Aric Klar, CEO of Michigan cannabis operator Quality Roots, credits his family's pharmacy background and retail expertise for the company's rapid growth amid the pandemic. In an exclusive interview with New Cannabis Ventures, he details launching a Battle Creek dispensary that now triples initial projections and eyes multi-state ambitions. Klar's strategy emphasizes strong vendor ties, extended delivery, and consumer education to build loyalty in a competitive market.
Family Legacy Fuels Regulated Industry Expertise
Klar grew up immersed in his parents' large independent pharmacy chain in Michigan, absorbing lessons in patient care, team leadership, and supply chain logistics within a heavily regulated sector. He contributed to its 2014 sale to Walgreens, honing skills directly applicable to cannabis operations. This foundation extends to his independent toy retailer, Toyology Toys, which tracks consumer trends across Michigan stores and nationwide distribution—a model that mirrors the fast-evolving cannabis landscape.
At Quality Roots, Klar partners with brothers Jonathan and Michael, father Mark, and the experienced Schostak family. Team member Nicole Essa brings restaurant management and supply chain prowess. Klar stresses empowering staff with essential tools, viewing a reliable team as the cornerstone of enduring success in retail.
Navigating Michigan's Market and Beyond
Quality Roots operates its flagship dispensary in Battle Creek while holding additional licenses pending local shifts to adult-use sales, which Klar anticipates activating this year. The company also pursues the state's competitive RFP process to secure further footing. Though focused on Michigan mastery, Klar monitors Ohio for regional expansion and California for larger potential, aiming to evolve into a multi-state operator when alignments emerge.
Pandemic Pivot Drives Revenue Surge
Originally slated for a March 12 opening, Battle Creek's debut delayed due to COVID-19, allowing refinements in processes and curbside protocols. This preparation propelled first-month recreational sales to $350,000, with the second month nearing $525,000—far exceeding forecasts. Quality Roots extended delivery to 150-165 miles, filling a gap left by local competitors limited to 20-30 miles, a calculated risk that boosted volume.
Strong vendor partnerships with Sozo Health, Pleasantree, Redbud Roots, Cresco Labs, and Apothecare—the state's sole certified organic cultivator—ensure diverse offerings. Klar prioritizes merchandising support and education to craft a branded experience that fosters repeat visits, complemented by trend-savvy add-ons like speakers alongside basics.
Funding and Future in a Crowded Field
Funded primarily by the Klar and Schostak families via a lean cap table, Quality Roots weighs a capital raise from hands-on investors to fuel its pipeline. M&A interest already surfaces from brands seeking Michigan licenses or presence. As more stores launch statewide, Klar expects short-term dips but banks on superior consumer experiences to sustain growth.
