How to open a dispensary in Minnesota

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Overview

Opening a dispensary in Minnesota can be a tricky venture however now is the ideal time to take action as HF100 has recently passed the sentate and will be making it way to the govenors desk. With 16 different license types soon to be available to the public, this is a unique chance to get involved in the thriving cannabis industry in Minnesota. This resource is dedicated to help you understand what this new law means for you as a aspiring cannabis business entrepreneur.

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HF100

HF 100 is the law which was signed Gov. Walz will open up Minnesota to Recreational/Adult-Use cannabis. This bill in a short description is a "Cannabis finance and policy bill" according to the Minnesota Legislature. The passing of HF100 paves the way for the establishment of the Office of Cannabis Management, the legalization of adult-use/recreational cannabis, and the regulation of cannabis and hemp businesses. Furthermore this bill also sets up a licensing structure for the Office of Cannabis Management to use in the issuing and regulation of licensure for the 16 different license types available. Currently licensing of Minnesota cannabis businesses is in effect.

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Offices of Cannabis Management

The Office of Cannabis Management in Minnesota is a regulatory body that is responsible for maintaining oversight on the licenses in the state. Using this framework they can issue and revoke licenses and enforce industry standards that will maintain the health of the population and security of the facilities. While this is happening they will also be in charge of helping to eliminate the illicit market of cannabis by promoting a craft industry that innovates upon itself.

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Is cannabis Legal in Minnesota?

Starting August 1st, it will be legal for anyone to posses it in normal quantities, which is a max of 2 ounces in transport through public or 2 pounds in a private residence. The reason for the high cap in a private residence is because the law also states you may grow up to 8 plants in the residence so long as only 4 are mature at one time. As for selling without a license it can land with some hefty civil penalties of up to 3 times the current market value of the sale in question.

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Dispensaries in Minnesota

What are traditionally called dispensaries are in legal terms called "Retailers" in Minnesota and there are some limitations  and benefits that need to be addressed with them. As a Retailer in Minnesota you have limitations on the concentration of product you sell and you may not posses any other license type when you obtain a dispensary license in Minnesota with few exceptions. However with that limitation you get the benefit of being able to operate 5 retail locations under 1 license. As a Cannabis Retailer you are subject to a $2,500 application fee, with a additional inital licensing fee of $2,500. 

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Minnesota Cannabis Business license type and fee information

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• Cannabis Microbusiness:

  • Application fee: $500

  • Initial license fee: $0

  • Renewal license fee: $2,000

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• Cannabis Mezzobusiness:

  • Application fee: $5,000

  • Initial license fee: $5,000

  • Renewal license fee: $10,000

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• Cannabis Cultivator:

  • Application fee: $10,000

  • Initial license fee: $20,000

  • Renewal license fee: $30,000

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• Cannabis Manufacturer:

  • Application fee: $10,000

  • Initial license fee: $10,000

  • Renewal license fee: $20,000​

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• Medical Cannabis Cultivator:

  • Application fee: $250

  • Initial license fee: $0

  • Renewal license fee: $0​

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