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Business Plan Summary and Budgets <br />nventory <br />The HSL inventory system has two primary goals: accurate, verifiable tracking of all inventory, and <br />enabling assembly of a daily menu of those products most desired by patients. The backbone of the <br />system is the MJ Freeway Point -Of -Sale (POS) software. <br />Upon delivery, every batch of product is assigned a unique identification number, which accompanies <br />the product through all stages of the inventory system, and is printed on each retail package, <br />enabling recall of any products found to be defective or unsafe. The product name and quantity <br />received are entered into MJ Freeway, which automatically adjusts inventory numbers as each patient <br />transaction is made. The internal transfer of products within HSL will be tracked via MJ Freeway's <br />secure chain -of -custody feature, which requires transferring staff members to verify the weight <br />and quantity of the products being transferred. Manual inventories will be conducted every month <br />to assess and resolve any inventory discrepancies. At Harborside Oakland, these discrepancies are <br />typically below 1 % <br />The General Manager or designate will monitor MJ Freeway daily to ensure it is properly recording <br />sales and updating inventory figures. If any problems are identified, staff will manually enter all sales <br />information until such problems are resolved. <br />Daily selections of products—the menu—will be assembled by the General Manager (GM), based on <br />previous sales, optimal inventory product range, current inventory levels, and patient requests. <br />Each type of information is analyzed in the context of several factors. These include but are not <br />limited to: day, week, holidays, weather, and other products available on the menu. Based on their <br />analysis the GM will then specifically determine items to pull from sales area (usually for repackaging), <br />new items to be added, and items to be put on sale. The GM will also ensure that all products are <br />being properly rotated, and do not exceed their expiration dates. The goal is to provide patients with <br />the freshest products possible, while preventing loss due to stale or damaged items. <br />10- PRODUCT LIST <br />The cannabis plant contains at least 65 different unique chemical compounds (cannabinoids), <br />each of which has a different therapeutic effect. In order to provide each patient with his or <br />her optimal formulation, HSL will offer patients a daily selection of 250-300 different cannabis <br />products. All will be laboratory tested for potency and safety, with test results made available to <br />patients. The selection will include a variety of cannabinoid profiles and delivery mechanisms. <br />Flowers are the processed, trimmed buds of the cannabis plant, typically smoked or vaporized. <br />HSL will stock approximately 30 varieties of flowers at different price points, including one or <br />more CBD -rich (low -THC) variety. Flowers will be dispensed in 3.5, 7, 14, and 28 -gram retail <br />packages. <br />Edibles are medical cannabis preparations that are ingested orally, including non -refrigerated <br />food, drink, tinctures, and capsules$. HSL will stock approximately 90 varieties of edibles at any <br />given time, including at least one CBD -rich (low -THC) variety. <br />8 San Leandro Municipal Code Section 4-33-500(a)(15)(ii). <br />Application to Operate a Medical Cannabis Dispensary. Harborside Health Center -San Leandro. January 15, 2015. 4 <br />