Cannabis Industry Glossary

The word on the street? Cannabis has its own language. From dispensary terms and compliance jargon to cultivation and retail lingo, this glossary breaks down the cannabis industry terms you actually need to know.

280E

Section 280E is a federal tax code that prevents cannabis businesses from deducting normal business expenses because cannabis remains federally illegal in the United States.

Adult-Use Cannabis

Also known as recreational cannabis, adult-use cannabis refers to cannabis products legally sold to adults over a certain age, typically 21+, without requiring a medical marijuana card.

Adult-use markets are regulated differently depending on the state or country.

Batch Tracking

Batch tracking is the process of monitoring a specific group of cannabis products throughout cultivation, manufacturing, distribution, and retail. It helps maintain compliance, quality control, and product recall readiness.

BioTrack

BioTrack is a cannabis seed-to-sale tracking system used by state regulators and licensed cannabis businesses to monitor inventory, product movement, and compliance activities throughout the supply chain.

Budtender

A budtender is a retail cannabis employee who helps customers choose cannabis products based on their needs, preferences, and desired effects. Budtenders are similar to bartenders or retail sales associates but specialize in cannabis knowledge.

Cannabinoids

Cannabinoids are chemical compounds naturally found in the cannabis plant that interact with the body’s endocannabinoid system. THC and CBD are the most well-known cannabinoids, but there are over 100 others.

Cannabis Compliance

Cannabis compliance refers to following local and state regulations regarding cannabis cultivation, manufacturing, distribution, labeling, packaging, and retail operations. Compliance rules vary widely by market.

Cannabis Distribution

Cannabis distribution involves transporting cannabis products between licensed operators while following regulatory and tracking requirements.

Cannabis Ecommerce

Cannabis ecommerce refers to the online shopping experience for cannabis products, including online menus, pickup ordering, delivery ordering, and digital storefronts for dispensaries and cannabis retailers.

Cannabis Ecommerce Platform

A cannabis ecommerce platform is software that allows dispensaries and cannabis retailers to offer online ordering, digital menus, pickup, and delivery services while remaining compliant with cannabis regulations. Unlike traditional ecommerce platforms, cannabis ecommerce solutions must support age verification, state compliance requirements, restricted payment processing, inventory syncing, and integrations with seed-to-sale tracking systems like Metrc or BioTrack.

Cannabis ERP

A cannabis ERP (Enterprise Resource Planning) system helps cannabis businesses manage operations, inventory, sales, purchasing, and compliance in one platform.

Cannabis Inventory Management

Cannabis inventory management is the process of tracking cannabis products, stock levels, transfers, and adjustments throughout the supply chain.

Cannabis Licensing

Cannabis licensing is the process of obtaining legal approval to operate a cannabis business, such as a dispensary, cultivation facility, or manufacturing operation.

Cannabis POS System

A cannabis POS (point-of-sale) system is software specifically designed for dispensaries to process transactions, manage inventory, remain compliant, and report sales data to state tracking systems.

Cannabis Retail

Cannabis retail refers to the sale of cannabis products directly to consumers through licensed dispensaries or delivery services.

CCRS

CCRS is Washington State’s cannabis reporting system used by licensed cannabis operators to submit inventory, sales, and compliance data to regulators. Businesses use CCRS to maintain compliance with state reporting requirements.

Concentrates

Cannabis concentrates are highly potent cannabis extracts made by isolating cannabinoids and terpenes from the plant. Common concentrate types include wax, shatter, live resin, and rosin.

Cultivation

Cultivation refers to the process of growing cannabis plants for commercial or personal use. Cannabis cultivation includes planting, irrigation, lighting, harvesting, drying, and curing.

Curing

Curing is the process of slowly drying harvested cannabis flower to preserve potency, flavor, and terpene content.

Dispensary

A dispensary is a licensed cannabis retail store where consumers can legally purchase cannabis products. Dispensaries may operate in medical, adult-use, or dual-license markets depending on local laws.

Edibles

Edibles are cannabis-infused food or beverage products consumed orally. Unlike inhaled cannabis, edibles typically have delayed effects because cannabinoids are processed through digestion.

Extraction

Extraction is the process of separating cannabinoids and terpenes from cannabis plant material to create concentrates and infused products.

Flower

Flower refers to the dried buds of the cannabis plant that are commonly smoked or vaporized. It remains one of the most popular cannabis product categories in legal markets.

GMP (Good Manufacturing Practice)

Good Manufacturing Practice refers to standards and processes that ensure cannabis products are consistently produced and controlled according to quality guidelines and safety regulations.

Harvest

Harvest is the stage in cannabis cultivation when mature cannabis plants are cut, trimmed, and prepared for drying and curing. Timing the harvest properly impacts potency and terpene preservation.

Licensee

A licensee is a person or business authorized by a regulatory agency to legally operate within the cannabis industry.

Marijuana

Marijuana is another term for cannabis, commonly used in legal, governmental, and regulatory contexts. Some brands and consumers prefer the term “cannabis” due to historical associations with the word marijuana.

Medical Cannabis

Medical cannabis refers to cannabis products used for therapeutic purposes by patients with qualifying medical conditions. Access usually requires a doctor’s recommendation or medical marijuana card.

Metrc

METRC (Marijuana Enforcement Tracking Reporting Compliance) is a seed-to-sale tracking system used by many U.S. states to monitor cannabis inventory, transfers, and sales for compliance purposes.

SKU (Stock Keeping Unit)

A SKU is a unique code used to identify and track cannabis products in inventory systems.

THC (Tetrahydrocannabinol)

THC is the primary psychoactive cannabinoid in cannabis responsible for the intoxicating effects associated with marijuana.

Weed

A common slang term for cannabis or marijuana. While widely used in casual conversation and popular culture, most cannabis businesses and regulators prefer the term “cannabis” in professional settings.

Wholesale Cannabis

Wholesale cannabis refers to bulk cannabis sales between licensed cannabis businesses.

Your trusted partner in growth

Now that you know the basics, see how GrowFlow helps cannabis operators simplify compliance, manage inventory, streamline wholesale, and run smarter dispensary operations from day one.