Vendor due diligence
10 questions to ask any dispensary-software vendor before you sign
Switching your POS is a bet on the company behind it, not just the software. You’re handing a vendor your sales, your customer records, and your compliance reporting. Ask the same ten questions of every vendor on your list — including us. A vendor that won’t answer plainly has told you something.
- 1
How long can you operate on the cash you have?
If the vendor is a public company, its filings state this. If it’s private, ask directly. You’re not being rude — you’re protecting the system your register runs on.
- 2
Does your most recent audited financial statement carry a going-concern note?
Public filers disclose this in plain language. Ask for the statement and read the note yourself. “Substantial doubt about the ability to continue as a going concern” is a specific phrase auditors use, and it means what it says.
- 3
Have you received a notice of default from any lender or noteholder?
A default notice from a secured creditor shifts control of the company. If it’s happened, it’s usually a matter of public filing.
- 4
Which way is your revenue trending — up or down, three years running?
Ask for the three-year top line. A vendor shrinking year over year may be repricing or cutting service to survive, and you don’t want to be the line item they squeeze.
- 5
Where does my data live, and can I export all of it, any time, at no cost?
Get the export format and cadence in writing. Your customer records, sales history, and compliance data should be yours to take with you whenever you choose — not held in a database only the vendor can open.
- 6
Will you lock my price, and for how long?
Ask whether the rate can change at renewal and on how much notice. A month-to-month rate with a stated lock is a different commitment than an annual contract the vendor can reprice when your term rolls.
- 7
Is your support headcount growing or shrinking?
Ask who answers when your register goes down on a Saturday — a named person or a ticket queue — and whether the support team has been through layoffs. This is public for some vendors and answerable for all.
- 8
What’s your uptime history on the days that matter?
Anyone can hold up an average. Ask specifically about peak days — 4/20, the last day of the month — and ask for the record, not a marketing number. If they cite a figure, ask who audited it.
- 9
Are you an approved state-traceability integrator for my state?
In Washington that means the WSLCB approved-integrator list and current CCRS capability — not a Metrc or BioTrack integration ported from another state. Check the state’s own published list, not the vendor’s page.
- 10
How do I leave, and what happens to my data when I do?
Read the exit clause before you sign the entry clause. Notice period, final export, and any offboarding fee should all be in writing up front.
Ask us these ten.
We’ll answer every one on the record — the filings, the export terms, the price lock, the exit clause. Bring the list to a demo.