Would you like to apply for a retail marijuana store license in Delaware? The open application period has been accelerated to August 19, 2024!
However, the application portal for a Delaware cannabis dispensary license closes on September 30, 2024.
Our licensing guide below provides a simple overview of how to win a cannabis dispensary business license in Delaware. Firstly, we briefly detail the number of licenses available, and then the relevant regulations, application requirements, fees, and the application process.
Delaware Retail Marijuana Store Licenses
Approved Activities for Cannabis Dispensary License in Delaware
The Office of the Marijuana Commissioner (OMC) is responsible for regulating the recreational marijuana industry in Delaware. The OMC also establishes the licensing process for approved activities.
Subsequently, the OMC authorizes retail marijuana store licensees to sell marijuana, its products and derivatives to adult-use consumers, while strictly adhering to all established regulations.
Number of Cannabis Retail Marijuana Store Licenses Available
The Commissioner will issue up to 30 retail adult-use marijuana licenses, to be issued to the winners beginning in November 2024:
- 15 Open Retailer, and
- 15 Social Equity Retailer.
The Open Delaware marijuana retailer licenses have no eligibility restrictions for applying, but they cannot fall into the social equity or microbusiness categories.
However, a social equity retailer license requires eligibility validation. If an applicant fails to provide proof of social equity eligibility status, their application may be rejected at any point in the application process.
Find out if your facility location falls within a designated “Disproportionately Impacted Area” (DIA). If so, you may qualify to apply under Criteria 1 of the Social Equity Program.
Next, let’s take a brief look at the current regulations.
Relevant Regulations for Delaware Retail Marijuana Store Licenses
The OMC regulates Delaware’s adult-use cannabis industry. Firstly, familiarize yourself with Title 4. Chapter 13 of The Delaware Marijuana Control Act. Secondly, examine the rules regarding marijuana retailer licenses in Delaware.
Thirdly, read the excellent license application guidance provided by the OMC. It is the agency that will be reviewing and allowing applicants to be selected for the lottery conditionally awarding retail marijuana store licenses in Delaware.
Now, let’s review the application requirements. It requires careful document planning, but your submission can be online using the templates provided by the OMC.
Application Requirements for Delaware Cannabis Retailer License
Firstly, you must provide a comprehensive business plan, including an annual budget, capitalization table, and pro forma financial statements. Within your business plan, detail the experience, training, and expertise of the applicant and managing officers.
Additionally, the OMC requires that you meet the minimum criteria for a retail marijuana store license in Delaware. This minimum criteria includes the following plans:
- Safety, security, and the prevention of diversion plan
- Operations plan
- Staffing and employee training plan.
And finally, you will need to submit the following documents:
- Delaware Business License
- Government-issued ID
- Social Equity Verification Document (if applicable).
Make sure you have assembled these required documents in advance, because this will simplify your online submission. Applications will be evaluated on a pass/fail basis.
For that reason, you must meet the minimum requirements to be included in a lottery awarding conditional licenses. The Commissioner will start awarding Delaware retailer licenses on March 1st, 2025.
Post-Lottery Requirements for Delaware Retail Marijuana Store Licenses
If awarded a conditional license in the lottery, the Commissioner requires selected applicants to complete a supplemental license application within 30 business days from the selection notification date.
The supplemental application requires final versions of your plans initially provided to meet the minimum criteria noted above. Selected applicants will also be required to clear the following:
- Criminal background check
- Comprehensive financial background investigation
- Certificate of Tax Clearance.
Also, applicants need to provide all other documents and verifications required by the Commissioner. Engage our Delaware cannabis consultants for assistance during this brief application opportunity. We can help you get this done more easily!
Remember, the initial application portal process to qualify for the lottery closes on September 30, 2024.
Fees
Delaware cannabis dispensary application fees are due upon application submission to the OMC. Licenses are valid for two years and licensees in good standing may renew biennially.
| License Type | Business Type | Application Fee | License Cost |
|---|---|---|---|
| Marijuana Retail Store | Open | $5,000 | $10,000 |
| Marijuana Retail Store | Social Equity | $1,000 | $4,000 |
Next, let’s take a look at how to apply.
How to Apply for a Cannabis Dispensary License in Delaware
Applying for a cannabis dispensary license in Delaware involves a structured and detailed process. Here’s a step-by-step guide to help you navigate the application process effectively:
Step 1. Understand Eligibility Requirements
Before starting the application, ensure you understand the eligibility requirements for the type of license you are applying for, whether it’s an Open License or a Social Equity License.
Make sure your business structure, ownership, and location align with Delaware’s regulations.
Step 2. Prepare Required Documentation
Once you determined you eligibility, you must prepare the following required documents:
- Business Plan
- Safety and Security Plan
- Operations Plan
- Staffing and Training Plan
- Social Equity Documentation (if applicable)
It’s important that you create plans that comply with all the laws and regulations for Delaware dispensaries. If your plans fail to meet the requirements, you will not be entered into the lottery.
Step 3. Utilize OMC Templates
The Office of the Marijuana Commissioner (OMC) provides specific templates for various parts of the application. It’s essential to use these templates to ensure your submission meets the required format and content standards.
Step 4. Online Submission
The application process is entirely online through the OMC’s portal. You will need to create an account and log in to submit your application. Ensure all required fields are completed, and all documents are uploaded in the specified format.
Step 5. Pay Application Fees
As part of your submission, you’ll be required to pay the non-refundable application fee:
- Open Retail License: $5,000
- Social Equity Retail License: $1,000
Payment must be made online through the portal during the submission process.
Step 6. Review and Submit
Before submitting your application, carefully review all your documents to ensure accuracy and completeness. Once submitted, applications cannot be edited or withdrawn.
Step 7. Pass/Fail Review
After submission, your application will be reviewed on a pass/fail basis to determine if it meets the minimum requirements. Only applications that pass this initial review will be entered into the lottery for license allocation.
Step 8. Lottery Selection
If your application passes the review, it will be entered into the lottery system. The lottery will randomly select applicants who will be conditionally awarded licenses.
Step 9. Supplemental Application (If Selected)
If you are selected in the lottery, you must complete a supplemental application within 30 business days. This application will require:
- Final versions of your business, safety, operations, and staffing plans
- Criminal background checks
- Comprehensive financial background investigation
- Certificate of Tax Clearance
Step 10. Await Final Approval
After submitting your supplemental application, the OMC will conduct final evaluations. If all criteria are met, your dispensary license will be officially awarded, allowing you to commence operations.
Closing Remarks
By following the steps outlined above, and ensuring compliance with all OMC requirements, you’ll set up your recreational cannabis retail application for success.
For more detailed guidance and assistance, engage our experienced cannabis consultants at Quantum 9. Let us help you streamline your plans to win a retail marijuana store license in Delaware! We’ll guide you all the way and make it simpler to reach your goals.
