Introduction

This project is one part of a larger undertaking involving the the development, hosting and marketing of an analytic model to help prospective cannabusinesses (and consultants) create the financials required for cannabis license applications and business plans. The entire scope of this undertaking is provided here to provide background context for instructors and students.

Please note that specifics for this part of the project is described below under the "Marketing" section.

Background

As cannabis becomes legal throughout the United States (both medical and recreational – also known as adult use) programs, it is necessary for license applicants to develop and provide business plans to regulating entities as part of the application process. Part of that business plan is a pro-forma statement identifying all anticipated revenue streams and expense line items. These financials are an important part of the application in that they demonstrate the viability of the business plan, ensuring that the entity will become a commercial success.

The model should be able to accommodate three types of cannabis businesses: 1) cultivation, 2) processing, and 3) retail (cannabis dispensaries).

Project Description

It is envisioned that the project would consist of three parts:

Model development – medical versus recreational, grower versus processor versus retailer.

Build an Excel spreadsheet-based tool encompassing this data and incorporating the relationships uncovered via the research, yielding demand and cost data for each geographic area identified.

NOTES:

- The spreadsheet would contain an “assumptions” area where the various default factors would be listed, and clearly labeled for the user to modify as necessary.

- Since it is anticipated that many of the factors (and relationships) on which the model is based will change over time, the model should be constructed in such a way as to make updating easy and simple.

2) Software Platform

The intent of this part of the project is to make the model available via a commercial Software as a Service (Saas) platform, allowing individuals and companies to employ it in the development of financial models for their specific endeavor. To that extent, the site must be secure, maintain various levels of subscription, accept payment, etc. It should provide all the features of competitive SaaS platforms as discovered during the research phase of the project.

Again, the platform should be constructed in a manner to be able to accommodate changes being made quickly and easily.

Documentation – a users manual.

NOTE: Various design elements (e.g., the spreadsheet to be hosted, subscription levels, pricing, etc. will be provided.)

3) Marketing

Develop a professional marketing plan to guide the development and commercial success of the deliverable. Of particular interest are identification of target segments (at least individual and enterprise clients (especially the identification of target customers in the enterprise space), competition, pricing and recommended promotion to each target segment – to include key messages, recommended media and pricing for each target segment. Also, public relations plans for each target segment (e.g., placement of articles in specific media by name, etc.)

Company Information

NJ Cannabis Consulting (njcannabisconsulting.com) was incorporated in 2018 to provide professional services to businesses pursing the legal cannabis market in New Jersey. The company’s services include business plan development, marketing plan development and execution.

Nick Scalera

NJ Cannabis Consulting

nick.scalera@njcannabisconsulting.com

njcannabisconsulting.com

(609) 772-4024

1 Powderhorn Way, Allentown, NJ 08501