This Is the Best State to Start a Cannabis Business Right Now

"The laws in place aren't the major hurdle for cannabis in California. What is holding back the progression of legalization, is that the agencies in charge of regulating are too understaffed to deal with the players who continually flout the laws set in place," said Brian Campbell, co-founder and CPO of Tökr, an app that gives consumers a direct connection to dispensaries and their inventory.

"Distribution requirement represents a huge bottleneck in the supply chain, making it extremely difficult for smaller cannabis brands to gain traction. Slow licensing approval process is also making it harder for brands that want to be compliant. Limited licensed retailers and licensed distributors lead to monopolistic companies taking market share away from craft, small-batch, quality companies."My fear is that a monopoly power will emerge in CA (most likely a company backed by Big Liquor or Ag or Pharma), and every other state and quality of products for consumers will suffer," said David Kram, CEO of Silk Road. Silk Road is a legal cannabis brand that produces high-quality cannabis oil paired with advanced vaping technology.

"Nevada gets a very high starting grade for early and efficient adoption of a recreational marijuana program which began retail sales in July 2017. In general, Nevada's program is great for residents, and it provides access to cannabis with relative ease. Nevada loses some points because tourists who want to partake will find it difficult, as public consumption (which includes consumption in casinos, hotels, bars, cars, and sidewalks) is prohibited.

"Much-anticipated consumption lounges likely will not appear until at least 2019. Nevada loses additional points because the regulatory structure only allows for a limited number of retail outlets, resulting in higher product prices for consumers (relative to other states), as well as huge barriers to entry for prospective business operators. Additional licensing opportunities are expected later this year, though, so these issues are likely only short term.  It's a good program with a bright future ahead. We give Nevada a B," said Philip Silvestri, the senior counsel at Greenspoon Marder LLP. Greenspoon is a national full-service business law firm with over 200 attorneys across 26 offices throughout the United States.