The cannabis industry presents a very unique and challenging field to conduct business in. Not only must cannabis businesses navigate the waters of a semi-legal industry, but they must also deal almost exclusively in cash. Handling and managing cash can pose real financial risks for cannabis dispensaries. For starters, having large sums of cash present at your business invites criminal activity …
In the past few years, retail stores across the United States have seen an influx in crime involving groups conducting smash and grab lootings, also known as “wildings.” Cannabis dispensaries have not been immune to these crimes and many of these “wildings” occurred in California. In most cases, the incidents were over in a matter of minutes – with looters …
As of January 1st, of this year, the city of Denver, Colorado has begun mandating cannabis dispensaries implement additional security requirements in response to recent increases in crime at cannabis businesses. There are over 200 dispensaries in Denver that produce an estimated $700 million in annual revenue that now must comply with regulations that bear additional costs and include the use of a secure storage …
Since preventing shoplifting and other methods of external theft is usually the priority of cannabis security plans, internal theft can sometimes be overlooked. On average, employees cause about 90% of all theft losses. Additionally, when asked, 60% of employees stated that they would steal from their employer if they knew they wouldn’t get caught according to the FBI. Despite the obvious dangers …
Cultivators and dispensaries have different but important security needs; thus, regulators mandate requirements of facilities to ensure that the businesses do not fall victim to theft and diversion. Common regulations involve commercial video, alarm, and access control systems. These requirements are the minimum for businesses, and businesses can choose to do more than the regulators require. How about laboratories though? …
Customer diversion can occur at any retailer, and cannabis dispensaries are not immune. Though the increased security systems and procedures in place at a cannabis retailer make theft extremely difficult, those seeking to steal may still be attracted by the high-value cannabis. Like any business, customer diversion at a cannabis retailer could be as simple as an act of shoplifting, …
Cannabis businesses, especially dispensaries, are considered high-risk businesses due to the high value of the cannabis products on-site and large volume of cash. Like any high-risk businesses, cannabis businesses can be at an increased risk of incidents on the property that may result in litigation. This may include robberies, burglaries, injuries, or other incidents that occur on the premises of …
Negligent security can occur at any business and can cause serious risk to the safety and security of customers, employees, and other individuals on the property. Should a criminal incident occur on the property, the ownership and management of the property could be held liable for not ensuring sufficient security to prevent the criminal act from occurring. Additionally, businesses can …
While any retailer can become a victim of an armed robbery, some businesses are more at risk. These businesses are often referred to as “high risk” businesses due to their valuable inventory and large amounts of currency on hand, such as pawn shops, cannabis businesses, and jewelry stores. Proactively preparing for an armed robbery is one of the best ways …
While all businesses face the risks of theft or diversion of product, retailers face the added risks associated with shoplifting. Additionally, cannabis retailers could be targeted for their valuable cannabis products and cash on-site if not properly secured. Despite this, there are many ways that cannabis business owners can prevent shoplifting in cannabis retail by utilizing effective security policies and …
