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HOW TO OPEN A DISPENSARY IN CONNECTICUT
Overview
Currently, as of July, 2022, the Connectciut Department of Consumer protection is still accepting lottery license applications. If you wish to apply for a cannabis business license in Connecticut please head to their portal to get started.
Connecticut Department of Consumer Protection started accepting adult-use applications February 3rd, 2022. With a 19-17 vote, the Senate passed SB. No. 1118 in June 2021 that would legalize recreational marijuana in Connecticut, creating a new path towards adult use cannabis for the state. This will allow entrepreneurs to open a dispensary or become a producer within the state as regulations are being created. Connecticut currently has 9 registered medical marijuana dispensaries and 4 registered medical marijuana cultivators.
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Connecticut Department of Consumer Protections
The Connecticut Department of Consumer Protections is the regulatory agency responsible for issuing the cannabis lottery licenses. This agency is a multi-business agency that controls lots of different industries. On their website, they have checklists of information regarding different licenses available in the industry that they offer in the state.
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How much does it cost to open a dispensary in Connecticut
In Connecticut licensing fees for a dispensary will total $30,500. This recreational license will be available to anyone who enters the lottery for $500. Also you will be required to have a facility to operate in. On average , for Class A commercial space, you will be paying around $35 per square foot. Renovations or Construction on the facility will also total around $25,000. So in total you would have to invest roughly $160,000.
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Home Grown Cannabis in Connecticut
In Connectict, Medical Marijuana patients can grow up to 3 mature plants in their homes, as well as 3 immature plants. This is limited to 12 total plants within a household. Adult-use marijuana users will be able to start growing in their homes starting July, 2023. Plants must be grown indoors, personal outdoor grows are not permitted.
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Social Equity in Connecticut
Social equity applicants in connecticut were immediately prioritized during their application processes. They are eligible for the states Accelerator program, which aims to help with the application process by making the information easily accessable and easy to learn. These programs are based on best industry practices and will be corresponded to their application type within the state.
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Recreational License Types in Connecticut
Licenses will be issued with a lottery system, social equity applicants will be first to receive eligibility for obtaining a license. They will hold a second lottery for the rest of the applicants and unsuccessful social equity applicants. The license types are as follows:
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Dispensary Retailer License
For a retailer license, the fee to enter the lottery will be $500, the fee to receive a provisional license will be $5,000 and the fee to receive a final license will be $25,000. There are 6 general licenses and 6 Social Equity licenses available.
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Hybrid Dispensary Retailer License
For a hybrid retailer license, the fee to enter the lottery will be $500, the fee to receive a provisional license will be $5,000 and the fee to receive a final license will be $25,000. There are 2 general licenses and 2 Social Equity licenses available.
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Cultivator License​
For a cultivator license, the fee to enter the lottery will be $1,000, the fee to receive a provisional license will be $25,000 and the fee to receive a final license will be $75,000.
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Micro-Cultivator License
For a micro-cultivator license, the fee to enter the lottery will be $250, the fee to receive a provisional license will be $500 and the fee to receive a final license will be $1,000. There are 2 general licenses and 2 Social Equity licenses available.
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Product Manufacturer License
For a product manufacturer license, the fee to enter the lottery will be $750, the fee to receive a provisional license will be $5,000 and the fee to receive a final license will be $25,000. There are 3 general licenses and 3 Social Equity licenses available.
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Food and Beverage Manufacturer License
For a food and beverage manufacturer license, the fee to enter the lottery will be $250, the fee to receive a provisional
license will be $1,000 and the fee to receive a final license will be $25,000. There are 5 general licenses and 5 Social Equity licenses available.
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Product Packager License
For a product packager license, the fee to enter the lottery will be $500, the fee to receive a provisional license will be $5,000 and the fee to receive a final license will be $25,000. 3 general licenses, There are 3 general licenses and 3 Social Equity licenses available.
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Delivery License
For a delivery service license, the fee to enter the lottery will be $250, the fee to receive a provisional license will be $1,000 and the fee to receive a final license will be $5,000. There are 5 general licenses and 5 Social Equity licenses available.
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License Conversion Fee
The license conversion fee for a dispensary facility to become a hybrid retailer will be $250.
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Licenses will be available for 90 days from the start date. Below are the dates that the Cannabis Control Commission will start accepting applications by license type:
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February 3rd: Retailers, Equity Joint Ventures, Medical Conversions
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February 10th: Micro-cultivator
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February 17th: Delivery
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February 24th: Hybrid Retailer
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March 3rd: Food and Beverage
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March 10th: Product Manufacturer
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March 17th: Product Packager
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March 24th: Transporter
Connecticut Marijuana History
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In October, 2021, social equity applicants will be eligible to apply for the cannabis business accelerator program for each of the license types. The following year on July 1, 2022. The Social Equity Council will start accepting applications for licensees to partner with accelerator program licensees as long as they correspond to the same license type.
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In April, 2021 Connecticut proposed SB 888, setting the framework to legalize adult use cannabis within the state. However the bill is in limbo due to disagreement within the senate body on how it should be taxed. If and when this bill is passed MJ Business Daily predicts that annual revenues can reach $725 Million by its fourth year.
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February 6, 2020. The “Governor’s Bill”, a marijuana legalization bill, was introduced one day after Gov. Ted Lemont renewed his call for marijuana legalization during his State of the State address. The bill would allow the possession and purchase of a maximum of one and a half ounces of marijuana from a licensed retailer. The bill, if passed, would allow businesses to be licensed to cultivate, manufacture, test, and sell cannabis, aligning with the recreational market. The bill was not passed, but is expected to be revisited in 2021.
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November 7, 2018. Chronic pain resulting from spinal disorders is classified as a qualifying condition by the Regulations Review Committee of the General Assembly. This condition now qualifies a patient for the medical marijuana program in addition to a doctor’s certification.
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January 3, 2018. A request for applications is issued by the Department of Consumer Protection, aiming to award 3-10 dispensary licenses for the state, with a deadline of April 9, 2018.
On May 17, 2016. House Bill 5450 is signed by Gov. Malloy, which allowed minors to qualify for medical marijuana and added 6 new qualifying medical conditions.
June 1, 2012. Medical Marijuana is signed into law by Gov. Dannel Malloy, allowing for the possession and consumption of medical cannabis by registered patients. Legalization also allowed for a system to be set in place to provide access to licensed dispensaries.
Estimated market size
Marijuana Business Daily projects that an adult-use market in Connecticut could generate $250 million in sales by its first full year and $725 million in annual sales by its fourth year.
how to start a marijuana business connecticut
If you are just starting your marijuana business, the next best step is to start a Business Plan to help educate your team and be ready to apply for a marijuana business license. If you are ready to apply for a Marijuana Business License in Connecticut, please Contact us or call our offices to set an appointment to get started. You can also select another State Opportunity, or fill out our Contact Form to discuss potential strategies such as Investment or Partnership Opportunities.
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