Cannabis Testing Laboratory

Operate accredited lab testing cannabis for potency and contaminants

Startup Cost
$500,000-$2,000,000
Difficulty
Advanced
Time to Profit
24-36 months
Profit Potential
$83,000-$417,000/month

Overview

Cannabis testing labs generate $1,000,000-$5,000,000 annually with 40-60% margins.

In 2025, all legal cannabis states require third-party testing for safety and potency.

Services include potency testing (THC, CBD, cannabinoids) $50-$150 per sample, pesticide and heavy metal screening $100-$250, microbial and mold testing $100-$200, residual solvent testing $100-$200, terpene profiling $75-$150, and full compliance panel testing $300-$600.

Successful labs obtain state accreditation and ISO certification, invest in analytical equipment (HPLC, GC-MS), employ trained lab technicians, provide fast turnaround times, and ensure accurate testing.

Mandatory testing creates stable demand.

Marketing through cannabis cultivators, processors, dispensaries, and regulatory requirements.

Required Skills

  • Laboratory Science
  • Analytical Chemistry
  • Cannabis Testing
  • ISO Accreditation
  • Lab Management
  • Regulatory Compliance

Pros and Cons

Pros

  • Mandatory testing in legal markets
  • Recurring revenue from cannabis businesses
  • High barriers to entry protect market
  • Growing legal cannabis production
  • Scientific credibility

Cons

  • Extremely expensive equipment and setup
  • Need accreditation and certifications
  • Complex regulatory requirements
  • Long time to profitability
  • Limited lab licenses in some states

How to Get Started

  1. Research state cannabis testing requirements
  2. Apply for lab testing license
  3. Secure lab facility and equipment
  4. Obtain ISO 17025 accreditation
  5. Hire qualified lab technicians
  6. Validate testing methods
  7. Market to cannabis cultivators and processors

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