MASSACHUSETTS DELIVERS A VIABLE BUSINESS MODEL FOR DELIVERY

MASSACHUSETTS DELIVERS A VIABLE BUSINESS MODEL FOR DELIVERY

This new delivery license model expands upon regulatory changes made a year ago, which permitted delivery companies to transport purchases from dispensaries to customers. When the initial delivery license was created, many advocates argued that the model was not financially viable because it would force these delivery companies to subsist on delivery fees alone. By contrast, this new model creates another avenue for delivery companies to turn a profit because they will be selling their own inventory. Both the initial delivery license and this new “direct to consumer” delivery license will be exclusively available to applicants who qualify for the State’s “Economic Empowerment” or “Social Equity” programs at first. This exclusivity period will run for a minimum of 24 months from the date the first such delivery licensee begins operations, with the CCC reserving the right to extend that exclusivity period further if deemed appropriate to further the CCC’s equity goals.

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