Increased U.S. Legalization Creates a Wave of New Cannabis Business Opportunities
Dispensary Franchise Unity Rd. Sees Influx from Prospective Dispensary Owners Seeking a Proven Business Model and Ongoing Support; the Franchise Mitigates the Industry’s High Barrier to Entry
DENVER – The next U.S. president might not be decided, but one thing was clear in Tuesday’s elections: Americans want access to regulated cannabis. In a clean sweep of approval, five states voted to legalize adult-use (recreational) or medicinal cannabis – Arizona, Mississippi, Montana, New Jersey and South Dakota. Recognizing the business opportunity before them and knowing they lack the know-how to successfully operate in the complex space, an influx of prospective dispensary owners have flooded cannabis dispensary franchisor Unity Rd. with interest in bringing the brand to their markets.
“The overall acceptance of cannabis has grown immensely over the past few years. With these new states legalizing use, one in three Americans will soon be able to legally purchase [adult-use] cannabis,” said Unity Rd. VP of Franchise Development Justin Livingston. “Being deemed essential was pivotal for the cannabis industry. It opened more eyes to its medicinal values and benefits of it as an alternative to alcohol and traditional medicines. States also saw the local advantages that come from a regulated cannabis market, like tax revenues, and are increasingly taking steps toward enacting cannabis legalization.”
Livingston added, “The victories we saw this week will inspire states like Connecticut, New York and Pennsylvania to move more quickly.”
With these new cannabis markets already drawing vast interest from prospective dispensary owners, those looking to break into the industry should start moving immediately on the necessary steps.
New Cannabis Business Opportunities:
- Arizona: Local voters approved a proposition that legalizes adult-use marijuana in Arizona. Retail sales are anticipated to start in April 2021 or sooner. Existing medical market operators in good standing and those seeking to operate a marijuana establishment in a county with fewer than two nonprofit medical marijuana dispensaries can submit applications for adult-use sales as soon as January 19, 2021. The Arizona adult-use market is projected to generate as much as $375 million - $400 million in its first year and $700 million - $760 million by 2024.
- Mississippi: With around two-thirds of the state in favor of medical marijuana use, Mississippi has until July 1, 2021 to develop regulations for its medicinal marijuana program. The state’s medical marijuana program is estimated to bring in about $10.6 million in annual revenue.
- Montana: 57% of state voters approved a measure and constitutional amendment to legalize adult-use marijuana. Sales are expected to start in January 2022. The state’s adult-use cannabis market is projected to see between $217 million and $260 million in sales per year by 2026.
- New Jersey: The first state in the mid-Atlantic region to pass adult-use cannabis, New Jersey is now tasked with setting up rules and regulations for the consumer marketplace and determining when they will begin accepting adult-use retail license applications. The state is expected to see annual sales of nearly a billion dollars by 2024.
- South Dakota: A first for the nation, South Dakota voters supported legalizing both medicinal and adult-use cannabis. Medical dispensaries will begin selling cannabis on July 1, 2021, and the state has until April 1, 2022 to develop rules and regulations for selling cannabis to the adult-use market. First-year medical marijuana sales are expected to total $1.5 million - $2 million, with the market reaching $10 million - $12 million by 2024.
Outside of these states, currently available markets are those with open dispensary application cycles or have acquisition opportunities. Livingston says Colorado and Massachusetts are the most accessible for prospective dispensary owners because there are no residency requirements for the dispensary license. Oklahoma is also available, but requires 75% of the business’s ownership to be state residents for two or more years.
More information about the Unity Rd. franchise opportunity can be found at unityrd.com or by contacting Tiarra Convento at tiarra@unityrd.com or 720-923-5262. Also, catch Unity Rd. team members each week on Wednesdays at 1 p.m. ET/ 11 a.m. MT for a live virtual presentation and Q&A session – click here to sign-up.
ABOUT UNITY RD.
Unity Rd. is bridging the two previously disconnected worlds of cannabis and franchising. The industry trailblazer is the first to bring the cannabis dispensary franchise model to the United States—with duality of prowess in both industries to back it up. Built from a collective 200 years in franchising and the regulated cannabis industry, the company helps eager operators enter the complex industry with ease. The marijuana franchise pioneer offers its partners the knowledge, resources, and ongoing support needed to compliantly and profitably operate a dispensary. Launched in 2018, Unity Rd. currently has more than 30 stores in development across seven U.S. states. Recently, it was named one of the top cannabis retail leaders in the nation by MJBizDaily magazine and one of the “Best Cannabis Companies to Work For” in both the dispensary and cultivation categories in Cannabis Business Times’ elite 2020 list. The company is also the first cannabis business to earn a Franchise Times Dealmakers award. For more information, visit unityrd.com.
MEDIA CONTACT: Jayne Levy, Unity Rd. at jayne@unityrd.com
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