Types Minnesota Cannabis Business license
Below are descriptions of each type of Minnesota cannabis business license and their authorized activities. If you are looking for assistance with applying for and winning any of these licenses, schedule a call with our Minnesota cannabis consulting firm.
Cultivator License
Firstly, a cannabis cultivator license in Minnesota allows the licensee to grow cannabis within an approved amount of space.
- Indoor facility: You may cultivate up to 30,000 square feet of plant canopy. The office may adjust the canopy limits upward to meet market demand and as consistent with the goals of the program.
- Outdoor location: You may cultivate up to two acres of mature, flowering plants. The office may increase the limit to no more than four acres if the office determines that expansion is consistent with the goals of the program.
If you want a smaller amount of plant canopy, a microbusiness license may be the perfect option for you.
With the cultivator license type, you can conduct the following activities:
- Grow from seed or immature plant to mature plant,
- Harvest cannabis from a mature plant,
- Package and label cannabis for sale to other cannabis businesses,
- Transport cannabis to cannabis manufacturers that are located on the same premises, and
- Perform other actions approved by the board.
Secondly, a person, cooperative, or business holding a cultivator license may also hold a cannabis manufacturing license, medical cannabis cultivator license, medical cannabis manufacturing license, license to grow industrial hemp, and cannabis event organizer license. They may not own or operate any other type of cannabis business.
Manufacturer License
A cannabis manufacturer license allows the licensee to purchase cannabis, cannabis products, hemp, and hemp products from cultivators, other manufacturers, microbusinesses, and industrial hemp growers. Additionally, with this license type, you can:
- Extract THC and other raw materials from cannabis,
- Concentrate THC,
- Manufacture products for public consumption,
- Package and label cannabis products for sale to other cannabis businesses, and
- Lastly, perform any actions that are approved by the board.
A person, cooperative, or business holding a cannabis manufacturer license may also hold a cannabis cultivator license, a medical cannabis cultivator license, a medical cannabis processor license, and a cannabis event organizer license. They may not own or operate any other type of cannabis business.
Retailer License in Minnesota
Next, if you have a cannabis retailer license in Minnesota, you are able to sell immature cannabis plants and seedlings, adult-use cannabis, adult-use cannabis products, and other products authorized by law to customers. One license allows you to operate up to five retail locations.
Additionally, a cannabis retailer can only sell cannabis and cannabis products to those who are 21 and older. All immature cannabis plants and seedlings, adult-use cannabis, and adult-use cannabis products must:
- Be obtained from a licensed Minnesota cannabis cultivator, cannabis manufacturer, microbusiness, or wholesaler, and
- Meet all applicable packaging and labeling requirements.
Additionally, a cannabis retailer can sell up to two ounces of adult-use cannabis, eight grams of adult-use cannabis concentrate, and edible cannabis products infused with 800 milligrams of THC during a single transaction to a customer.
A cannabis retailer in Minnesota can also sell the following products:
- Drinks that do not contain alcohol,
- Books and videos about the cultivation and use of cannabis products,
- Magazines and other publications about cannabis,
- Multiple-use bags designated to carry purchased items,
- Clothing with the specific name, brand, the logo of the cannabis retailer, and
- Hemp products.
A person, cooperative, or business holding a cannabis retailer license may also hold a cannabis delivery service license, a medical cannabis retailer license, and a cannabis event organizer license. They may not own or operate any other type of cannabis business.
Cannabis Wholesaler License
Next, a cannabis wholesaler license in Minnesota allows for the licensee to purchase immature cannabis plants and seedlings, cannabis, cannabis products, hemp, and hemp products from cannabis cultivators, cannabis manufacturers, cannabis microbusinesses, and industrial hemp growers.
Additionally, this license allows you to sell immature cannabis plants and seedlings, cannabis, cannabis products, hemp, and hemp products to manufacturers and retailers.
In regards to the limitation on licenses, a cannabis wholesaler in Minnesota can also hold a cannabis transporter license, a cannabis delivery service license, and a cannabis event organizer license. They may not own or operate any other type of cannabis business.
Transporter License
A cannabis transporter license in Minnesota allows the licensee to transport immature cannabis plants and seedlings, cannabis, cannabis products, hemp, and hemp products.
The license allows the transporter to transport from cultivators, manufacturers, wholesalers, microbusinesses, medical marijuana businesses, and industrial hemp growers to manufacturers, testing facilities, wholesalers, retailers, and medical marijuana businesses.
For this license type, there are specific operational plans for the business. Required operational plans include, but are not limited to:
- A shipping manifest that must be updated at all times,
- Records of transportation,
- Storage compartments,
- Randomized deliveries, and
- Multiple employees.
A person, cooperative, or business holding a marijuana transporter license may also hold a cannabis wholesaler license, a cannabis delivery service license, and a cannabis event organizer license.
A person, cooperative, or business holding a cannabis transporter license may also hold a cannabis wholesaler license, a cannabis delivery service license, and a cannabis event organizer license. They may not own or operate any other type of cannabis business.
Contact our cannabis consultants for more information on the plans required.
Testing Facility License
Next, a cannabis testing facility license in Minnesota allows for the licensee to obtain and test immature cannabis plants and seedlings, cannabis, cannabis products, hemp, and hemp products from cultivators, manufacturers, microbusinesses, medical marijuana businesses, and industrial hemp growers.
