Cannabis retailers face security challenges due to both increased regulations and crime risk. Build the solutions you need to secure your property and meet compliance standards with Unisol.
The cannabis industry in America is worth a fortune, and therein lies a problem. Booming sales of $12 billion in 2019 are set to hit $30 billion in the next few years. You’d be forgiven for thinking that marijuana-related businesses (MRBs) would be overjoyed as profits climb and both public and political perceptions of cannabis continue to grow more positive.
The truth is, MRBs are in a constant state of concern. The reason? Banks and credit unions are still reluctant to deal with them through fear of federal reprisals, leading to MRBs being denied business banking benefits available to other industries.
The sad and dangerous result is that money in this sector can’t sit safely behind a financial institution’s doors. The vulnerability of its cash assets coupled with the high street value of its product makes onsite security an absolute must.
Why security can make or break an MRB
Cannabis is classed as a Schedule 1 drug under the Controlled Substances Act (CSA). This makes many financial institutions unwilling to deal with MRBs as customers because if there’s any misconduct on the MRBs part, or even an administrative mistake, the bank/credit union could end up paying a significant penalty for what amounts to money laundering.
The lack of support from the banking community means many MRBs can’t enjoy the simple safety of a bank account. Their profits must remain in cash form, both on MRB premises and while being transported to pay bills or handed out to pay employees. This makes the industry a magnet for crime and has led to an extremely high-risk security profile for this sector.
Consider this report from California — always the litmus test for marijuana-related matters — where cannabis attitudes are among the most relaxed in the nation. Regardless, you’ll see the security measures which must still be taken to ensure MRB safety: Glock pistols. ballistic windshields, bulletproof steel… Crimes connected with cannabis stores have doubled since 2010 with law enforcement condemning these retailers as “the easiest thing to hit.”
The report is a microcosm of the macro security situation facing every MRB. The cash-only model dominating the industry sees most MRBs unable to accept credit cards. (How can they with no bank account to transfer to?) Large sums of money are either kept onsite, transported by business owners and/or employees, or placed at great expense into the hands of secure transportation professionals.
How cannabis security infrastructure should look
Both cannabis cultivation and retail sites require security cameras and not just any will do. MRBs are legally required to have surveillance equipment with video resolution of at least 640 x 470 pixels. This provides enough capacity for clear image capture of both licensed employees; although HD “high definition” resolution is best recommended — up to 90 percent of cannabis dispensary losses are due to employee theft — and suspicious parties at key junctions like the direct exterior, receiving areas, entrances, exits, points of sale and onsite safes.
It’s also legally required that MRBs install an alarm system and secure entry points with access control technology, while also providing remote access to the premises if authorities or law enforcement officials require entry. The standards of security here vary from state to state and even between municipalities, so MRBs should consult local authority to learn which ones apply.
Security also takes the form of clearly displaying relevant information to customers and officials. This can be achieved by exterior and interior digital signage, which can be tailored to list products and display important health and licensing information that meats state regulations, all easily updatable in real-time as regulations evolve.
All this security data (as well as day-to-day operational data) must be kept extremely secure and stored, often for months. Cloud storage is an essential step to secure data since onsite storage can easily be tampered with or destroyed.
Failure to comply with these core security steps could lead to steep fines, revocation of your license or even criminal charges. With Unisol International on your side, MRBs can make compliance and peace of mind part of their system.
The complete cannabis security solution
This may all seem intimidating, but every security standard of the cannabis sector can be met with solutions from our vast range of security infrastructure products.
For your IT infrastructure, we provide networking equipment, both wired and wireless, cloud backup and collaboration applications. We custom build our SMB and enterprise-grade servers, storage systems and hardware solutions to suit every individual customer’s needs. For your physical security, we offer network cameras, management software, video analytics, biometric and mobile access control.
Add our digital signage, projectors, video walls, interactive kiosks and audio systems (and much more), and MRBs have a one-stop provider to make their operations swifter, safer and more compliant. Connect with us at the link below for more information on how we can help MRBs.
UNISOL International is a worldwide merchandiser and leading technology solutions provider to 16 industry sectors, offering a turn-key approach with a customized, integrated, total-solution concept that combines product fulfillment and a-la-carte professional services. Get in touch with us for expert advice on technology to suits your cannabis business’s needs.