Should You Contract Your Cannabis Delivery

If you're a cannabis cultivator, you've likely debated this issue already, and have come up with your solution. However, if you're new to cultivation, it's a good time to weigh the pros and cons of outsourcing your delivery.

Pros

  1. Expertise- Tasks are typically outsourced to companies that specialize in that area. The vendors will have the proper vehicles, quality drivers and tools to ensure your product arrives safely
  2. Saving staff's time- Having your staff utilize their time to focus on the cultivating operations can prove more valuable than sending them on deliveries. 
  3. Staff safety- Delivering product can potentially be dangerous. Ensuring your staff's safety is important.
  4. Purchasing vehicles/vehicle maintenance- You will need capital to purchase vehicles for delivery, and once you have purchased these vehicles, it will cost quite a bit of money to keep up on the maintenance. Outsourcing will eliminate these issues. 

Cons

  1. Less control over delivery time- You want to make sure your deliveries are arriving in a timely manner. Contracting this may hinder that a bit, but be sure to hire a company with experience. 
  2. More expensive- It will be more expensive at first to outsource your delivery. The upfront costs may seem a bit high.
  3. Lack of customer focus- The vendor you choose may be catering to the needs of more than one organization, which may cause them to lack focus on the tasks you need completed.
  4. Possible product slippage- Keeping track of your product can be tough enough. Outsourcing may lead to higher exposure of product slippage.

If you decide to hire out your delivery, make sure your delivery company has appropriate insurance coverage and adds your business as a additional insured to their commercial auto and general liability policies. The delivery company should also be bonded or have some form of Bailee coverage for your inventory while in their control. If you have any questions about what to look and ask for from your delivery company, please consult with us