Cannabis has been legal for medical and recreational use in New Jersey since January 2021. Licensed sales of recreational cannabis dispensaries officially began in April 2022.
What are cost factors to consider when opening a dispensary in New Jersey?
Some costs you need to take into consideration when setting up your budget include:
- Licensing Fees
- Technology
- Business equipment
- Tax
- Capital requirements
- Staffing
- Marketing
- Banking
- Professional fees
- Security systems
How much is a dispensary license in New Jersey?
A New Jersey dispensary license cost ranges between $1,000 and $10,000 depending on the type of business. Licenses for standard dispensaries cost $10,000, while microbusiness licenses cost $1,000.
What technology is needed to open a dispensary in New Jersey?
Like any business, a dispensary looking to be profitable requires fast and reliable hardware and software. From computers, barcode scanners, cash drawers to compliant POS solutions explicitly created for cannabis stores and businesses.
Software that dispensaries will need before they open their doors include:
- Security system
- Inventory management software
- Website, e-commerce store
- Product menus
- Compliant point-of-sale system (Metrc compatible)
- An employee management system
- Payroll software
- Customer relationship management (CRM) system
- Payment platform
What are the marketing and advertising costs involved in opening a dispensary?
You should consider advertising and marketing costs for creating your eCommerce website, a dispensary grand opening or launch event, or hiring a cannabis-specific digital marketing agency.
What are the staffing costs in New Jersey?
Before opening a dispensary, you will need to hire a team to help. Staffing costs could be around $250,000 a year. Positions you need to hire for your dispensary may include:
- Compliance officer
- Cannabis retail store manager
- Inventory manager
- Budtenders
- Security
- Legal counsel
- Consultants
- CPA
What operational costs are there in New Jersey?
To operate a brick-and-mortar store, you will need to consider operational costs such as rent, building maintenance, renovations, store licenses, technology, and others. Knowing all possible costs in advance will help successfully open a dispensary in New Jersey.
