How to Get A Cannabis Manufacturing License [Quick Guide]
Understanding how to obtain a Cannabis Manufacturing License takes time, although you can expedite the process by working with experts like us! We’ve helped cannapreneurs from all over the USA get their cannabis licenses. If you’d like help obtaining a cannabis manufacturing license in your state Contact us Today!
The cannabis industry is facing a boom, especially in the manufacturing landscape. The sudden surge in demand for recreational and medical cannabis is attributed to two things: potential health benefits and decriminalization of cannabis. The high demand for cannabis products has pushed business-oriented people to apply for cannabis manufacturing licenses.
Cannabis regulators have imposed stringent measures to prevent low-grade manufacturers in the market. Although the decision to regulate the number of entrants into the market is for a good cause, it has locked out qualified and experienced manufacturers. But the big question is, what makes cannabis manufacturing a hot cake, and why should you get one? To help you understand this better, let’s get into the details.
Cannabis Manufacturing License Responsibilities
If you are new in the cannabis industry, you must be worried about the responsibilities of being a licensed manufacturer. Here are the primary responsibilities that licensed cannabis manufacturers perform:
As a licensed cannabis manufacturer, it is your responsibility to refine the cannabis extracts to attain the correct dosage. For example, you can refine hemp into full-spectrum, broad-spectrum, or isolate CBD.
Being a licensed cannabis manufacturer also gives you the responsibility of processing cannabis. You can process the cannabis into edibles, tablets, capsules, or even vape products.
It is your responsibility as a cannabis manufacturer to grade the cannabis products depending on their potency and classification. You are supposed to separate the marijuana from hemp and then take each manufactured product from them into different grades.
Major steps of obtaining a cannabis manufacturing license
Getting a cannabis manufacturing license can be a hassle, especially if you are a novice in the industry. However, you can follow the following steps to get license approval:
· Get approval locally
Before you seek license approval at the state level, you must get local approval. The local municipality issues you with several permits to allow you to carry out various functions. Before approval by the local municipalities, you must meet all the set thresholds. For instance, regulators must ascertain whether the project has a potentially harmful effect on society.
If you meet all the local municipality’s set standards, you are issued a business license and land use and zoning permits. These permits come in handy when applying for the cannabis manufacturing license at the state level.
· Get a certificate of occupancy and building permits
After approval by the local municipality, you should go ahead and modify the building to suit your needs. However, before carrying out any modifications to the building, you must get a building permit to carry out the modifications.
The permits allow you to build lab-grade rooms, updating furnishings, and installing safety and operating equipment.
After completing the modifications, the building must be inspected to ascertain its efficacy. If the building passes all the tests, you get a certificate of occupancy to apply.
· Fill out all the application forms
The final step to getting the building license is applying the relevant forms for consideration. The application might vary from one state to another due to the underlying laws guiding a cannabis manufacturing license issuance.
Each state operates differently, and you might be required to fill different forms from applicants in other states. Regardless of your state, you are required to disclose basic information such as the following:
- Procedures for disposing of waste
- Evidence of compliance with local jurisdiction
- Business formation documents
- Inventory and quality control
- Financial interest holders
- Written statements to approve permission by building owner(s).
After filling these forms, you present them to regulators and await the verdict. Each state operates differently, and therefore, the time taken to process the information might vary. However, 12 to 24 months is the average waiting period for regulators to give a verdict.
How to increase chances of license approval
As a cannabis enthusiast, you should be aware of these pro tips that could have your license application approved almost immediately:
Make your application outstanding
Every time cannabis regulators call for cannabis manufacturing applications, a high number of people step forward. Due to the high number of applications, regulators might be overwhelmed and use stringent measures to minimize the number of approvals.
As a cannabis manufacturing license applicant, you should be creative to increase your chances of approval. To start with, the application should be written in a mix of casual and formal style to retain regulators’ attention.
Establish a good relationship with the society
Your relationship with society might work for or against your application for the cannabis manufacturing license. You should have a good rapport with society to increase the chances of bagging the right to manufacture cannabis.
When applying for the license, you should prove to the assessors that you have developed a good relationship with society. Under this case, you must prove that society approves of your proposed business and that you wouldn’t sell the cannabis to unauthorized people or firms.
Go for the best consultants
As aforementioned, cannabis manufacturing license application is a complex process. As an applicant, you should go for the best consultants who increase the chances of getting approval. Given the ever-changing laws in the cannabis industry, involving consultants is the best bet to get approval. Consultants know almost all the new developments in the industry’s legal structure and how to overcome the challenges. However, before choosing any hyped consultant, it is prudent to carry out a background check.
Propose the best staff
Cannabis manufacturing is highly complex and requires keen attention to detail. Before you present the application form for consideration, it is vital to ensure that the staff included therein meet the cut. The staff should have hands-on experience working in different departments of cannabis manufacturing.
Besides the members’ experience and competence, it is also important to find more about their conduct code. A staff who has had a criminal past could spoil your chances of getting the manufacturing license. Remember, you cannot take chances when applying for the license, and therefore you should minimize all the risks.
Look for an ideal site
Before you think of applying for a cannabis manufacturing license, ask yourself if the proposed location is ideal. An “ideal” location is relative to each state and determines whether your application would get approval.
According to cannabis regulators, these are the factors that determine the ideal location:
- At least 500 ft. from a school, religious places, and other social places.
- Away from an area where the manufacturing process would not interfere with the ecosystem.
Cannabis Manufacturing License FAQs
The subject of cannabis manufacturing has raised several questions to current and prospective manufacturers. This article has compiled a list of the frequently asked questions to help you understand cannabis manufacturing better.
Can I have more than one license?
Different states have different by-laws surrounding the licensing process. Some states might issue you with the cannabis manufacturing license and other loans as long as you prove the two businesses are separate. On the other hand, other states can only issue you with one license.
Can I transfer my license to another person or firm?
Transferring a cannabis manufacturing license to another person is a criminal offense and could have you punished by the law.
What is the validity of the cannabis manufacturing license?
The cannabis manufacturing license can only be valid for one (year) after issuance. After the expiry of the license, you should renew it. However, the license can be revoked before the end of the year if you breach the code of conduct.
What is the cost of applying for a cannabis manufacturing license?
There is no fixed cost of applying or renewing your cannabis manufacturing license since it varies from state to state. States with friendly laws on both medical and recreational cannabis charge less than those whose rules are stringent.
Costs such as building permits, state cannabis license fees, consultancy fees, business license, land use permits, environmental assessment fees, and state cannabis annual fees also affect the license cost.
The cost of renewing the license also varies from one state to another. The renewal cost also depends on whether you adhered to all set protocols.
Where can I sell my manufactured products?
After getting a cannabis manufacturing license, you can sell your products to several places. However, most cannabis manufacturers sell their products to dispensaries and head shops.
Which documents should I present for consideration when applying for a license?
Each state has a list of things that you should present when applying for a cannabis manufacturing license. Most documents in all states are the license application form, various permits, and a copy of ID.
Final thoughts on cannabis manufacturing license
You must have realized that getting a cannabis manufacturing license is not hard, as many people insinuate. Following the measures above could have you get the license within the shortest time possible. However, there is a catch: you should engage a qualified consultant for quick action.
Want help getting a cannabis license? This is what we do! Contact us, and we can help expedite your cannabis license applications.
Learn about all the different cannabis license types: