Starting a cannabis company in Minnesota? We’ve put together a state-specific guide covering everything from available license types to fees, requirements, and what you should include in a Louisiana cannabis business plan. Jump to a section by clicking below, or go straight to our sample cannabis business plan.
Since Senate File 2470 passed in 2014, Minnesota adults can possess a 30-day supply of cannabis if they have a certification from a doctor. Patients are allowed to buy medical marijuana in liquid, capsule, vaporizable, or topical form. More than 31,000 patients have registered for medical marijuana use, and medical dispensary sales could be as high as $70 million in 2021. Dried leaves, marijuana plant, and infused edibles are illegal, as are home cultivation and recreational use.
Minnesota issues licenses for two broad categories of cannabis businesses: vertically integrated manufacturers and laboratories.
Manufacturers: The state licenses these companies to grow, process, and package medical marijuana, then sell it at four dispensaries each. Note that Minnesota only offers two of these licenses, and both of them have already been granted, for a total of eight dispensaries. State rules for these companies are strict, covering everything from location to hiring and advertising.
Laboratories (aka testing labs): Consumers and regulators alike demand consistency and quality control in cannabis products, which creates demand for marijuana testing labs. These labs use methods like liquid or gas chromatography to analyze products for CBD and THC content, pesticides, terpenes, bacteria, fungi, and heavy metals, to name a few.
Ancillary business: If you don’t want to grow, test, or sell cannabis in Louisiana, there are plenty of other ways to be part of the state’s cannabis industry. You can create a marijuana app, payment processing service, consulting firm, pest management product, accounting firm, automated plant watering system, security service, packaging labeling service, or legal firm--and that’s just the tip of the iceberg!
Local governments may forbid cannabis companies or certain locations, so check city and county regulations.
Application fees: Applying for a cannabis business license in Minnesota costs $20,000.
License fees: It’s $146,000 each year for a cannabis business license in Minnesota..
Background check: You can’t employ anyone with a disqualifying felony conviction--a violation of controlled substance law--if you get a medical marijuana business license in Minnesota. All employees and staff have to get a criminal records check and get fingerprinted as well.
Yes, a business plan that’s 15 pages or less is required to get a medical marijuana business license in Minnesota. It has to include things like your expected production capacity, product offerings, pricing, and number of customers expected. And if you plan on raising funding from investors, you definitely need a business plan.
Google your city or municipality name and “cannabis regulations” or “marijuana laws.” If your city or municipality’s website doesn’t have information about cannabis, check recent local news coverage or contact your city clerk, city manager, or town hall.
Confused or overwhelmed yet? That’s normal. With such a highly regulated industry, and one with different rules in every state, starting a cannabis company can be very complex. Get help with your cannabis business plan from Masterplans, the industry leaders. We’ve worked with hundreds of cannabis entrepreneurs like yourself to create investor-ready documents and presentations so you can not only meet regulations but get the funding you need. Click below for your free, confidential consultation: