illegal drugs, narcotics or controlled substances.
- The person has violated the Medical Marijuana Act.
- The person had adverse legal problems with a marijuana business in another state.
- The person is an executive public employee, officer, official or a family member of such person, or was terminated from such position with a year. (This is subject to Supreme Court review.)
If you still qualify and you have the financial resources to form a medical marijuana business, it’s time to start drafting a business plan.