Overview of Opening a Dispensary
The dispensary license fee is $5,000 for the first location that a licensee operates as an adult-use dispensary or a medical marijuana dispensary. The dispensary license fee increases cumulatively by $5,000 for each additional location under the same license. In order to obtain a medical marijuana dispensary license in Montana, you must first successfully apply for a provider license. If you intend to manufacture and sell marijuana-infused products, you must apply for a chemical manufacturing endorsement, which is also referred to as a marijuana-infused product provider (MIPP) license. Once you’ve obtained your provider/MIPP license, you’ll be eligible to apply for a medical marijuana dispensary business license through the DPHHS website.
Opening a Dispensary in Montana
How much does it cost to start a dispensary in Montana? According to the Department of Revenue, Montana started the first month with $22.6 million in total cannabis sales, including approximately $12.9 million in recreational sales. The text below contains essential guidelines on how to open a dispensary in Montana.
- As per the current regulations for Montana’s medical marijuana program, cannabis dispensaries must have three types of licenses: a canopy license, a cultivation license, and a dispensary license. The law mandates that dispensaries must grow their cannabis. They will need to obtain an additional manufacturing license if they want to manufacture concentrates or other products.
- A solid business plan that contributes to the success and growth of a cannabis startup in Montana outlines the dispensary’s mission, vision, target market, marketing strategies, and financial projections. It must also demonstrate the viability and potential profitability of the venture, making it more attractive to potential investors or lenders.
- To stay compliant with the general license requirements in Montana, business owners must submit a Business Organization Chart and Business Structure Form. This helps the state in deciding risks and benefits associated with every new venture and allows them to make an informed decision about whether or not they issue a dispensary license.
Comparative Costs and Accessibility
- Where is it cheapest to open a dispensary? Oklahoma is one of the more affordable states in which to start a dispensary. It is estimated that the license price for a medical marijuana shop in Oklahoma is roughly $2,500.
- Cannabis dispensaries can vary wildly in start-up costs. One thing you can be certain of, it’ll be expensive. The average cost of opening a dispensary can range anywhere from $150,000 to over $2 million! Is that it? Well, you have to account for around $250,000 in annual staffing costs, rent which could run in the hundreds of thousands, and money for yearly renovations.
Additional Information and Resources
- Heavy security systems help dispensaries reduce theft risks. A retail POS system like ConnectPOS assists with inventory management, sales tracking, and regulatory compliance. Careful planning and ample startup funding increase chances of success when learning how to open a cannabis dispensary.