Cannabis businesses are booming. The industry is projected to generate over $100 billion in revenue within the next five years. A massive portion of that amount is guaranteed to be generated in the state of Washington. Here are a few important factors that potential cannabis business owners and operators ought to consider when establishing a successful as well as legally sound cannabis dispensary in Washington.
Disclaimer: Cannabis laws vary from upon state. Although these key points are essential when choosing to open a dispensary, This article is not legally-binding professional advice. Business owners, investors, and operators must acquire the appropriate legal counsel in the state of Washington when considering opening a dispensary or obtaining a medical marijuana card.
How to Obtain a License to Sell Cannabis
At the time of this post, the Washington State Liquor and Cannabis Board has not reopened its application process to obtain a license to sell cannabis. However, there is still a way to get one. Prospective operators can purchase a license from an existing cannabis business. There are three main licensing tiers in the state of Washington:
Marijuana Producer License
The state of Washington offers a Marijuana Producer License. This type of license allows entities to produce cannabis to harvest, produce dry, trim, manicure as well as package cannabis in bulk for sale at a wholesale price to cannabis processor license holders as well as additional cannabis producer license holders.
Moreover, a Marijuana Producer License also allows the production and selling of the following cannabis-related products:
- 1. Cannabis plants, seeds as well as plant matter and culture to other marijuana producer holders
- 2. Immature cannabis plants or clones as well as cannabis seeds to members of a registered cooperating entity, qualifying marijuana patients, or pre-approved cannabis providers
- 3. Immature cannabis plants or clones, as well as cannabis seeds to licensed cannabis researchers.
The application fee for obtaining this type of license is $75.
Marijuana Processor License
The next type of license prospective business owners may be interested in obtaining in Washington is the Marijuana Processor License. This type of license allows license holders to process, dry, manicure, label as well as package consumable cannabis, and cannabis concentrates, as well as cannabis-infused products intended for sale at wholesale value to additional marijuana processors as well as marijuana retailers. Similar to the Marijuana Producer License, the application fee is $75.
Marijuana Retailer License
The last type of license available in Washington is the Marijuana Retailer License. This type of license allows retailers to sell exclusively consumable cannabis, and cannabis concentrates, cannabis-infused products, cannabis equipage. One could also sell securable containers to store cannabis at retail or in retail outlets to individuals who meet the requirements to purchase marijuana in the state of Washington.
Cannabis Purchasing Limits in Washington
Adults who are ages 21 and over must adhere to daily purchasing limits. The current limits outlined by the boards are:
- One ounce (28 grams) of dry cannabis flowers
- ¾ ounce (21 grams) of cannabis concentrates
- 16 ounces (448 grams) of cannabis-infused edibles
- 2 Liters (72 fluid ounces) of cannabis-infused liquids
Most cannabis consumers will agree that is amount is more than enough for daily purchases.
Cannabis Businesses and Advertising
Similar to other items on the Washington State Liquor and Cannabis Board, there are advertising restrictions that proprietors must follow. This includes:
- No advertising products within 1,000 feet of an elementary school
- Coupons or sweepstakes for cannabis products are prohibited
- Billboards are allowed but must include 21+ age restriction warning
Additional Cannabis Regulatory Information
Getting into the cannabis industry in the state of Washington is a delicate process and requires a tightrope approach to prevent the revocation of licenses. Be sure to consult with the proper entities when advertising cannabis products.