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Are you looking to apply for a U.S. Virgin Islands cannabis license? Whether you’re an entrepreneur seeking to enter this emerging market or an investor exploring opportunities, this guide provides a step-by-step overview of the latest licensing process, requirements, and business opportunities.

The Office of Cannabis Regulations (OCR) oversees the merit-based application process, making it crucial to prepare a strong application. Our U.S. Virgin Islands cannabis consultants have a proven track record of success and can guide you through every stage—from license application to operational success.

Regulatory Agency

First, become familiar with the website of The Office of Cannabis Regulations (OCR). As a newly created division within the Department of Licensing and Consumer Affairs, it oversees the development and implementation of USVI’s cannabis program. Finally, the OCR is THE agency that approves and awards the cannabis licenses in the U.S. Virgin Islands. Make yourself familiar with their informative pages.

Overview of U.S. Virgin Islands Cannabis Laws and Regs

The Virgin Islands Cannabis Use Act (Act 8680) and its amendments (Act 8925) regulate the adult-use and medical cannabis markets. The Office of Cannabis Regulations (OCR) manages licensing, compliance, and oversight.

Key points include:

  • Licenses are issued through a merit-based scoring system
  • Social Equity provisions prioritize local and historically impacted applicants
  • Adult users (21+) may possess up to:
    • 2 oz of cannabis
    • 14 grams of concentrate
    • 1 oz of cannabis-infused products

Also, review the USVI cannabis rules & regulations that further clarifies the laws.

Timeline

USVI is expected to begin accepting applications for cannabis business licenses in 2025.

If you want to win one of the first adult-use business licenses available in the USVI, start preparing now. Enlist the help of our expert marijuana consultants in the US Virgin Islands. In the meantime, read below for an overview of the USVI adult-use cannabis business program.

Types and Number of Cannabis Licenses in USVI

The OCR will issue the following cannabis business licenses:

License Type Description
Cultivation License Grow cannabis for sale to manufacturers and dispensaries
Manufacturing License Process cannabis into concentrates, edibles, and infused products
Dispensary License Sell cannabis and cannabis products to consumers
Research & Development Conduct cannabis-related scientific research
Testing Facility License Provide laboratory testing for quality assurance
Micro-Cultivation Permit Small-scale cannabis cultivation with lower barriers to entry
Adult-Use Lounge Permit Operate a facility where consumers can legally consume cannabis

Keep in mind that the OCR sets caps on how many licenses it will grant for each of the territory’s main islands. 

The OCR will issue a limited number of licenses, as follows:

  • St. Thomas
    • Up to seven Cannabis Dispensary Licenses, and
    • Up to 15 Cannabis Cultivation Licenses.
  • St. John
    • Up to three Cannabis Dispensary Licenses, and
    • Up to five Cannabis Cultivation Licenses.
  • St. Croix
    • Up to seven Cannabis Dispensary Licenses, and
    • Up to 15 Cannabis Cultivation Licenses.

Regulators may make more licenses available after January 1, 2025, if their studies demonstrate that expansion is needed to meet consumer demand.

Also, in order to prevent over-saturation, the Act requires the OCR to set production limits for cultivation licensees to no less than 500 and no more than 1000 flowering plants at a single time. Production limits will be evaluated annually by the OCR and may be revised. Annual fees will be assessed using a sliding scale based on the number of plants grown.

Now, let’s look at the application requirements for US Virgin cannabis business licenses.

Application Process & Merit-Based Scoring

The OCR follows a strict merit-based application process for awarding cannabis licenses. This means that only applicants with the highest scores will be granted a license. Even if only one applicant applies, they must still meet the scoring criteria.