Testing facility operations must comply with the following requirements:
- Proof of accreditation,
- IOS formal management systems,
- Facility layout, including ventilation and filtration systems,
- Testing services,
- Testing protocols,
- Three years of maintenance of all records,
- Disposal plans for cannabis flower and cannabinoid products, and more.
Another key point, a person, cooperative, or business holding a testing facility license may not own or operate, or be employed by, any other cannabis business.
Microbusiness License
The Minnesota cannabis microbusiness license type is the closest that the bill gets to allowing vertical integration. This license allows the growing, process, and sale of cannabis products by a single operator, though the size of such businesses is limited with the intention to keep big players from dominating the market. The microbusiness license allows the licensee to:
- Firstly, grow cannabis from seed or immature plant to mature plant, harvest cannabis from a mature plant, package, and label cannabis for sale to other marijuana businesses in Minnesota,
- Extract THC and other raw materials from cannabis, and concentrate THC,
- Manufacture edible cannabis products for public consumption,
- Purchase concentrated THC from a cannabis manufacturer or cannabis wholesaler for use in manufacturing edible cannabis products,
- Sell immature cannabis plants and seedlings, adult-use cannabis, adult-use cannabis products, and other products authorized by law to customers, and
- Lastly, operate an establishment that permits on-site consumption of edible cannabis products.
As this is a microbusiness license, there are limitations to all activities you do. A cannabis microbusiness license in Minnesota that cultivates at an indoor facility may cultivate up to 5,000 square feet of indoor plant canopy.
A microbusiness cultivating at an outdoor location may cultivate up to one-half acre of mature, flowering plants. The office may increase the limit to no more than one acre if the office determines that expansion is consistent with the program goals.
Additionally, there are limitations to extraction and concentration, production of customer products, retail operations, and on-site consumption.
Mezzobusiness License in Minnesota
The cannabis mezzobusiness license is similar to the microbusiness license (described above). The only difference is the size limitation and the number of retail locations you can operate.
More specifically, the Minnesota cannabis mezzobusiness license allows you to cultivate up to 15,000 square feet of indoor plant canopy and one acre of outdoor. The office may adjust plant canopy limits upward to meet market demand consistent with the goals of the program, but to no more than three acres of outdoor plants. Additionally, the mezzobusiness license allows you to operate up to three separate dispensary locations.
Cannabis Event Organizer License in Minnesota
With a cannabis event organizer license in Minnesota, you are able to organize a temporary cannabis event that lasts no more than 4 days. Also, if you want this license type you must obtain local approval, are able to charge entrance fees to the event, must have security within the event, and make sure that no one under the age of 21 enters the event.
Next, let’s look at a similar license, one that is specifically for cannabis event sales.
Event Sales License
In addition to the above license, licensed cannabis retailers and licensed cannabis microbusinesses with endorsements to sell cannabis and cannabis products to customers, including the cannabis event organizer, can sell cannabis and cannabis products to customers at a cannabis event.
Specific limitations include:
- All sales of cannabis and cannabis products at a cannabis event have to take place in a retail area that is designated within your application. With that, licensed retailers and microbusinesses can only conduct sales within their specific area.
- Also, licensed retailers and microbusinesses can display one sample of each cannabis or cannabis product available for sale. These samples must be stored in ways approved by the board. The office places limitations on the potency of samples.
Lastly, this license allows for cannabis event on-site consumption if approved by the local unit of the government for a cannabis event in Minnesota. Now, let’s look at the similar on-site consumption lounge license.
On-Site Consumption Lounge with a Microbusiness License
As for consumption lounges, Minnesota only offers this license type as a microbusiness. This license type allows on-site consumption of edible cannabis products on a portion of its premises.
Specific rules apply. Edible cannabis products sold for on-site consumption must comply with testing, packaging, and labeling rules. Additionally, these edible cannabis products must be removed from their packaging and consumed on-site. Lastly, food and beverages sold on the site have to be compliant with state and local laws, ordinances, licensing requirements, and zoning requirements.
In addition, a cannabis consumption lounge can not:
- Sell more than one single serving of an edible cannabis product to a customer,
- Allow the sale or consumption of alcohol or tobacco on the premises,
- Sell food and drink, other than packages and labeled edible cannabis products infused with cannabis or THC, and
- It may not distribute or allow free samples.
Delivery License in Minnesota
First, a cannabis delivery license in Minnesota allows the license holder to purchase cannabis, cannabis products, medical cannabis, and medical cannabis products from licensed retailers, microbusinesses with an endorsement to sell cannabis and cannabis products to customers, and medical cannabis businesses. The delivery business can then transport and deliver cannabis, cannabis products, medical cannabis, and medical cannabis products to customers.
A person, cooperative, or business holding a cannabis delivery service license may also hold a cannabis retailer license, a cannabis wholesaler license, a cannabis transporter license, and a cannabis event organizer license subject to the ownership limitations that apply to those licenses.
There are also specific operational requirements for a marijuana delivery license in Minnesota. This includes:
- Age and registry verification upon delivery,
- Record keeping,
- Limits on the amount of cannabis and cannabis products a cannabis delivery service may transport,
- Statewide monitoring system, and
- Storage compartment requirements.
Accordingly, be sure to include how you will comply with all operational plans within your cannabis application.
Closing Remarks on Minnesota Cannabis Business Licenses
Each Minnesota Cannabis Business License type noted above allows you to perform different cannabis activities. To explore the license types in more depth, contact our Minnesota marijuana business consultants.