Ohio’s Updated Cannabis Application Timetable
Ohio Medical Cannabis Operators Are First to Apply
Ohio’s adult-use cannabis market is on the move! Cannabis license applications for medical cannabis operators to sell both adult-use and medical cannabis in Ohio opened on Friday, June 7th. The state has until September 7th to award licenses or deny applicants and has intimated that licenses awards will come out on a rolling basis and applicants will open according to their ability to do so, which could mean imminent adult-use sales. This license application round this summer is only open to current medical marijuana license holders, moving the state one step closer to allowing recreational sales but fencing new entrants out of the market.
New Cannabis License Types Available In This Round
1) Dual-Use Conversion Licenses
The first Ohio license type in this round is the Dual-Use Cannabis Conversion license. This license type is for current medical operators only and will allow them to participate in the adult-use cannabis market. We see this license type routinely in markets opening from medical to recreational, and it’s a great way for dual-use operators to increase sales volume and profits as the market launches and consumer demand skyrockets.
2) 10(B) Dispensaries Licenses
We’ve seen enough ‘creative’ new license names for a lifetime—every state has their own conventions—so I’m personally thrilled Ohio kept the “10(B)” license simple and coined it after the cannabis code provision it comes from. Diverting from what we’ve traditionally seen in other states, under 10(B), Ohio is awarding additional cannabis dispensary licenses to current medical dispensaries as well as to cultivators. Curiously, medical marijuana processors were left out of 10(B) licensing.
Additional Licenses Offered To Existing Medical Cultivators and Dispensaries:
- Level 1 Cultivator (up to 25,000 square feet of growing space) – Three (3) dispensary licenses per entity
- Level 2 Cultivator (up to 3,000 square feet of growing space) – One (1) dispensary license per entity
- Retail Dispensaries – One (1) additional dispensary license for one location
New Adult Use Cannabis Business Types
As is expected, new Ohio cannabis businesses are anxious to enter the nascent adult-use market. It’s unclear when new licenses will be available—in response to a recent Canna Advisors’ inquiry, Ohio’s Division of Cannabis Control stated that “New facility applications will not be available for some time.” Not a lot to go by, but enough to realize that now is a good time for potential new entrants to start researching the market conditions and putting together their foundational business plans and financials projections for both investors and a looming application period.
Action Items for Prospective Ohio Cannabis Licensees
1) Start Financial and Business Planning
For prospective applicants waiting on the open application round for new businesses, this is the right stage to create a financial model to test the feasibility of your plan and to go through the process of creating your business strategy to get a clear picture of what kind of operation you’re going to create.
2) Stay Updated With The State
For updates to the program and future application periods, keep an eye on Ohio’s Department of Cannabis Control (DCC) website and sign up for state updates on the DCC mailing list.
2) Contact Your Ohio Cannabis Experts
To stay in the know with Canna Advisors and leverage our extensive Midwest cannabis expertise, subscribe to our newsletter for updates, schedule an hourly consultation, or contact our consulting team directly.
We’ll help you get the lowdown on Ohio or other emerging cannabis markets across the country (Kentucky, Minnesota, Delaware, etc.) with open application periods this summer.