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How to Open a Headshop for Your Business in 2020

Most people from the United States consume tobacco and cannabis on a regular basis. Head Shops are the places where these people find various paraphernalia products for their smoking purposes. Paraphernalia products mean the devices used especially for smoking. The products range from water pipes, glass pipes, hand pipes, rolling papers, etc. 

Headshop is a place to build counterculture communities where people from different backgrounds gather in one place. Because these stores also sell products like smoking posters, counterculture magazines, comic books, home decor, counterculture arts, etc. If you want to start your own head shop then this guide is going to help you know how to open a headshop?

How to Open a Headshop?

Over time the headshop industry has changed a lot. If you want to build a head shop near your town or anywhere then this article can give you a clearer picture of your new start. You should consider these factors:

  • Be aware of the legal terms
  • Choose your location wisely
  • Set up a budget
  • Advertise
  • Offer complementaries 

Be aware of the legal terms

As per the data, the first headshop in the United States was found in the mid-1960s. However, using tobacco, marijuana, and other drugs are illegal in some of the states. The legal terms of using these substances are also changing periodically. So before starting a headshop, it is essential to know the rules and regulations of your state and locality. Otherwise, if you get caught, selling such items that are not legally allowed can put you in trouble. You may not sell any drugs but you are going to sell the products for consuming those drugs. So it is better you research these laws and clarify your doubts regarding this matter. 

After 2001, the usage of marijuana became legal for medicinal purposes. From that year the headshop industry has grown up significantly. However, you need to choose a proper location for your headshop.

Choose your location wisely

Every business works well at different locations as per the demand. A head shop business is not an exception. Find a place where people from different cultures gather to spend their leisure hours. Choose a place which is nearer to colleges or offices. The place should be on the pedestrian. Make sure that the place you decide to open your headshop is far away from other head shops to avoid competition. You can take a small-mid size shop with enough space for gathering. 

Online headshop can also be a good way to start your business but you need a different approach. You don’t need a physical store where people will gather to use your products. But head shops are not only about shopping for smoking products. The best way is when you serve them at a physical store. So choose a proper place where people can come and hang out for some hours after office or college. 

Set up a budget

Like every other business, a headshop also requires a budget to be set up. Make a proper analysis of the expenses such as rent, operating cost, maintenance cost, insurance cost, etc. Analyze the cost of the range of products you want to offer. If you are using any technology for your transactional purposes then consider the cost of the technology.

You need to store the surplus amount in order to maintain the inventory. So Keeping the budget ready for all of the expenses can make it easier for your headshop to run smoothly.

The first thing you should do before you open your headshop is to advertise about your business before a few days or one month. When you advertise, people get to know about your headshop and those who are interested can find you easily. You can use both the conventional form of marketing and you can use the online marketing strategies. 

As you know today social media marketing is one of the most effective and economic ways to promote your products. Create a social media platform and try to figure out your target audience. You can target those audiences who are at least above 21 years of age. 

Offer complementary services

If you have a food license, then you can offer soft drinks, coffee, and other complementary products that give your customers an attractive atmosphere to spend more time. The more time they spend at your shop they may spend more money. You can also keep different books, magazines at your store, or you can choose a location nearby a bookstore that can give you an extra advantage. Because many people enjoy reading while smoking. 


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Create a musical environment that will foster the mood of the customers to hang out for more time. There are many head shops who also offer skateboarding and other complementary services that attract more customers. The older customers also feel a good connection and they want to stay with you for a longer period.


Opening a headshop is not like other business, it has its own merits and demerits. You need to put extra effort to run a headshop. This article describes all those factors necessary for your headshop business. Stay up to date with legal terms because you might get into trouble for ignoring the rules and regulations. Location is a big factor in headshop business, choose it wisely. Setting up an appropriate budget can make your headshop business running smoothly.



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