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Metrc Compliance For Cannabis Businesses

As the legal cannabis industry continues to spread in popularity throughout our nation, cannabis companies of all kinds can benefit from Metrc compliance for end-to-end tracking, supply chain monitoring, and seed-to-sale operations. This web-based and state-mandated software platform give dispensary owners, cannabis grow operations, and other industry experts a reliable means for producing, manufacturing, distributing, and selling cannabis products from one convenient database. Here’s an inside look into what Metrc compliance can mean for your company, and why so many businesses have already chosen the software to streamline their operation.

What is Metrc?

So what is Metrc, and why is it a state-mandated regulatory system within the cannabis industry? Developed by the company Franwell Inc., Metrc was designed specifically for government agencies to regulate the cannabis industry. The primary purpose of Metrc for cannabis is to create safety and transparency for consumers within the industry while providing transactional and inventory data to state regulators. It acts as a source for all tracked events, eliminating discrepancies and red flags that may lead to investigations or the complete shutdown of an operation.

How Does Metrc Work?

Metrc integration works alongside your cannabis company’s standard API, with compatible dispensary software to manage day-to-day operations of production, distribution, and selling of cannabis products. Since every licensed cannabis company in a Metrc state has specific regulatory requirements for reporting inventory and sales, this software allows you to meet these regulatory requirements with 100% accuracy. States that have adopted Metrc compliance as their regulatory cannabis monitoring software include:

  • Alaska
  • California
  • Colorado
  • Louisiana
  • Maine
  • Maryland (including Washington D.C)
  • Massachusetts
  • Michigan
  • Missouri
  • Montana
  • Nevada
  • New Jersey
  • Ohio
  • Oklahoma
  • Oregon

Metrc works by tracking your products through the use of Metrc tags. These RFID tags are not reusable, meaning that every package and plant tagged has a unique identifier. Metrc track and trace tags come in two different types: Plant and Package.

  • Metrc Plant Tags – These tags include the facility name, license number, tag order date, and unique plant identification number. They also contain an application identifier to determine whether the product is for recreational or medical use. Recreational marijuana plant tags are blue, whereas medical marijuana tags are yellow.
  • Metrc Package Tags – These Metrc track and trace items refer to the physical sticker that is placed on every package. Rather than using a plant number, they are each given a 24-digit package number, with only one type of product allowed in each package.

How to Use Metrc Integration For Your Cannabis Business

Getting started with Metrc integration for your company is relatively easy, but the nitty-gritty details require thorough research and reading of legal text for optimal compliance. Here are the steps to get started with your Metrc compliance software:

  1. Register ALL employees into the Metrc system, and complete the training requirements.
  2. Integrate your Metrc API key and license into your existing POS system.
  3. Purchase Metrc track and trace Plant and Package tags directly through the software.
  4. Set up products on the software, and confirm all tag assignments.
  5. Receive your newly tagged product inventory within your POS system.
  6. Ensure ongoing compliance between POS, Metrc software, and physical inventories.

While Metrc integration into your physical and POS inventories is convenient and relatively simple, there are a number of red flags that companies should be aware of throughout their entire operation. These can include:

  • Processing sales from packages that do not feature any quantities
  • Having packages with quantities that don’t match your physical inventory
  • Missing days of sales and other tracking errors
  • Incorrect data entry or miss-types (errors cannot be deleted or changed once they’re made, and every record is permanent!)

365 Cannabis

At 365 Cannabis, our cannabis regulatory software supports several multi-state operators. We’ve configured our regulatory integrations to ensure that your organization can operate in states with different mandatory reporting systems and still seamlessly funnel financial information according to your organization’s structure.

Explore our modules that can benefit your cannabis company, as well as our other cannabis compliance services. For any other questions or comments, contact us today to learn more.