Cost of Opening a Dispensary in Colorado
The initial investment required to open a dispensary in Colorado ranges from $150,000 to around $2,000,000. This amount covers annual expenses such as advertising, rental fees, licensing application fees, personnel fees, and security.
Licensing Fees in Colorado
The licensing application fee for a retail outlet in Colorado is $4,500, with an additional $2,500 fee payable to the local government at the time of application. The cost of renewing a retail dispensary license is $1,800 per year.
Regulatory Landscape and Licenses
Currently, there are 8 medical and 8 retail cannabis licenses available in Colorado. The application fee for opening a dispensary or retail store is $5,000, with initial license fees ranging from $2,850 to $8,200 and renewal fees of $2,300.
Taxes in Cannabis Business
Taxes make up a significant portion of costs in the cannabis business. For example, in Washington, there is a 37% sales tax on cannabis products.
Colorado Commercial Grow License Cost
The license application fee for growers, processors, and dispensaries in Colorado is $2,500 per facility and per license type.
Average Weed Cost in Colorado
At the time of writing, the average cost for an ounce of weed from a Colorado dispensary is $150. Prices vary based on brands, products, and locations.
Opening a Dispensary in Colorado
To open a dispensary in Colorado, applicants must pay non-refundable application and licensing fees, as well as obtain any required local licenses. Startup capital ranges from $150,000 to $2,000,000, covering various expenses such as licensing, rent, staffing, advertising, and security.
Dispensary Owner’s Earnings in Colorado
A smaller dispensary with an annual revenue of around one million can make about $27,000 a day. Owners with over five million in annual revenue may receive a $500,000 yearly salary.
Laws and Regulations
FindLaw provides an overview of laws and regulations for opening a marijuana dispensary in Colorado in compliance with the state’s legal requirements for operation.