Profit accounts: Profit dispensaries

Practitioners

In this article: 

Making a profit from patient orders
Tax implications
Adding bank accounts
Dispensary & patient discounts
Receiving your payouts
Option 1: Create a profit account during account setup
Option 2: Convert to a profit account after account setup

Making a profit from patient orders

Dispensary owners can choose to earn a profit from patient orders placed through their dispensary and receive earnings via direct deposit to a bank account. With a profit account, you unlock additional patient discounts, become the seller of record, and take on responsibility for reporting your income at the end of the tax year. Fullscript maintains all sales tax responsibilities at the state level for you.

There are two paths to set up a profit account:

1. When a dispensary is first created, select Create a profit account on step 4 of the Complete your account modal.
2. At any time after initial dispensary setup from the Payouts & tax page.

With either path, we'll need the following to set up an account with our payment processor, verify your identity, and enable payments:

• Your legal name and physical address (for verification purposes)
• Your date of birth
• Last 4 digits of your social security number (SSN) or your full social insurance number (SIN)
• Employment identification number (EIN) or business number (BN)
• Your tax classification

Note: The information you enter is protected and securely encrypted. Be aware that you may be required to enter your full SSN to verify your account. 

Tax implications

Profit account holders become the 'seller of record', inheriting the responsibility to report income earned from Fullscript to the Internal Revenue Service or Canada Revenue Agency come tax season. Sales tax responsibility at the state level is maintained by Fullscript.

Adding bank accounts

Before orders can be placed, a bank account must be provided to enable direct deposit payouts. Bank accounts can be added during account setup or from the Payouts & tax page. Payouts can only be deposited to a single bank account.

Tip! See Adding your bank account to learn more.

Dispensary & patient discounts

Dispensary discounts apply to all patients in your dispensary and are stackable with individual patient discounts. Both discount types apply to all products in your dispensary. The maximum discount available to patients cannot exceed the maximum discount available for your region (35% in the US, and 25% in Canada).

Tip! See Dispensary & individual patient discounts to learn more.

Receiving your payouts

Your earnings accumulate as orders ship and are deposited directly to your active bank account on your next payout date. View your current balance, payout bank account details, and your next payout date in the Payouts & tax page of your Dispensary settings.

After your first successful payout, you can access the Reports page from the practitioner menu, accessible by clicking on your avatar or initials.

Viewing bank account and payout details in the Payouts & tax tab of Dispensary settings.

Note: By default, available earnings are paid every 30 days to the active bank account in your dispensary. You can add new bank accounts from the Payouts & tax page in your account at any time; however, payouts can only be deposited to a single bank account.

Option 1: Create a profit account during account setup

If you're new to Fullscript or haven't completed the setup of your account, you can choose to create a profit account during the account completion phase of account setup.

To create a profit account:

1. After creating your account, click Complete my account.
2. Enter your contact information (step 1) and upload a copy of your healthcare credentials (step 2).
3. On step 3, select Create profit account and set a profit margin (%). Click Next: Add business details to submit.
   

   

4. On step 4, enter additional information needed to create your account with our payment processing partner. Click Next step to submit.
   

   

   Warning! Entry errors can delay account verification with our payment processor. It's important to ensure the information entered matches what the Internal Revenue Service or Canada Revenue Agency would have on file on the date your information is submitted.

5. Enter a bank account to enable payouts.
   

   Note: Profit from orders won't be collected until a bank account is entered. 

Option 2: Convert to a profit account after account setup

Staying a no profit account has its benefits — a faster setup experience, you avoid tax implications, and your patients automatically get 10% off all products available in your dispensary courtesy of Fullscript. If you ever change your mind, you can follow the steps below to start making a profit, enable direct deposit payouts, and unlock additional discount abilities.

To convert to a profit account after setting up and completing your account:

1. Click your initials or avatar to open the practitioner menu.
2. Select Set up a margin account.
   

   

3. On the Payouts & tax page, click Switch to profit account.
   

   

4. Select a Business type and complete all required fields. Select Individual if you're not affiliating your dispensary with a business.
   

   

5. Further down the page, add a bank account to receive payouts via direct deposit.
   

   

6. To submit your information, click Become a profit account from the bottom of the page.
7. In the Store margin tab of the Payouts & tax page, update your store's profit margin. Increasing your profit margin decreases the dispensary discount extended to all patients in the dispensary.
   
   
   

   Note: The dispensary discount stacks with individual patient discounts to a maximum discount of 35% (US dispensaries) or 25% (Canadian dispensaries).