Kentucky announced emergency regulations to accept medical cannabis applications. It will conduct expedited application reviews, noting that Kentuckians need this medicine as an alternative to reliance on opioids. Would you like to open a medical cannabis business in Kentucky?
It’s a short period of time remaining to prepare your application before the Program’s online portal opens beginning July 1, 2024. Engage our Kentucky cannabis business consultants today!
We make applying for marijuana business licenses smooth and simple, and we can win you a license.
Kentucky Cannabis License Consultants
First, let’s take a look at the broader scope of the Kentucky Medical Cannabis Program (“the Program”). To understand the Program, you should read all of its laws, as well as the emergency regulations. Below, our Kentucky cannabis consultants summarize the key pieces of information relevant to applicants.
Also, we provide a step-by-step guide to the emergency medical cannabis application process. Remember, for expedited review, the emergency application online portal opens July 1, 2024. Applications will be accepted through August 31, 2024. With a limited number of licenses available, we suggest you prepare now in order to submit your application(s) when the portal opens beginning of July!
Laws and Regulations
Governor Andy Beshear signed Senate Bill 47 into law in March 2023, legalizing medical cannabis in Kentucky beginning January 1, 2025. Then, in January 2024, the Program filed regulations to provide rules for cultivators, processors, producers, dispensaries, and safety compliance facilities to govern medical cannabis business operations. These rules are identical to the emergency regulations; the only difference is that the emergency regulations take effect immediately.
The Program provides a simplified overview of the Kentucky Revised Statutes (KRS), Chapter 218B for medical cannabis. These laws also charge the Cabinet for Health and Family Services (“CHFS,” or, “the Cabinet”). The Cabinet develops and implements the regulations for the medical cannabis program.
Timeline
Applications received by July 1, 2024 will receive expedited review:
- 915 KAR 1:010E Initial and renewal applications for cannabis business licenses
- 915 KAR 1:020E Cannabis business licenses
Therefore, get a head start and engage our expert Kentucky cannabis license consultants to help you prepare and submit your application(s) early in the running. The Program will conduct a lottery process if a larger number of eligible applicants have been approved than the number of licenses available. With a limited number of licenses available, we suggest you submit your application(s) when the emergency application online portal opens July 1, 2024. **Applications will be accepted through August 31, 2024.
Types of Marijuana Business Licenses in Kentucky
The Program filed the following five different regular cannabis business license types:
- Cultivators,
- Processors,
- Producers,
- Dispensaries, and
- Safety compliance facilities.
The Program’s emergency regulations will allow for a limited number of licenses from the following license categories:
Also, if the applicant is deemed eligible, and the number of applicants exceeds the limit available, the applicant will be moved into the Kentucky cannabis lottery for licenses. You can apply for multiple locations, but not for different categories. Make sure that you have slots for the lottery; contact our cannabis licensing consultants, and we can help you strategize your applications.
Application Requirements
The Program provides a helpful Medical Cannabis Program Business Licensing Application Guide. All applications and documentation submitted will be reviewed by the Program to determine the applicant’s eligibility for a license. If the number of complete applications exceeds the maximum number of licenses available within that license category, then the Program will enter the eligible applications into the business licensing lottery.
Application and Licensing Fees
The Kentucky Medical Cannabis Program emergency regulations require the following application, initial licensing, and annual renewal fees:
Tips for Winning Licenses (Steps 1-10)
Step 1: Read the Laws and Regulations
Our Kentucky cannabis business consultants suggest you begin by reading the laws and rules of the medical cannabis program, as outlined above.
Step 2: Choose a license type
The second step is choosing the right license type for you. Each license allows you to lawfully conduct specific activities. For example, if you want to grow medical cannabis, a cultivation license makes sense. On the other hand, if you want to sell cannabis and products directly to patients, you will need a dispensary license.
If you’re not sure exactly which cannabis business license type is right for you, engage our Kentucky cannabis license consultants! We can help you refine your ideas and forge the structure for your medical marijuana business. Plus, we can handle all aspects of writing and submitting your application so you can submit your application in time for emergency regulations consideration.
Step 3: Engage our Kentucky cannabis business consultants
We understand how difficult it can be to read through hundreds of pages of laws while trying to create a business simultaneously. That’s why we recommend you engage cannabis license consultants to assist you. Our cannabis consultants coach you every step of the way and manage your application from start to finish.
We have one of the highest success rates in the industry at winning cannabis business licenses (+91%). We’ve already competed for and won medical cannabis business licenses in some of the most competitive markets in the world and over 27 U.S. States. We are experts in the cannabis industry and can help you outcompete the competition.
Step 4: Form a business entity
The fourth thing you should do is form a business entity for the application. Your legal entity will allow you to enter into agreements and assemble the required formation documents as part of the application. We typically find cannabis applicants set up a business entity such as an LLC or an S-corp.
Step 5: Build a team
Your team’s expertise and qualifications are crucial to the eligibility of your application. Build a team that shows the Program that you are the best candidate to receive and operate the license.
Step 6: Develop a business plan
Once you’ve formed your entity, you should begin developing your cannabis business plan. A strong business plan will help you analyze the market opportunity, costs, and more. Additionally, you can use your business plan to recruit talent and raise capital.
Step 7: Raise Capital
Raising capital takes time and is often the largest hurdle for cannabis entrepreneurs. Coupled with the costs of pursuing the license alone, you’ll also incur costs from attorneys, real estate, architects, consultants, and don’t forget any necessary renovations for the facility, plus the application and licensing fees.
Given the short time period for this emergency application period, contact our cannabis license consultants. We can estimate the average investment required to start your cannabis business in Kentucky. Let us help you strategize how to meet your capital needs.
The Kentucky medical cannabis program requires proof of sufficient capital, as follows:
Step 8: Choose a location
With some capital in hand, it’s time for you to begin securing a location. You should ensure that your location complies with all state and local regulations, such as distance requirements and correct zoning. Also, analyze the business, social, and economic dynamics of the community where you’d like to be located.
Also, check out page 75 for the Program’s graphic of the Kentucky’s 11 medical cannabis dispensary licensing regions. Remember, you are allowed to submit multiple applications for a license category, but you cannot submit license applications for more than one location in a region.
Step 9: Garner local support
Once you’ve secured a property, the next step is to build local support and approval. The state wants to know that your chosen municipality allows and approves of your business operations in their jurisdiction. Letters of support from community organizations and local officials can benefit your application in the eyes of the CHFS.
Step 10: Write and submit an application
This emergency application period was announced mid-April and will close August 31, 2024. It’s a short period of time to submit a winning application to get you in the lottery running, if more eligible applications are submitted.
We typically find that winning applicants start work on their applications 12 – 18 months before they are due. This is a short time period in Kentucky. From business planning to talent acquisition, to application writing including SOPs, we can help you prepare an application that will increase your chances of winning a license.
Let us help you! Contact our cannabis consulting firm today and let’s discuss a winning strategy for your medical cannabis business. We successfully obtained a license in the last cannabis licensing lottery round for the neighboring state of Ohio, and we are confident we can do that for you!
Summary from our Kentucky Cannabis Business Consultants
The State will determine whether you can operate a compliant and effective marijuana business by the quality of your cannabis business license application. Our Kentucky dispensing license consultants make it simple for you.
Moreover, we’ll help you win a license! We have one of the highest success rates at winning licenses in the industry (+91%). Furthermore, we’ve won licenses for clients in some of the most competitive markets in the world and over 27 U.S. States.
Above all, we want you to succeed and we look forward to helping you. Save yourself time, money and headaches. Engage our Kentucky medical cannabis license consultants. We will manage your project successfully from start to the finish!
