Denver’s Fledgling Cannabis Delivery Businesses Face Uncertain Future Amid “Marijuana Recession”
Denver’s cannabis delivery industry, designed to provide opportunities for those from disadvantaged backgrounds or with past marijuana violations, is facing a challenging future due to a decline in sales. The industry, which was launched in 2021, has seen a significant drop in deliveries and sales since its peak in 2021.
Michael Diaz-Rivera, the owner of Better Days Delivery, a licensed delivery company, is one of the entrepreneurs who has been affected by the decline. He started his business in 2021 and has been struggling to stay afloat. “I already applied for a grant again this year. If I don’t get it, my chances of staying in business are less than likely,” he said.
The city of Denver has implemented measures to encourage equity in the industry, including limiting licenses to applicants with disadvantaged backgrounds or past marijuana violations. The city’s social equity program provides technical assistance, business planning, and reduced license application and renewal fees to eligible applicants.
However, the program has faced challenges, including a lack of funding and limited resources. The city has issued 23 licenses to transporters, but only 14 are currently active. The program has also faced criticism for being too restrictive, with some arguing that it limits the number of participants and creates barriers to entry.
Despite the challenges, Diaz-Rivera remains optimistic about the future of the industry. “I’m fighting to stay alive,” he said. “I believe in the program and I believe in the people who are trying to make a difference.”
The city of Denver is working to address the challenges facing the industry, including providing additional funding and resources to support social equity businesses. The city has also established a task force to review the program and make recommendations for improvement.
In the meantime, entrepreneurs like Diaz-Rivera are working to adapt to the changing landscape and find ways to stay afloat. “I’m trying to be creative and find new ways to make it work,” he said. “I’m not giving up.”
The future of Denver’s cannabis delivery industry remains uncertain, but with the city’s commitment to social equity and the determination of entrepreneurs like Diaz-Rivera, there is hope for a brighter future.
