Building a Business While the Rulebook Is Still Being Written

By Drina Miller, Founder and Managing Principal of AVM Continuity Group

I still remember walking into my first cannabis conference in 2022. I was excited to learn from an industry that was operating within an evolving landscape unlike anything I had seen before. After spending more than a decade working in regulatory operations, I expected the conversations to revolve around licensing. Instead, they centered on something much more fundamental: how to build a business in an industry that was still writing its own playbook.

There were dozens of variations of the same questions: how should we structure the business? Who understands cannabis taxes? What happens if we expand into another state? Who can help us? Which permits do we need besides the cannabis license?

Those conversations stayed with me because they highlighted something unique about this industry. Most regulated industries benefit from decades of established practices, institutional knowledge, and regulatory precedent. Cannabis businesses have largely been building all three at the same time.

It reminded me of something I’ve often said about the cannabis and hemp industries: every town seemed to have its own sheriff. The rules weren’t always the same, the expectations weren’t always consistent, and businesses had to be prepared for both.

That isn’t a criticism of the industry or the regulators. It’s simply the reality of operating in a market that’s still finding its footing.

Today, the questions have become more sophisticated, but the underlying challenge remains the same. New legislation is introduced. Federal policy shifts. States revise regulations. Local jurisdictions adopt new requirements. Businesses grow, leadership changes, and organizations expand into new markets.

The companies that navigate those changes most successfully aren’t always the ones with the biggest regulatory departments. More often, they’re the ones that have built good habits before they needed them.

They know who owns each regulatory responsibility. They pay attention to proposed legislation instead of waiting for new laws to take effect. They stay engaged with industry associations and legislative discussions. Just as importantly, they don’t focus only on their cannabis licenses. Business licenses, health permits, certificates of occupancy, tax registrations, and other local requirements are just as critical to keeping operations moving.

I’ve found that the organizations that handle change best all have one thing in common. They create visibility. Leadership understands what regulatory responsibilities exist, who owns them, and where potential issues could affect the business. That visibility makes it much easier to adapt when something changes because the organization isn’t starting from scratch.

No one can predict where cannabis regulation will be five years from now. If the last several years have taught us anything, it’s that change is inevitable.

But organizations don’t have to predict every change to prepare for it. They simply need systems that are organized enough to adapt when change arrives.

That may be one of the most important investments a growing cannabis business can make.

Drina Miller is the Founder and Managing Principal of AVM Continuity Group, where she helps organizations operating in regulated industries strengthen regulatory continuity through greater alignment, visibility, and operational coordination.