When people think of Nevada many think of Las Vegas, but soon people might be thinking recreational cannabis. It became apparent in mid-October that an initiative spearheaded by The Campaign to Regulate Marijuana was successful. Only 102,500 signatures were necessary to bring the proposal up for a vote in Legislature. If the measure gets support from two-thirds of the assembly, Nevada will legalize recreational cannabis. Thus becoming the first state to legalize recreational cannabis by the state legislature.
Even if this attempt is unsuccessful in 2015, it will then automatically be on the ballot for 2016. At that time the general population can vote on the bill. Though voters rejected attempts to legalize in 2002 and 2006. Polls conducted in 2013 show that 54% of Nevadans would support legalization if the tax revenues were used to improve the education system.
How would recreational cannabis affect Nevada? Tourism officials are quick to denounce any effect of recreational cannabis on tourism flow in Colorado and Washington. However, analysts at popular flight and hotel booking sites see a different trend. Taylor Cole, who handles public relations at Hotel.com, has seen a dramatic spike in people looking to stay in Denver and Seattle. Denver had an increase of 37% in searches in comparison to the year prior to legalization. With the same statistics Las Vegas alone, with a whopping 39.67 million tourists yearly, could potentially see 8 million more tourists in the first year of legalization. The Silver State has the lowest proposed wholesale tax in the nation (of 15%). This creates some serious incentives for cannabis business.
If you are considering getting into retail or medical cannabis business in Nevada, at Quantum 9 we have already been successful at license acquisition in your state and are here to help. If you would like to see how your existing business can optimize performance our business analysts and optimization consultants can give you the information you need to succeed. Contact us today.