Application Requirements:

  • Business entity formation (registered under 13 V.I.C. or 26 V.I.C.)
  • Criminal background checks for all owners
  • Financial disclosures & evidence of adequate capital
  • Proposed security plan & inventory tracking system
  • Community engagement & social responsibility plan
  • Odor control and environmental impact strategies
  • Standard Operating Procedures (SOPs) for compliance

Scoring Criteria:

  • Experience & Qualifications (past compliance, business expertise, etc.)
  • Financial Readiness (proof of funding & liquidity)
  • Community & Social Impact (hiring practices, charitable contributions)
  • Security & Compliance Plans (how well risks are mitigated)
  • Some license types may require lottery selection in the event of a tie between high-scoring applicants.

Pro Tip: The application process is highly competitive. Working with an experienced U.S. Virgin Islands cannabis consultant can significantly improve your chances of securing a license.

Fees & Financial Requirements

Here’s a breakdown of the estimated fees:

License Type Application Fee License Fee (Annual)
Cultivation License $5,000 $20,000
Manufacturing License $5,000 $20,000
Dispensary License $5,000 $50,000
Testing Facility License $5,000 $10,000
Research & Development $5,000 $10,000
Micro-Cultivation Permit $1,000 $5,000
Adult-Use Lounge Permit $5,000 $10,000

Note: Additional fees apply for license transfers, modifications, and changes in ownership.

Next, let’s look at an extremely important tenet of the Act.

Social Equity & Local Ownership Requirements

The U.S. Virgin Islands prioritizes social equity applicants, awarding at least 15% of total merit-based application points based on social equity participation.

To qualify, applicants must:

  • Be a resident of the U.S. Virgin Islands for at least 10 of the last 15 years
  • Be a woman-owned or service-disabled veteran-owned business
  • Have been adversely impacted by the criminal justice system
  • Provide evidence of community engagement and economic impact

Pro Tip: Partnering with local stakeholders and aligning your application with social equity goals can help improve your chances of winning a license.

Step-by-Step US Virgin Islands Cannabis License Applicatipon Guide 

Below is a step-by-step guide on how to obtain a cannabis business license in the U.S. Virgin Islands.

Step 1: Understand the Laws & Regulations

Familiarize yourself with Act 8680, its amendments, and the OCR’s latest regulations.

Step 2: Choose Your License Type

Determine which cannabis business model aligns with your goals and financial resources.

Step 3: Engage our US Virgin Islands cannabis consultants

Allow us to manage your project from pre-licensure to post-licensure and operational. We can manage all aspects of your application writing, including:

  • Development of your cannabis business plan,
  • Team recruitment,
  • Facility design,
  • Operational support, including Standard Operating Procedures for all activities,
  • Employee training, and more.

We can help you setup your business from start to finish, including raising capital. For that, you need to form your business entity.

Step 4: Form a business entity

Most importantly, an applicant for a cannabis business license in the Virgin Islands must be organized under 13 V.I.C. or 26 V.I.C. of the Virgin Islands Code. In addition, the Act bars any owner, principal, or member of the entity applicant to have been convicted of a Disqualifying Felony Offense. All must be of at least 21 years of age. 

Secondly, no license may be held by, or issued to, any person or any Immediate Family Member of any person who, at any time within the previous 12 months, held elected office in the executive or legislative branches of the Government of the Virgin Islands, or was employed by the Department of Licensing and Consumer Affairs, the OCR, or who was a member of the Board.

If you are unsure what type of business entity would work best for your proposed operations, engage our cannabis consultants or work with an attorney to choose the best structure for your business.

Step 5: Build a team 

With our team talent acquisition services, you will be pleased with how we can help you put together the ideal team for the approval of your business license. Reach out today for more information about our personalized business application and consulting services.

Step 6: Develop a Business & Security Plan

Submit a detailed business plan with security protocols, inventory tracking, and compliance measures.

Step 7: Raise capital

First of all, winning a USVI cannabis license will require a great deal of time and energy. It also requires money.

If you don’t already have the capital necessary for a successful cannabis business, we’ll help you pitch your business to cannabis industry investors.

In addition, our expert US Virgin Islands cannabis business consultants will ensure that your business entity and its funding are compliant.

