SAINT PAUL, Minnesota — Certain Minnesotans, including military veterans and people who were convicted of marijuana possession before the drug was legalized, can begin the application process next week to get the state's first marijuana business licenses.
Minnesota lawmakers this year approved a “pre-approval” licensing process from the Bureau of Cannabis Control, allowing regulators to give some companies the green light early to develop plans even as they continue to write rules for a 2025 market launch.
The first step in that process – identifying whether you meet the criteria to receive an early license – will begin on Monday, June 24.
Who can apply for an early “pre-approved” license?
To qualify, Minnesotans must meet the criteria of a “social equity applicant,” which could include military veterans, beginning farmers, residents of high-poverty areas and people who were convicted of certain marijuana possession or sale offenses before lawmakers legalized it last year.
State officials will first review the application to ensure the individual is eligible. If they are certified as a social equity applicant, Minnesotans can apply for a license. The portal will open a month later, on July 24, and applicants will need to submit all the information required by law, including a detailed plan of business operations, employee training, security, and overall experience in the industry.
A lottery would then be held to randomly select licensees who meet the criteria, a provision that sparked fierce debate in Parliament this year.
Charlene Briner, interim director of the Bureau of Cannabis Control, defended the process. Updated this year State lawmakers passed the bill to ensure it was fair and would withstand legal challenge.
“We're going to have a comprehensive process and a review team to make sure the license is complete, meaning all the supporting documentation, all the additional requirements that need to be filed that are required by law, that everything is in order,” she told WCCO in an interview Tuesday. “So this isn't just a random lottery. This is really a selection from among qualified applicants who are prepared.”
Nick Rahn, owner of The Warrior's Garden, which sells hemp-derived THC and CBD products, is one of 327,000 Minnesota veterans who are considered social equality applicants. He's eager to get a pre-approval license and plans to apply this summer.
“I'm a veteran, so being able to apply early is great, especially since we're already open and we're going to be a cannabis store. It makes me feel a lot better to get my license early and be ready for January 1st when everything starts rolling out.”
How many licenses are available?
State law places a cap on the number of licenses that can be offered through the preapproval process.
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Cannabis microbusinesses: 100
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Cannabis mezzo business: 25
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Cannabis growers: 13
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Cannabis Manufacturers: 6
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Cannabis stores (pharmacies): 38
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Cannabis Wholesalers: 20
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Cannabis transporter: 20
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Cannabis testing: 50
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Cannabis delivery: 10
Getting a pre-approved license doesn't mean retailers will be able to sell marijuana flower or products any sooner than the rulemaking process is complete and the marketplace officially opens next year.
But if local governments also approve the plans and apply under medical marijuana regulations already in place, early licensed growers and small and mid-sized businesses could start growing commercial crops as early as this fall, Briner said, a change the Legislature made this year to help meet demand as soon as retail stores open.
“We want to be ahead of the curve growing, cultivating and processing produce for at least a few months so that we have products that are actually on retail shelves when we are given the go-ahead to open,” Briner explained.
When can I apply for a cannabis business license?
The Bureau of Cannabis Control will begin accepting applications for review to determine whether they qualify as social equity applicants starting June 24, according to the regulator's timeline.
The portal for applying for pre-approval of the license will then open on July 24 and close on August 12. The office will then notify applicants if they are selected.
Applications for licenses for members of the public who do not meet the social equity criteria are scheduled to open next year.