We can help you raise capital and ensure that any minority or majority owners, permitted interest holders, reasonable royalty holders, and financial interest holders are allowable per the Act’s requirements.

Next, we’ll discuss the importance of facility location.

Step 8: Choose a location

I cannot overstate the importance of facility location in the U.S. Virgin Islands.

First, your business location must be accessible to consumers and patients and is critical to the approval of your cannabis license application.

Secondly, your location plans should demonstrate your commitment to sustaining the fragility and beauty of the Islands’ natural resources, one of the Virgin Islands’ greatest assets.

In addition, due to the limited land space on these relatively small islands, the OCR will establish production limits for cannabis cultivation to prevent over-saturation within the Territory.

The OCR will issue a limited number of licenses, as follows:

  • St. Thomas
    • Up to seven Cannabis Dispensary Licenses, and
    • Up to 15 Cannabis Cultivation Licenses.
  • St. John
    • Up to three Cannabis Dispensary Licenses, and
    • Up to five Cannabis Cultivation Licenses.
  • St. Croix
    • Up to seven Cannabis Dispensary Licenses, and
    • Up to 15 Cannabis Cultivation Licenses.

Therefore, OCR will award merit-based cannabis licenses only to persons with the highest application score for the specific license type and on the specific island being sought.

Our cannabis business consultants can help you pursue the best options tailored to your business goals.

Step 9: Garner local support

Once you’ve identified property and your location, you can begin building support from local organizations. The US Virgin Islands have no local municipality governorship; its government operates for the territory as a whole.

Strong local support will help you score higher on your merit-based application. Also, among other requirements, your application will need to demonstrate:

  • Proposed community engagement and cooperation plans including evidence of support from community members, and
  • Evidence of charitable contributions and/or scholarships.

In addition, our US Virgin Islands cannabis consultants can help you build relationships with local businesses, state and community non-profits. Show how your cannabis business will support their efforts and positively impact your community. Show how you will be a good neighbor.

Now, onto the most important step to win a cannabis business license in the U.S. Virgin Islands!

Step 10: Write and submit an application

Finally, it’s time to write and submit your application.

OCR will establish a merit-based application process to evaluate competing business applicants.

The application requires hundreds of hours of detailed writing as well as the development of formal operating procedures.

Our cannabis consultants in the U.S. Virgin Islands can help you write and assemble your entire application, saving you time and money. With an experienced cannabis licensing team on your side, you can significantly improve your odds of winning a license.

Why not let us make it simple for you?

Conclusions on our US Virgin Islands Cannabis License Application Guide

The U.S. Virgin Islands cannabis industry offers a limited number of licenses, making competition fierce.

With our cannabis licensing experts at Quantum 9, you can ensure your application is competitive, well-prepared, and optimized for success.

Get Started Today! Schedule a free consultation with our team and take the first step toward launching your U.S. Virgin Islands cannabis business.

Kristina Pardue

Author Kristina Pardue

Kristina is a grant writer, marketing, and cannabis licensing writer with over 20 years of experience in the arts and sciences. Graduating as an Interdisciplinary Echols Scholar from the University of Virginia, she later received a BFA in Painting from the San Francisco Art Institute. In addition to writing and artwork, Kristina enjoys equestrian eventing, hiking, and exploring. A mother of two, she lives in Santa Fe, New Mexico.

More posts by Kristina Pardue

Join the discussion 2 Comments

  • Yourra Clown says:

    You are misrepresenting this information. You should probably reach out to those already in the industry in the Virgin Islands instead of trying to “capitalize on the market” from Chicago. Let the licensed cannabis consulting companies IN THE VIRGIN ISLANDS consult for Virgin Islanders wanting to enter the cannabis in the Virgin Islands.

    • Julio Soriagalvarro says:

      I appreciate your concern. Can you please let us know where we are misrepresenting information? We want to be as accurate and helpful as possible.